by Douglas Goldstein | May 10, 2016 | Decision Making, Financial Plan, Podcasts |
Listen to a story about how a man lost his retirement savings because he chose to ignore good advice. This story teaches strategic lessons about how NOT to invest your retirement savings. Get some positive tips and tactics for managing your... Click for more
by Doug Goldstein CFP® | Apr 21, 2016 | Decision Making, Financial Plan |
Deciding whether to invest in a startup company is a difficult decision, particularly if your own child is involved in the company. A common misconception: parents should always help their children. Sure you should help your kids, but help doesn’t always mean agreeing to do whatever they want. Sometimes the best thing you can tell your child is, “No.” This rule even extends to issues such as whether you should invest in your adult child’s startup company. Recently, I met with parents who brought their son to their financial review. The parents wanted to know if they should invest in their son’s startup company. The son explained his high-tech idea to me, and frankly, it sounded quite interesting. He concluded by stating: “I want my parents to invest with me.” The problem with investing in your child’s startup Good investment strategies are strategies that stand on their own two feet and are removed from emotional connections. By that definition alone, investing in your child’s company can be problematic. After all, what can be more emotional than investing in your own child’s company?! What should I do if my child asks me to invest in his startup company? If your child has a business idea that he wants you to participate in, tell him you will discuss the investment with your financial planner. Your financial planner has YOUR best interest in mind all the time. If he says, “This is not a good investment for you, given your financial situation,” there are no hurt feelings if you choose not to invest in the startup. Your lack of investment doesn’t reflect... Click for more
by Doug Goldstein CFP® | Mar 24, 2016 | Financial Plan |
What is the best way to build wealth? Do you need the same things to “feel rich” and to “be rich”? Building wealth is a slow process. After working as a financial advisor for over 20 years, I realize that there are 10 simple steps that my successful clients take. If you walk the same path that they do, and follow this 10-step plan, you should find yourself on the path to improving your financial situation. Gather your information Get organized, and take stock (no pun intended!) of what you have. For example, what savings plans and insurance policies do you own? Do you know what’s inside your investment portfolio? Create a list of all your assets and debts, both current and future. Define your goals Everyone has a different definition of “financial success,” so take the time to define your financial goals. These can include paying college bills, buying a home, saving for retirement, going on a vacation, depending on your personal needs, wants, and desires. Identify the barriers that prevent you from reaching your goals Once you know what you want, figure out what is stopping you from achieving it. Ask yourself what concrete steps you can take to turn your dreams into a reality. While some obstacles in your path may be removable, others may be insurmountable. Once you know your limitations, prioritize your goals to differentiate between real goals and mere wishes. Focus on what you can realistically do. If you receive a $100,000 inheritance, realize that it can’t possible cover goals that cost more than the principal or what it can reasonably generate. Determine... Click for more
by Douglas Goldstein | Jan 19, 2016 | Financial Plan, Financial Strategies, Podcasts |
An economic problem that targets senior citizens: generally older people have a low tolerance for risk. This can translate into investments with lower returns, which means they might not “make enough” in order to meet their needs. Is there a solution to this economic problem? Could bond ladders be the answer for post-retirement investors? Listen for links to articles about bond ladders and find out why they might be a good financial strategy for you.... Click for more
by Doug Goldstein CFP® | Jan 7, 2016 | Financial Plan |
Inflation is one of the most ignored factors in retirement planning. Money just isn’t worth what it used to be. As prices and values change gradually, you may not notice it. But over the long term, inflation can take a powerful bite out of your account. Any money that you have sitting in savings will be worth less in the future than today because of inflation. Therefore, when planning for retirement, you need to take inflation’s debilitating power into account. While your money may stay safe in a traditional bank deposit, it will certainly not grow much (given today’s low interest rates), and may not retain its purchasing power in the future. This means that while $3 may be able to buy you a cup of coffee today, when you retire, you may need $8 or more to buy the same cup of coffee. One of the goals of investing should be to beat inflation and make sure your money retains its purchasing power. Don’t neglect inflation when making your calculations as to how much your savings may be worth when you retire. For a simple strategy to protect your money from inflation, read this. Douglas Goldstein, co-author of Rich As A King: How the Wisdom of Chess Can Make You A Grandmaster of Investing, is an avid chess player, international investment advisor, and Certified Financial Planner (CFP®).... Click for more
by Douglas Goldstein | Dec 29, 2015 | Decision Making, Financial Plan, Financial Strategies, Podcasts |
Why do 90 million Americans invest their money in mutual funds? What are the characteristics of these investors, and should you follow in their footsteps? Can a mutual fund be useful to you? Listen to this financial podcast for tactics and strategies in investing in mutual funds. And best of all, get access to the free giveaway of material to teach you more about mutual funds. Details in the... Click for more
