Investing Advice | InvestingAdvice.com

Is a Series EE Bond a Good Investment?

Even though the stock markets largely recovered from the significant declines of 2008 and 2009, many of the investors and savers who lost money are anxious to avoid similar drastic ups and downs in the future. Those investors are more likely to seek out investments that offer a greater degree of stability and security. In recent years it seems like there are fewer investment options that are reasonably secure for investors who are concerned about preservation of capital. One of these options is the series EE bond issued by the U.S. government – also known as a “savings bond.” Here’s...

Investing Advice on How to Choose a Mutual Fund

Mutual funds have long been a popular option for many investors, whether an investor is looking to invest many thousands of dollars at a time, or just a few hundred. Mutual funds are managed investment pools that can invest in publically traded companies, corporate or treasury bonds, real estate interests or just about any other type of investment vehicle. The mutual fund structure allows an individual investor to diversify his or her investment risk and to follow a particular investment focus by making a single investment in the fund. But with literally thousands of different mutual funds available, what should...

What is Dividend Investing?

There are different ways to invest, including stocks, bonds, mutual funds, exchange traded funds, certificates of deposit and numerous other investment vehicles. Even if you decide to invest in stocks, you’ll still have to choose between different types of stock profiles, including growth stocks and speculative stocks. One popular type of stock investment strategy is investing in companies that pay regular cash dividend to their shareholders. Some investors believe that assets which generate regular income can be preferable in many respects to relying solely on the capital gains prospects of non-dividend paying stocks. Many dividend paying companies are large blue-chip...

Why Investors Should Consider Muni Bonds Now

The past year has been a nerve-wracking one for many investors. The major stock market indices have been relatively flat, but there have been lots of volatility in the shorter term movements. And it seems like there’s always a threat of some new piece of news sending the stock market sharply downward. While safe investments like certificates of deposits are paying interest at near record lows, there is still an opportunity to access a respectable rate of return without having to expose investment funds to the risks of the stock market. This opportunity comes in the form of municipal bonds,...

How to Choose a Discount Broker?

If you plan to do any serious investing, you’ll need to go through a broker. Full service brokers offer a variety of financial products, do extensive research for their clients and provide individualized investment advice, but all this service comes at a high price. Discount brokers are a less expensive alternative. For those who prefer to save money by handling their own investments, a discount broker is the best option. But all discount brokers are not created equal. They offer different services, features and fees. Here is some information and advice to think about when considering a discount broker.

What costs...
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Should You Be Buying TIPS Now?
One of the most basic tenets of investing is that U.S. Treasury bonds are some of the safest investments one can make. They’re backed by the federal government, and they are practically guaranteed not to lose value. But when inflation rises, they can’t always keep up, and that means you could still come out behind in terms of buying power. Treasury Inflation-Protected Securities, or TIPS for short, offer a solution to this dilemma. They are Treasury notes and bonds as well, but the principal and interest are indexed to the inflation rate. In effect, they’re inflation-proof. But that doesn’t...
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Are ETFs Right for You?
The ETF, or exchange traded fund, is a fairly new type of investment product. It holds stocks, bonds, commodities or other types of assets and sometimes tracks an index like the S&P 500. It is similar in structure to a mutual fund, yet is traded on a stock exchange. ETFs usually include investments that are grouped under some sort of common theme. It could be top performers in a given industry, those listed on various indexes, or up and coming stocks from a certain market sector. These investments often look quite attractive at first glance, but they’re not right for...
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Tweak Your Portfolio in Case of Inflation
One of the golden rules of investing is to stay ahead of inflation. Most investments are designed to offer returns that will not be eradicated by the average amount of inflation. But there are times when inflation is anything but average. When it is higher than usual, it can eat up the returns on low-interest investments. The variability of inflation is one of the biggest reasons why investors are advised to diversify their portfolios. But in times of high inflation, there are other measures you can take for added protection. Here are some ideas and advice to consider when inflation...
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5 Investing Rules of Thumb to Live By
If you’re reading this, it’s a safe bet that you know the importance of investing a portion of your earnings. Everyone should be putting money away for emergencies and retirement. But while most people realize that, relatively few understand how to do so effectively. The truth is you don’t have to be a rocket scientist to make sense out of investing. You just need to be willing to learn. Some aspects of investing are best learned through experience. Here are five rules of thumb for those who are just getting started.
1. You’re never too young to start saving for retirement. The...
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What Are ETFs?
What Are ETFs? If you’ve spent any time over the past few years researching investment options you may have heard about ETFs. ETF stands for Exchange Traded Fund. They’ve gained enormous popularity and have become quite trendy. As with any trend, it’s important to be cautious before jumping in – particularly when your money is potentially at risk. So let’s first look at what an exchange traded fund is. “Exchange Traded” means that it is traded just like a traditional stock. “Fund” means that it is a collection or group of investments, which can include stocks and bonds. Generally the investments...
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