Certificates of Deposits, otherwise known as CD’s are relatively safe investments. They are easy to obtain and are issued most often by banks and credit unions. While Certificates of Deposits yield lower returns than other types of investments, they are FDIC insured making them attractive for conservative investors as well as those investors who want to keep some of their money in a more secure place.… Read the rest
Unrealistic expectations and not seeing the big picture are just a few of the mistakes investors are making in this market, says Jonathan Satovsky, CEO of Satovsky Asset Management. Dow Jones Newswires’ Veronica Dagher reports.
Next time you’re in a bookstore, take a look at the latest financial magazines on the newsstand. Flip one open to any page and, more than likely, you’ll see a full page ad for a mutual fund.
And prominently displayed next to the family running in the daisy field will be a box showing the 1, 3, and, if you’re lucky, 10 year returns for that mutual fund.
As you’re biting your nails trying to decide which mutual fund to invest in (my goodness, they’ve all performed so well over the last 80 years!), how do you reach a final decision?… Read the rest
There are two methods to making money with stocks. The first method is the one most of us are familiar with—buy a stock at a low price then sell it at a higher price. It’s called price appreciation (A simple concept that’s much harder to execute in practice by the way).
Method number two is when a company earns a profit and decides to share that profit with stockholders. These profit allocations are called dividend payments. Dividends are a set dollar amount (or fractions of a dollar) paid out on a per share basis. When you have 50 shares, a 25 cent/share dividend may not seem like much (0.25 x 50 = $12.50—woo hoo!).… Read the rest