One of my goals for this year is to make $50k in addition to my income. Having a goal is nice, but like most people if you don’t have a plan you are not going to get there. There is only two ways I believe that I can get there. Starting a company or investing. I believe I don’t have enough passion to start a company. After spending some time understanding entrepreneurs and what drives them to start companies I…
Borrowing to invest if done correctly can magnify gains. However it’s a double edged sword, it can also magnify your loses. Any investment that has the potential to earn you lots of return also should have the potential to lose a lot of money for you. If someone says otherwise, I recommend you get out :). Important concept here is your risk tolerance. Let’s take a look at an example. If you borrowed $100 000 @ 6%, and earned a…
I read an interesting article. Here are my thoughts on it. Source/Issue: “The 20-minute financial expert” , (MoneySense , www.canadianbusiness.com ) Written by: By Ian McGugan and Duncan Hood Key points from the Article: 1. This article attempts to give the reader a good basis on personal finance related topics such as how to save, smart ways to invest, tax tips, how to use leverage for benefit, insurance, will , how to find a financial adviser, and how to retire….
For many of us investing tends to be a black box. We are forced to think about investing when we start our first job (usually out of university), and we have the option of contributing to an employer matching plan. Or you have some money saved up, and you would like to put it in some place other than your savings account. I know many people are very risk averse, and prefer to keep their money in their savings accounts….