Marie-Claire.Cooper's blog

Investing is a lifelong process. These rules of thumb should be used as guidelines when discussing your investments with a financial planner. You need to grasp four shifting factors.

Starting out: under 30

Because you probably have no dependents, and you have plenty of time to recoup any temporary losses, you can invest aggressively at this stage of your life. When you get a raise increase your contribution to your company-sponsored retirement plan. Try to increase your cash reserves.

A good suggestion would be is that you invest 60 percent in solid growth stocks or growth stock funds, 20 percent in aggressive growth stocks or growth stock funds, 10 percent in growth-and-income funds, 5 percent in bonds or bond funds, and 5 percent in a money market fund. And remember to invest $2,000 or more every year in your IRA (individual retirement account) and to max out your 401(k) or 403(b) contributions.

Thirty-something

A car salesperson’s job is to get as much money out of you as possible, and every new element you add to a deal offers yet another opportunity to do so. Let’s say you decide that leasing is for you and sit down to do the paper-work. All of a sudden you’re facing additional charges for “conveyance,” “disposition,” “acquisition,” “preparation,” and the like. Say what? “Oh, don’t worry,” you’re told, “we’ll just roll them into the lease.”

Like fun you will! Charges like these are pure dealer profit, and they are completely negotiable. To give yourself the leverage you need, bargain with two dealers at once and play them off against each other.

John lost his job six months ago in a round of mass layoffs, and he's been unable to find consistent work since. He and his wife had little in savings, and with every day that passes they're getting further and further behind on their bills.

Two months ago today, Mary's husband walked out on her and the kids. Between childcare costs and other bills, she can barely afford to put food on the table.

Every day thousands of people across the U.S. fall deeper into debt, often through no fault of their own. Left unchecked, this debt ultimately threatens their number one asset, their home, through the process of foreclosure.
It doesn't have to end there, though. There are ways to stop foreclosure, protect your credit and keep your home.

What is Foreclosure?

There’s no reason why you can’t buy mutual funds and also buy stocks on your own. And it doesn’t have to be a big deal. According to a survey, fund investors typically own just three funds and stock investors typically hold just three stocks. However, before you begin any investment program, you might want to consider taking the following steps:

Step 1: Fully fund your IRA, Keogh, 401 (k), and other plans that let you use pre-tax dollars to earn tax-deferred interest. If you’re in your twenties or thirties, this should be your absolute number-one priority. By being an “early investor,” you’ll reap the benefits of long-term, tax-deferred compounding.

An Anecdote of a Smart Business Man - There were three stores in a row. One day the owner of the right-hand store put up a sign: “FIRE SALE.”