Habits for Wealth

Polo Ralph Lauren- if you invested 10 years ago..

2008-07-26T21:26:00.001-07:00

Western Union Co.- 10 year returns

2008-07-26T21:23:00.000-07:00

Manitowoc Co. Inc

2008-07-26T21:19:00.001-07:00

American Capital, Ltd.- if you had invested 10 years ago..

2008-07-26T21:09:00.001-07:00

Nordstrom: 10 year returns

2008-07-25T21:14:00.001-07:00

Unilever- 10 year returns

2008-07-25T21:11:00.001-07:00

Pepsi: 10 year returns

2008-07-25T21:08:00.001-07:00

GE: 10 year returns

2008-07-25T21:07:00.001-07:00

CAT: 10 year returns

2008-07-25T21:03:00.001-07:00

P&G: 10 year returns

2008-07-25T21:00:00.000-07:00

If you had invested in Dupont for 10 years..

2008-07-25T20:57:00.000-07:00

if you invested 10K for 10 years.....

2008-07-25T20:46:00.001-07:00

Recommended Books

2008-06-09T17:09:00.000-07:00

Recommended Books

Contrarian Investment Strategies, the Next Generation: Beat the Market by Going Against the Crowd
by David Dreman

Contrarian Investment Strategies: The Next Generation shows investors how to outperform professional money managers and profit from potential Wall Street panics -- all in Dreman's trademark style, which The New York Times calls "witty and clear as a silver bell." Dreman reveals a proven, systematic, and safe way to beat the market by buying stocks of good companies when they are currently out of favor.
Buy this book

How to Invest $50 - $5,000
by Nancy Dunnan

Written specifically with the small investor in mind, this book is the most accessible and complete guide ever published on low-risk, high-value investments. This updated edition includes all-new information: inexpensive on-line trading, ways to save and pay for college (before or after graduation), how to get shareholder freebies and discounts, and hometown picks and backyard stocks.
Buy this book

Featured Author: Nancy Dunnan

Dunnan's Guide to Your Investment$ 2000: The Year-Round Investment SourceBook for Managing Your Personal Finances	Dun and Bradstreet Guide to Your Investments	How to Invest $50 - $5,000

Never Call Your Broker on Monday: And 300 Other Financial Lessons You Can't Afford Not to Know	Never Balance Your Checkbook on Tuesday: And 300 More Financial Lessons You Can't Afford Not to Know	Never Short a Stock on Wednesday: And 300 More Financial Lessons You Can't Afford Not to Know



Buying stocks without a broker by Charles B. Carlson The Bestselling Guide That Has Started Thousands of Investors on The Road to Commision-Free Investing	Chuck Carlson's 60-Second Investor by Charles B Carlson 201 Proven Money-Making Tips and Tools for Every Investor	No-Load Stocks by Charles B. Carlson How to Buy Your First Share and Every Share directly from the Company, with No Broker's Fee

Free Lunch on Wall Street by Charles B. Carlson Perks, Freebies, and Giveaways for Investors	The Individual Investor Revolution by Charles B. Carlson Seize Your New Powers of Investing and Make More Money in the Market Individual Investor Revolution (Hardcover) by Charles B. Carlson Seize Your New Powers of Investing and Make More Money in the Market	Eight Steps to Seven Figures by Charles B. Carlson The Investment Strategies of Everyday Millionaires and how You Can Become Wealthy Too

Buying stocks OR paying off debt

2008-05-20T18:09:00.001-07:00

Buying stocks or paying off debt. My suggestion is that given the stocks are selling low, it is best to buy stocks and pay off debt slowly. That is, if you have a reasonable amount in stocks while they are low and start paying off more in debt when stocks go up. If you are paying around 8-11% in interest in debt, it is best to pay insterest only and invest the rest in stocks.

When you feel you have enough invested, then you can start paying more on your debt. In this way, while you are paying off debt, your dividends will continue to grow.

Invest wisely

Shoebox

Seven remarkable stocks

2008-04-27T12:54:00.001-07:00

Seven remarkable stocks
With these insights in mind, I screened for dividend payers with expected annual growth rates of more than 15% over the next five years. I then included only those stocks that have received a high rating from our Motley Fool CAPS investment research service. Here are the results:

Company	Yield	CAPS Rating (out of 5)
America Movil (NYSE: AMX)	3.7%	*****
Intel	2.5%	****
Johnson Controls (NYSE: JCI)	1.5%	*****
Vale (NYSE: RIO)	1.5%	*****
Tesoro (NYSE: TSO)	1.0%	****
Teva Pharmaceutical (Nasdaq: TEVA)	1.0%	*****
Baker Hughes (NYSE: BHI)	0.7%	*****

Data from Yahoo! Finance, adr.com, and Motley Fool CAPS as of Feb. 21, 2008.

Fund your retirement

2008-04-25T16:47:00.001-07:00

An investor who picked up $10,000 worth of Altria in January 1970 initially acquired 277 shares, a stake that would have started by paying out a mere $69 per quarter at the time.

That wasn't much then, but after 38 years of stock splits, our hypothetical investor now has 26,592 shares of Altria, another 26,592 shares of the recently spun-off Philip Morris International (NYSE: PM) and 18,402 shares of the earlier spin-off of Kraft -- altogether worth $2.5 million today. Perhaps, more importantly, our investor would be receiving about $100,000 each year in dividends. (It should also be noted that these figures would be even larger if the investor reinvested dividends over the years.)

(from Motley Fool)

2008-04-12T11:04:00.001-07:00

A global giant- Marlbroro

2008-03-31T12:16:00.001-07:00

STOCK: PM
Philip Morris International, or PMI, is the world's leading tobacco company and the third most profitable international consumer goods company. It generated revenue in excess of $55 billion and operating profit of roughly $8.9 billion in fiscal 2007.

The company sells its products in some 160 countries and owns seven of the top 15 brands in the world, including Marlboro, Parliament, Virginia Slims, and L&M. In all, PMI held a 15.6% share of the international cigarette market in 2007. The company is especially strong in the higher-margin premium segment of the market, where it estimates that it held a 52.4% share (excluding China) in 2007.

Stocks of the day: Healthcare

2008-03-30T21:53:00.000-07:00

I like health care stocks. They have done well over the years. Today, I would like to compare two solid companies in which both you have used or heard of their products. First, Bristol Myers Squib. According to their website, the company was founded in 1887. It was formerly known as Bristol-Myers Company and changed its name to Bristol-Myers Squibb Company in 1989. BMS is headquartered in New York, New York. They have several drugs on the market with their flagship med, Erbitux. But, here are the real numbers. The company provides 5.8% dividend yield.

Second company, is Baxter. You may not have heard of this company, but you or someone you know have used their products if they have been hospitalized. Baxter International was founded in 1931 and is based in Deerfield, Illinois. Again, solid numbers, but the Dividend Yield is on the low side. Regardless, this company has been around for years, and as long as there are going to be sick or injured people here or abroad this companies products will be in demand.

Invest to buy and hold.

Stock of the day- BP Prudhoe Bay Royalty Trust

2008-03-29T13:53:00.001-07:00

BP Prudhoe Bay Royalty Trust operates as a grantor trust. The company holds overriding royalty interests constituting a non-operational interest in minerals in the Prudhoe Bay oil field located on the North Slope in Alaska.

If you are looking for solid numbers, then look no further.. Low PE ratio, solid EPS and a wopping 13% Dividend..

Altria Group, Inc. Completes Spin-off of Philip Morris International Inc.

2008-03-28T20:55:00.001-07:00

NEW YORK--(BUSINESS WIRE)--March 28, 2008--Regulatory News:

Altria Group, Inc. (NYSE: MO) today completed the spin-off of Philip Morris International Inc. (PMI) to shareholders of Altria Group, Inc. (Altria).

The distribution of 100% of the shares of PMI was made today to Altria's shareholders of record as of 5:00 p.m. New York City Time on March 19, 2008 (the "record date").

Altria shareholders received one share of PMI stock for every share of Altria common stock outstanding at 5:00 p.m. New York City Time on the record date.

As previously announced, Altria is moving its corporate headquarters to Richmond, Virginia.

PMI has mailed an Information Statement containing details of the PMI spin-off to shareholders as of the record date. The Information Statement and answers to frequently-asked questions (FAQs) are available on Altria's investor website at www.altria.com/pmispinoff.

PMI shares will begin regular way trading on the New York Stock Exchange (NYSE) under the symbol "PM," as well as the NYSE Euronext Paris and SWX Swiss exchanges, on March 31, 2008. Altria shares will continue to trade under the symbol "MO" on the NYSE. Both Altria and PMI will be constituents of the Standard & Poor's 100 and 500 Indices, effective the same day.

Stock of the day- USA Mobility - Risky??

2008-03-28T09:07:00.001-07:00

OK. I am not an investment advisor or an analyst. But, how is this company providing a 49% dividend with a negative EPS? It is losing earnings but providing almost 50% return for each share you own? Nice dividends but a risky stock to own. I've mentioned before that a low PE ratio with a positive EPS and a nice dividend return is a good buy.. But, this company is missing a couple of those characteristics..

About US Mobility: USA Mobility, Inc. provides wireless communications solutions to the healthcare, government, enterprise, and emergency response sectors in the United States

Habits for Wealth- Podcast #1

2008-03-27T21:05:00.000-07:00

Download here

If you like to drink hard acohol- stock pick

2008-03-27T17:00:00.000-07:00

Smirnoff vodka, Johnnie Walker scotch whisky, Captain Morgan rum, Baileys Original Irish Cream liqueur, JeB scotch whisky, Tanqueray gin, and Guinness stout. Its other spirit brands include Crown Royal Canadian whisky, Buchanan's De Luxe whisky, Gordon's gin and vodka, Windsor Premier whisky, Bell's Extra Special whisky, Dimple/Pinch whisky, Seagram's 7 Crown American whiskey, Old Parr whisky, Seagram's VO Canadian whisky,

Stock of the day- BioVail

2008-03-27T16:36:00.000-07:00

With $1.22 EPS, over 1B market cap and 13.8% Div.. and a PE ratio of 9. You can't beat these numbers.

Smart ways to be frugal without sacrificing style

2008-03-24T14:55:00.000-07:00

By Hillary Rhodes
The Associated Press

March 23 2008

With the country's economic health on the line, how can you save money
without suffering style? Here are some ideas to live the fabulous life while
still being frugal.

The complete article can be viewed at:
http://www.chicagotribune.com/features/lifestyle/q/chi-0323_frufabmar23,1,68
15953.story

Excerpts from the book "The Donald J. Trump "How to Get Rich"

2008-03-15T22:49:00.000-07:00

Here are some of the excerpts from the book in which I felt are good quotes to highlight..

"I lost momentum. I was out of the world for twenty years, I came back, and I wasn't the same." Donald discussing about his friend, Mr. Levitt. "No matter what you're managing, don't assume you can glide by. Momentum is something you have to work at to maintain."

"You're on the runway, buy your feel supply is the problem. You won't get off the ground without it. Feed yourself some positive thoughts and you can take off at any time."

"Think of their criticism as a compliment, proof of your significance."

"My parents were frugal in the sense that they knew it wasn't easy to make money, and that it should be treated with respect. They lived well but simply, and were not flamboyant in their spending. We rarely went out to eat. We took relatively few elaborate vacations."

"College kids today are more money savvy, perhaps, than kids from earlier generations. They seem serious about their money. This is a good sign, because the sooner you understand the value of money, the more likely you are to possess large amounts of it."

"Don't be confined by your expectations. Sometimes, what we think we want and what we actually want are two different things."

"Beware of little expenses. A small leak will sink a great ship."

How to Make a Million Dollars- Success Stories

2008-03-15T22:43:00.001-07:00

by Lee Ann Obringer

If you're feeling overwhelmed by the number of steps to take on your way to making a million dollars, check out these stories of ordinary people who became millionaires.

Neil McCarthy
Neil McCarthy started investing in the stock market when he was 34, in the 1970s. Today he has a net worth of about $2.1 million. When stocks went down, he bought more. He contributed the maximum to both his IRA and his 401(k) and his employer matched 100 percent. That's truly free money -- no risk. The big payoff came during the 1990s bull market when his stock doubled in three or four years, suddenly reaching $1 million.

He avoided technology companies because it didn't make sense to him. He saw price-earnings ratios of 200 to 300 and "thought it was absolute nonsense." This practical investing style saved his millionaire status when the market crashed. When he retired in 2000, McCarthy took his retirement payout as a lump sum. Just before interest rates started to fall, he invested part of the money in an immediate annuity and earned a bigger payout than if he had chosen the company's pension annuity.

His number one piece of advice that made all the difference is this: "If you wait to save out of what's left over from your salary, it's not going to happen. Pay yourself first."

James Moran
James Moran began by pumping gas at age 14 and getting his hands dirty running gas stations and fixing cars. In 1968, he acquired a Toyota distributorship and eventually added financing, leasing and insurance for auto dealers. Today he owns the world's largest privately-held Toyota distributorship with sales of $7.6 billion. His net worth is 1.4 billion.

Petro Kulynych
Petro "Pete" Kulynych started at the bottom as the bookkeeper for a small hardware store in North Carolina, earning $25 a week. That store became the first in the Lowe's hardware chain and Mr. Kulynych ended up a top executive. He is quoted as saying, "I live in a small town and I don't stick out any more than the guy down the street who works in the service station."

Mike Domek
Mike Domek started his business with $100 in 1992. He had run out of money for college and decided to try ticket brokering full time to save up for school. He launched TicketsNow, an online company, 7 years later. Domek's projected sales for 2005 were $120 million and he did it without any outside funding.

Joel Boblit
Joel Boblit launched BigBadToyStore.com in 1999. He sold action figures as a hobby for extra money while he was in school. With the help of his parents, he was able to turn it into a thriving business. BigBadToyStore caters to specialty toy buyers with vintage favorites like Star Wars figurines and Teenage Mutant Ninja Turtles as well as comic- and movie-related items. His projected 2005 sales were more than $4 million.

Five Habits of Millionaires

2008-03-15T22:29:00.001-07:00

by Barbara Reinhold

According to a study of college students at the Ernst & Young International Intern Leadership Conference in Orlando, Florida, 59 percent of these young leaders expect to be millionaires within their lifetime. What's more, 5 percent of them expect to hit the million-dollar mark while in their 20s.

And the super-rich are a growing group. The top 0.1 percent of the population's average income was $3 million in 2002, up two and a half times the $1.2 million, adjusted for inflation, that group reported in 1980.

Earned Money vs. Easy Money

Easy money usually comes from inheritance or luck, such as winning the lottery. The track record of people who get their money through the lottery or other windfalls is usually very different from those who created their wealth themselves or who planned for an expected inheritance. Lottery winners are often a sorry lot; more than 90 percent use up their winnings within 10 years -- some go through their money in weeks or months.

But there are some consistent patterns among those people who earn or plan to inherit their money, and these five strategies may be worth emulating.

1. Avoid the Earn-to-Spend Mentality

Michael LeBoeuf, author of The Millionaire in You, points out that to increase wealth, it's essential to emulate millionaires who view money as something to save and invest, rather than income to spend. Many wealthy people live quite simply, he points out, choosing less pretentious homes than they could theoretically afford and opting for financial independence over material showmanship.

2. Focus

LeBoeuf also counsels resisting the impulse to be scattered in your efforts and interests: "Winners focus; losers spray." And goals that are clearly written down are easier to keep in focus.

3. Do Whatever Is Necessary to Meet Your Goal

People who earn their millions are able not only to focus but persevere in the pursuit of their goals. One single mom entrepreneur, Melissa Clark-Reynolds, started her first business, a health and safety consultancy, when she had a young son. En route to her goal of being a millionaire by age 35, Clarke-Reynolds and her son ate lots of pizza, did homework late at night and often slept at the office. She is now a chief executive mentor for Empower New Zealand, a global business consulting firm headquartered in London.

4. Take Calculated Risks

You have to take strategic risks to earn and grow money. And a little rebelliousness seems to help too. One interesting study found a majority of male millionaire entrepreneurs had been in trouble with school authorities or the police during their adolescence.

5. Be Generous

And why doesn't it surprise us that millionaires are often very generous? Sometimes it's for the tax breaks, obviously, but often it's not. One Jewish Swiss millionaire, for instance, flew to Israel to give $5,000 in cash to a waiter at a Jerusalem café who foiled a Palestinian suicide bombing. Among the most generous of millionaires are those from North America, who are, according to a Merrill Lynch Cap-Gemini report, two to five times more likely to give to causes they value than their European counterparts.

These five habits are a pretty good prescription for living happily even if you're not a millionaire.

But LeBoeuf insists it's not so unusual to be a millionaire. As of 2004, there were 8.2 million households with a net worth of more than $1 million. And are the folks in those households happy? Yes, says professor Andrew Oswald of the University of Warwick in the UK. After studying more than 9,000 people over eight years, Oswald concluded that people who come into money are happier. The happiest among them, he says, seem to be "highly educated, well-paid women who have jobs."

And how much money does the professor say it takes to be happy? "About $1 million, give or take a little."

"Life is Good" for these guys..

2008-03-10T19:31:00.000-07:00

I was traveling to Orange County, California this past weekend. While waiting for my flight, I noticed a "fun" store inside the gates. Several folks from all ages were eager to set foot at this place as if it were a coffee shop and/or bookstore. Naturally, I followed since I had some extra time. There were no books or coffee but lots of t-shirts, stress balls and an emotional sense of "happiness". I took a picture of the store to remind me to search the web on what "life is good" products are and who is behind all this. Well, it seems that the entire story can be read on lifeisgood.com website. And this is not just a t-shirt company. This is an $80M corporation. These guys have been featured on the cover of Inc. magazine.

Book Review

2008-03-07T21:41:00.000-08:00

By Garrett Sutton

Scott Shane is Professor of Entrepreneurial Studies at Case Western Reserve University and has written or edited eleven books, as well as the author of over 60 scholarly articles on entrepreneurship. In his new book, The Illusions of Entrepreneurship: The Costly Myths that Entrepreneurs, Investors, and Policy Makers Live By, Shane points out that many of those ideas of being an entrepreneur are MYTHS, and it’s important to take a realistic look at what it is really like to be an entrepreneur in America Today. For more information

Today's featured company- Paychex

2008-03-07T08:53:00.001-08:00

Today’s featured company is Paychex. This company is a world leader in payroll services. Every midsize company I have consulted for tend to use their services. In fact, I really did not pay attention to the paychecks I received, but the name stuck to my head. Later, when I began my investing that it triggered my memory that this company has been around for a long time. What a brand recognition in the industry???

According to their website, It offers payroll processing services, which include the calculation, preparation, and delivery of employee payroll checks;

This company provides a good % dividend yield. Of course, you can also buy stock direct from the company..

Book value and intrinsic value are two ways to measure the value of a company. As you can see from the table below year after year their BVS has had a strong increase.

Your Rebate Check

2008-03-06T22:02:00.001-08:00

Stock of the day- Froot Loops?

2008-03-06T11:01:00.000-08:00

Today's stock is one of my favorites. It is best to buy stocks in companies you are familiar with and products you use. Odds are others use the products we are grown to love. With Kellogg's direct purchase plan, you can automate your purchase on a monthly basis. With annual dividend payout increases, it is no doubt, this is a solid company.

With the PE ratio of 18.22 and EPS of over $2 with a dividend of 2.5%, this continues to be a good stock to buy and hold.

Write your investment GOALS

2008-03-06T09:38:00.000-08:00

It is a known fact that successful people write their "to do" list everyday,

and review their goals at least weekly. This is important to keep you

focused on what is important to you.

This is no different for your investment goals. For example, if you want

to invest every "extra" money, don't go out and buy

that new iPod. If it is want and not a need, then you shouldn't

Invest in luxuries. It is important to do this as you may drift away from your intent.

SIX INVESTMENT GOALS

What are your investment goals?

Find money to invest in the Market.....

2008-03-04T16:44:00.000-08:00

Many folks spend their time in making extra money rather than spending some extra time in saving money where it is frivolously spent. It is like pouring more water in a bucket that has holes. Here is a website (www.connectutilities.com) where you can enter your address information to determine if you are paying too much for utilities. Even if you don't want to change providers, you can always use these numbers as negotiating tool to lower your service bill with current provider.

Use this extra $30, $40 or more to invest in the market on a monthly basis.

Buy to hold..

Successful Investment Program

2008-03-03T18:30:00.000-08:00

Accordingly, "Stocks in the S&P 500 index that paid dividends in 2000 climbed nearly 16%, while nondividend payers slipped more than 2%. On average, in the latest three bear markets years, 200--2002, the dividend payers in the index roughly broke even, while the nondividend stocks fell 35%. In 2004 dividend-paying stocks in the S&P 500 had a total return of 18.2%, compared with 13.2% in 2003. From 2001-2004 dividend payers in the S&P 500 rose 40.5% versus a 27.4% gain for nonpayers."

Buying dividend blue chip stocks are a good "lazy" way in investing. There is no need to forecast or the worry in volatility. Buy it and forget it. Companies such as Johnson and Johnson, Clorox, Boeing, Verizon, etc..

Buy to Hold

Waste of time or waste of money?

2008-03-02T21:17:00.000-08:00

Several times I have blogged about placing your money into assets and let your assets pay for your luxuries (or toys). I accumulated enough points on my AMEX card that I decided to get the iPod video to use during my travels on flights. I wouldn't really spend money on these gadgets? Right? Well, I did spend a lot of time after receiving it in the mail. I have been using the Philips Portable DVD DCP750 (with iPod docking station) for over a year now to watch DVD on during flights. Recently I decided to complement this with an iPod video. I have lots of download TED videos over the years which are nice to view as a refresher. These videos can be downloaded from TED.com.

The iPod classic is a cool gadget. However, after hours of searching online (I am new to gadgets) I find out that the 6th generation iPods don't work with the Panasonic due to a locked key and new firmware. This this whole thing ticked me off. I was hoping to watch my videos on a larger screen on Panasonic. Upon searching and purchasing several different Apple AV cables, there is only one cable that costs $49 that works to unlock the iPod to be used on the Panasonic DVD with the iPod docking station. This is the only cable that will work with the TV out option of this iPod. After several hours of syncing and downloading iTunes with this iPod and visiting several local Fry's and Best Buy to find the proper cables, it dawned on me why I was wasting so much of my time on this? I am not a fan of iTunes, so the use of this software was new to me. By the way, if you upgrade the iPod firmware from 1.0.2 to 1.1.1, the TV output will not work on these nice Portable DVD docking stations. I am not a techie, so you can imagine how much time I spent on this entire process. I couldn't give up. I was determined to get this thing to work and to have all my videos converted from MPEG to MP4 to upload on this iPod. For the past several days, I have been so involved in this, that now I want to get the iPod Touch with the wii-Fi capabilities. Although, the measly 8 or 16 gig is a small hard drive, and I wouldn't spend the money for the 32GIG hard drive.

This journey began to make me think, that my entire psychology has been to invest your money into assets (regardless of how small) into buying stock, etc and allow dividends to pay for the toys. This was the time that I stepped away from the store when I was about to purchase the iTouch. I thought to myself that this goes against my psychology and mindset. I would be much more content to put this money (and the wasted time) into the market. I guess the money is not the big issue, it is the time required to get the gadgets to work. And each new "toy" requires lots of accessories that require more money. This time could be better spent reading the several financial books I have sitting in my bookshelf ready to be read.

Invest wisely in your time and money..

Turning $1,000 Into $277 Trillion

2008-03-01T13:20:00.000-08:00

By Seth Jayson February 15, 2008

Recently, I wrote a little article (with nearly the same name as this one) aimed at exposing a fairly common market myth: the idea that any individual can trade his or her way to supersized returns, day in and day out.

"All I need is the chart," these hopeful traders tell me. They say, "Give me jumpy, high-volume, popular stocks like Applied Micro Circuits (Nasdaq: AMCC), and I can skim a few percent per trade, 50% or 100% a month."

"That will make me rich!"

5 More Top Growth Stocks

2008-03-01T13:10:00.000-08:00

By Tim Beyers February 21, 2008

Are you really a growth investor?

It's worth asking. Fast-moving tech stocks have taken a beating recently, leading to a slew of bargains for those with the guts to buy.

No surprises there. Market panics occur daily. Just ask investors who hold shares of ValueClick (Nasdaq: VCLK), which fell more than 4% on Tuesday on no news whatsoever. Sheesh.

2008-02-29T12:54:00.001-08:00

Washington Mutual is a well branded bank everyone has heard of. Unfortunately, the EPS is negative given all the issues they have had with the mortgage side of the business. Regardless, they continue to provide a 3.6% dividend yield and I highly doubt this company is going to go down the drain. The company market cap is fairly large with over 13B. I have been buying WM for a few years now at high prices, but now I continue to buy with discounted price. Since the EPS is negative the PE ratio is not calculated. This is a good buy for the long-term buy to hold

Who's Not Investing?

2008-02-29T06:53:00.000-08:00

Millions marry and start families each year without taking basic steps to
make sure their future, as well as their children's, is financially secure.

According to a recent survey by Princeton University and the Consumer
Federation of America, 70% of households with incomes under $50,000 a year
have retirement savings of less than $5,000. This same report said "most
Americans are living paycheck to paycheck".

Buy to Hold- Biovail Corporation

2008-02-28T21:23:00.000-08:00

Biovail Corporation is a specialty pharmaceutical company that applies advanced drug-delivery technologies to improve the clinical effectiveness of medicines. This company provides a 10.70% Yield with a very low PE ratio.. Buy now and hold for the long-run. Buying just 2-3 shares a month will allow you to see the growth in a few years so long as you re-invest the dividends.

Invest now--Why the urgency?

2008-02-23T15:06:00.000-08:00

Truth be told, your most important retirement asset isn't your cash -- it's your time. The longer you have before you must spend your money, the less you need to save per month (and in total) to have what you'll need when you need it. It's just the way compounding works.

Assume that you're looking to retire by age 70 with $1 million socked away, and you think you can roughly match the market's historical 10% annualized return. These numbers show just how important time is to meeting your financial goals:

Years to Go	Monthly Investment	Total Invested
50	$57.72	$34,633.25
45	$95.40	$51,514.42
40	$158.13	$75,900.37
35	$263.39	$110,624.19
30	$442.38	$159,257.65
25	$753.67	$226,102.24
20	$1,316.88	$316,051.95
15	$2,412.72	$434,289.21
10	$4,881.74	$585,808.84
5	$12,913.71	$774,822.68

If you thought coming up with $58 a month to invest at age 20 was tough, just try waiting until age 60, and finding nearly 80 times as much spare cash in your budget. No matter how you slice it, the sooner you get started, the less painful it'll be.

Invest with emotions

2008-02-18T19:48:00.001-08:00

The conventional thought is not to invest in the market with your emotions
involved. I am here to tell you to do the opposite. With the key factors
(listed below), you should go with your gut feeling. These factors include
the following.

1. Does the company have a brand recognition? Eg Coke, John Deere, IBM,
BofA.
2. Does the company have a large market cap...in the billions?
3. Is the PE ratio low?
4. How is the EPS?
5. Does it give dividends?

Now, as you can see from the above Google fits all with the exception for
#5. And, therefore should not be a long-term investment company in your
portfolio. The reason for this (and Apple) is that if the stock price goes
down you don't win. But, if dividends are given out, you still receive
returns.

Pay yorself first.

How does dividend reinvesting impact my taxes? How are dividends that are reinvested taxed?

2008-02-18T07:43:00.001-08:00

When you reinvest your dividends, you are really receiving a dividend and then buying additional shares of stock. So you pay income tax on the dividends that are paid to you, and the new shares that are purchased are nothing more than capital assets, just like the original stock purchased. If you hold these shares for a year or less before you sell them, you'll pay taxes on any gains at your marginal income tax bracket. But if you hold the shares for more than one year, any gain that you realize will be taxed at the preferred capital gains rates.

Your Online Banking is Blocked?

2008-02-16T14:39:00.000-08:00

This is the dumbest email I have received. First, I don't have a BofA account, and second, they use the word "their" instead of "there". The email looks professional, but the content sucks.. Even when you click on this, it goes to an IP address instead of bofa.com.. What a dumb scam. .I wonder if anyone still falls for this?

Your Online Banking is Blocked

Because of unusual number of invalid login attempts on your account, we had to believe that, their might be some security problem on your account.

So we have decided to put an extra verification process to ensure your identity and your account security.

Please click on continue to the verification process and ensure your account security. It is all about your security.

Thank you.

How much do you need to invest in the market?

2008-02-16T14:23:00.001-08:00

Simple: just $100 per month. You will see the growth over the years.
Later, I will show you how you can build a portfolio in just $100 per month
of investing in stocks such as JNJ and CAT.

Buy stocks in companies with products you use.

2008-02-16T09:21:00.000-08:00

Have you heard of Mr. Clean products? How about Scope mouth wash? These are products we use everyday. You can purchase stocks in Proctor and Gamble directly without a broker. They have a direct deposit application where you can purchase stocks on a monthly basis. Better yet, the stocks certificate will be in your name...(traditionally, if you buy through a broker, it would be in the broker's name).

Here is some other great info.. Market Cap for the company is 204B.. That is big. PE ratio is fairly low, EPS is over $3, and they give out over 2% dividends. Percent dividends are not much, but you have a strong company with well-known brands. You can buy and hold for a very very very long time with no worries about the market. Reinvesting the dividends will get you more shares.

How to invest in P&G

Market Cap:		204.04B
P/E (ttm):		20.06
EPS (ttm):		3.31
Div & Yield:		1.40 (2.10%)

Pay yourself first..

2008-02-15T16:30:00.001-08:00

Slow Growth Could Cost Wall Street Jobs

Even banks that have avoided big hits, like Credit Suisse, are eying layoffs, sources tell TheStreet.com.

2/15/2008 12:06 PM EST

What is in a DRIP?

2008-02-15T15:41:00.001-08:00

From Yahoo Finance

A DRIP is one of the greatest secrets ever revealed to the small investor. A DRIP can be one of the best tools to help the individual investor's find financial success. A DRIP doesn't require a large sum of money to be invested, so almost anyone can participate.

So what's a DRIP? It stands for Dividend Reinvestment Plan, a program run by a publicly-traded company for its shareholders. Instead of sending dividend checks to shareholders enrolled in a company's DRIP, the company reinvests those dividends by purchasing additional shares (or fractional shares) in the shareholder's name. A shareholder usually needs only one share to enroll in a company's DRIP plan, and most of the time the company will reinvest a shareholder's dividends without a fee or commission.

Some companies have DRIPs that are enormously popular with their shareholders. RPM, Inc., a Fortune 500 specialty chemical company, reports that 71% of its shareholders are enrolled in its DRIP. Over 64% of the shareholders of AFLAC, Inc., a company that sells supplemental life insurance policies, are enrolled in that company's DRIP. Over 1,200 companies have dividend reinvestment plans for their shareholders.

Companies like DRIPs for several reasons. DRIPs provide a stable base of shareholders who are likely to have a long-term, "buy and hold" investment philosophy. Individuals, particularly those who are dollar cost averaging into their DRIPs, may see the drop in a stock's share price as a buying opportunity, as opposed to institutions and traders who move in and out of stocks with short-term goals in mind. This base of individual shareholders can help stabilize a company's share price. DRIPs keep capital inside the company, by not paying cash dividends outright and having those dividends reinvested in additional share purchases. DRIPs can also help companies to raise additional capital without making a public offering.

Here's the best part about DRIPs: most allow additional purchases to be made by participants without paying a fee or commission!

That means that an investor can purchase additional shares of stock through a DRIP with as little as $10 or $25. Most companies allow these Optional Cash Purchases (OCPs) on a regular schedule, usually once or twice a month, or sometimes quarterly. The company purchases the shares and issues statements that detail the shareholder's account.

So, what's a DRIP?

2008-02-15T14:57:00.000-08:00

From Yahoo Finance

Here's the best part about DRIPs: most allow additional purchases to be made by participants without paying a fee or commission!

Ask the Readers: What’s the Best Way to Compare Credit Cards?

2008-02-15T09:21:00.001-08:00

Ask the Readers: What's the Best Way to Compare Credit Cards?

Posted: 15 Feb 2008 07:00 AM CST on Get Rich Slowly

In October, Michael wrote with a question about credit cards. Because I try to discourage credit card use, I haven't posted it. But my attitude is beginning to soften. Michael's question now seems perfectly reasonable, and I suspect other readers have similar concerns. He writes:

I have a credit card account which I got with Wells Fargo when I started college. I'd like to switch over to a card with some sort of bonus (miles, or cash back or something), which means I'm now credit card shopping. As I've tried to look for the best credit card for my needs, I've run into some difficulties:

There are TONS of junk pages out there making it hard to find good objective comparison sites.
Info pages on the cards only list the initial APR (which is usually super low, like 0% for 12 months.)

I may actually keep the current credit card open since I've had it for almost six years and have been very responsible with it. I've paid it off completely every month, except for maybe two or three times, but always paid it off completely the following month.

I can't recall having seen an article like this on your site. How can I choose a credit card?

Fool.com: Drip Portfolio

2008-02-14T15:12:00.001-08:00

http://www.fool.com/dripport/whataredrips.htm

Drips are offered by companies to their shareholders as a way to buy stock directly from the company (usually through a transfer agent) in very small amounts to large amounts, and usually on a monthly basis if desired. The plans also reinvest all or partial dividends paid (it's up to the shareholder) into more stock, thus the name "Dividend Reinvestment Plan."

Now, we know Drip or DRP isn't a very Foolish name, but for now it gets the point across: You're reinvesting dividends, but you're also "dripping" money into your holdings every month, ideally. Drip... drip... drip.... And that adds up over time.

The advantages of such plans are numerous, the most obvious of which being: You don't need a large amount of money to start. You can open an account with as little as one share of stock. Let's look at some other "perks."

Investing Through DRIPs

2008-02-14T15:08:00.000-08:00

Investing Through DRIPs

Companies offer DRPs as a way for their shareholders to buy stock directly from the company (usually through a transfer agent) in very small to large amounts, and usually on a monthly basis if desired. These plans get their name from the fact that they also reinvest dividends paid, using these dividends to purchase more stock. Thus the name "Dividend Reinvestment Plan." The specifics of whether or not you have to reinvest the dividends depends on the plan.

4 Stocks That Took a Hike

2008-02-14T15:05:00.000-08:00

4 Stocks That Took a Hike
By Rick Aristotle Munarriz February 11, 2008

7 Recommendations

I love to kick off the new trading week by taking a quick peek at companies that have just raised their dividends, because any company that's easing up on its pocketbook probably has improving fundamentals to back up that generosity.

Looking for a discount Brokerage firm?

2008-02-13T01:19:00.000-08:00

Given the number of sites on the web regarding dollar cost averaging, I decided to discuss one of the brokerage firms that provide such service.. You can purchase stock and mutual funds on a monthly basis. There are lots of these types of firms out there, but cost associated for each transaction can add up. You may want to check out a discount broker for such use as DCA.. I recommend Sogotrade.

Tax Secrets

2008-02-13T00:01:00.000-08:00

A small pdf file download of tax secrets.

15 minute retirement plan

2008-02-12T23:53:00.000-08:00

A nice and easy steps to follow and learn about retirement plans.. a small pdf file to download.

What is Risk

2008-02-10T15:01:00.001-08:00

Simply define risk as uncertainty: the possibility that an outcome might be different than what is expected. Risk according to Emmett and Therese Vaughan Risk is a condition in which there is a possibility of an adverse deviation from a desired outcome that is expected or hoped for.

Mathematical Illusion: Why Dollar-Cost Averaging Does Not Work

2008-02-10T13:43:00.001-08:00

Contributions

Mathematical Illusion: Why Dollar-Cost Averaging Does Not Work
by John G. Greenhut, Ph.D.

Executive Summary

In spite of the weight of evidence provided in academic literature against the strategy of dollar-cost averaging, DCA continues to be practiced by investors and recommended by financial advisors.
Beyond its psychological appeal, the popularity of the approach can be said to stem from simple illustrations that show DCA resulting in greater stock holdings across a stock market cycle than is achieved by a one-time, lump-sum investment. Alternatively presented, the average cost per share purchased under DCA is demonstrated, by example, to be less than the average price of stock over its cycle.
This paper challenges that illustration. It shows that variations in stock prices should not follow the mathematical pattern assumed in the examples. In fact, the price movement should follow a particular mathematical form that yields the same number of shares purchased, whether by DCA or lump-sum investing.
Absent any benefit from stock price volatility in reducing average cost, the performance of DCA rests on the trend in stock prices, with DCA outperforming in downward markets and lump sum outperforming in upward markets. Since the latter case is the norm over time, customary empirical findings in the finance literature of underperformance by DCA are explained.
The theory in this paper is confirmed by examining a broad sample of stocks, contrasted over the high-growth trend in the second half of the 1990s against the general market malaise over the following half-decade. In the absence of this trend, DCA and lump sum provide equivalent results.

John G. Greenhut, Ph.D.

Dollar-Cost Averaging (DCA)

2008-02-10T11:09:00.001-08:00

Dollar-Cost Averaging (DCA)

	The technique of buying a fixed dollar amount of a particular investment on a regular schedule, regardless of the share price. More shares are purchased when prices are low, and fewer shares are bought when prices are high. Also referred to as a "constant dollar plan".

	Eventually, the average cost per share of the security will become smaller and smaller. Dollar-cost averaging lessens the risk of investing a large amount in a single investment at the wrong time. In the U.K., it is known as "pound-cost averaging".