- How Much of Your Savings Should You Invest?
Your savings are a pillar of your financial foundation. And as you build out your financial plan, you’ll likely wonder: How much of your savings should you invest? The answer will depend on your financial needs, goals and risk tolerance. Let’s… read more…
- How to Know When the Stock Market Bottoms Out
From global politics to the prospects of tech startups, many influences drive the stock market. So when investors grapple with market volatility, one question often emerges: Will the market rebound now or is it headed further downward? While there are… read more…
- How to Buy SpaceX Stock
Space Exploration Technologies Corp., commonly known as SpaceX, has rocketed to public prominence with an internal valuation of $350 billion. Investor interest is keen, but only a select few entities have been able to acquire direct ownership stakes in the Elon Musk-founded company. Despite that, there are ways to acquire an indirect ownership interest, at least… read more…
- Understanding Direct Indexing vs. ETFs
Investors interested in diversifying their portfolios can use direct indexing and ETFs to achieve that goal. While an ETF can be a simpler option, you can exercise more control over your portfolio with direct indexing solutions. Let’s compare the advantages and disadvantages of both for your portfolio. A financial advisor could help you pick the best… read more…
- What Is a Margin Call?
Buying on margin means investors borrow funds through their brokerage accounts to invest, with the goal being to earn more money through your investment. But sometimes, you may lose money when the investment drops in value. At that point, a margin call may enter the picture. If you are on the fence about a margin… read more…
- How to Buy CATL Stock
Investors who want to piggyback on the growth of popular companies should look at ancillary businesses that grow in parallel because of their relationship to the popular business. For investors who find Tesla (TSLA) appealing, an ancillary company to consider… read more…
- How to Find Cost Basis of Old Stock
Determining the cost basis of old stock can be challenging, especially if purchase records are missing. Investors can check brokerage statements, company investor relations pages, or IRS guidelines for reconstructing cost basis. If records are unavailable, the IRS allows the use of the first-in, first-out method or an average cost approach for mutual funds, ensuring… read more…
- Long-Term Investments vs. Short-Term Investments
Creating an investment portfolio requires clarity about your goals, risk tolerance, desired investments, and time horizon. Decide if you’re aiming for quick gains or long-term growth, as this will shape your mix of short- and long-term investments. Understanding their differences and trade-offs ensures your portfolio aligns with your objectives. For help setting up a portfolio… read more…
- How to Buy Hertz Global Holdings (HTZ) Stock
As more people start traveling after a two-year pandemic, many investors are looking at a revival in the car rental sector for new investment opportunities. One of the biggest companies in this sector is Hertz. Let’s break down how to buy stock in this car rental company and what to look out for before investing.… read more…
- How to Buy Uranium Stocks
Growing global interest in nuclear power as a carbon-free source of energy has led to increasing prices for uranium used as nuclear power plant fuel as well as the shares of companies that mine and process uranium. There is no commodities market for the radioactive mineral so investors who want to profit from uranium’s rise… read more…
- Public vs. Private Companies: Key Differences
Though similar in many respects, private and public companies differ in significant ways. Private companies only have to follow laws and statutes that apply to everyone else. Publicly traded companies, on the other hand, have to obey both generally applicable… read more…
- Institutional Investors vs. Retail Investors
Whether you’re a working parent focused on keeping up your 401(k) contributions or starting your first job out of college without giving much thought to retirement, you may not be aware of who trades on the market and how your small slice of securities fits in with the rest of the investing activity. The stock… read more…
- Ways to Survive a Market Downturn
Current market volatility has many investors wondering how to minimize losses and find new opportunities. But whether you’re worrying over your IRA or alternative investments, there are several strategies you can implement to survive a market downturn. So, to navigate the current market conditions with ease, here are some ways to keep calm and invest on. A financial advisor can… read more…
- What Is the Nominal Rate of Return?
The nominal rate of return shows the yield of an investment over time without accounting for negative elements such as inflation or taxes. By calculating the nominal rate of return, you can compare the performance of your assets easily, regardless of the inflation rate or differing spans of time for each investment. By obtaining a bird’s-eye view of… read more…
- Can a Public Company Go Private?
In recent months, the news has been full of speculation about Elon Musk potentially purchasing Twitter and making it a private company, leading some people to wonder exactly how that works. Firstly – yes, a publicly traded company can, in fact, become privately held again. While the application of this can be fairly complicated (as… read more…
- ETFs vs. Hedge Funds: Which Is Better?
If you are an ordinary investor, an ETF is often a good investment. In part this is because an ETF has a more stable risk profile than a hedge fund, but mostly it’s because an ETF is your only legal option. Hedge funds are limited to institutions and high-net-worth (or “accredited”) investors. If you are an… read more…
- What You Need to Know About Poison Pills
A poison pill is a defensive strategy used by companies seeking to fend off hostile takeovers. Also known as a shareholder rights plan, a poison pill aims to deter other companies or shareholders from acquiring a target firm by driving up the price of the potential acquisition or making it exceedingly difficult to complete. When… read more…
- What Is Foreign Direct Investment (FDI)?
Investment opportunities have expanded more and more, and globalization has enabled yet another avenue: foreign direct investment. This form of investment allows businesses to expand their operations by investing directly in foreign countries. In terms of incoming foreign investment, China and… read more…
- 5 High-Net-Worth Investing Strategies
High-net-worth investors are those with at least $1 million in investable assets. While hard-and-fast investing strategies like keeping tabs on asset allocation, holding a diversified set of assets, and focusing on long-term investments, apply to everyone there are some strategies that specifically benefit those who already have substantial money to work with. Here are five… read more…
- A Guide to Understanding ESG Ratings
Investors passionate about environmental, social, or governance concerns often use the ESG ratings to assess companies or equities worth investing in. The ESG rating tells investors the level of risk exposure a company has in these three areas. Therefore, issues such as energy efficiency and sustainability may have current and future financial implications that should… read more…
- What Is the Average Stock Holding Period?
There are a number of factors that can influence your decision to buy stocks and when you decide to sell them. Your average stock holding period can depend on your overall strategy. If you favor a buy-and-hold approach, then you may purchase stocks with the intent to keep them in your portfolio for decades until… read more…
- Gold vs. Silver Investments: Which Is Better?
Commodities trading means you’re buying and selling raw materials rather than finished products (like a house) or financial assets (like stocks and bonds). Commodities are assets like corn, coffee, lumber and ore. One common form of commodities trading is investing… read more…
- What Is a Restricted Stock Unit (RSU)?
A restricted stock unit (RSU) is a form of common stock that a company promises to deliver to an employee at a future date, depending on various vesting and performance conditions. Restricted stock units are not received until these restrictions… read more…
- 5 Bear Market Investing Strategies
As an investor, you are used to seeing prices rise and fall regularly. But at times, you might encounter a prolonged drop in prices. It might be a bear market, which happens when the prices of key assets fall in… read more…
- What to Know About Automatic Rebalancing
A diversified portfolio enables investors to minimize risk while participating in multiple investment sectors. Over time, the performance of these different sectors causes your portfolio to be out of balance. Rebalancing brings your investment assets back to your intended allocation… read more…