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Strategies and guidelines to building your own “bank” of savings for financial security

24 May 2013 2,573 views 5 Comments

When you are the active “CEO/CFO and Chairman” of your money, it will perform better than simply leaving it in the hands of an advisor.

Only you know you the best:  your particular financial situation, your risk tolerance, your time horizon, investment objectives, your financial needs and wants, your financial obligations now and in the future; … the future? … you “bet” your life – literally – if you don’t know and consider these very crucial concerns!!!

You must be the master of your own monetary destiny. Keep in mind that the “professionals” with whom you engage to “assist” with your financial progress and security are, by definition for the most part, seeking to make money for their “professional” services … which, by the very nature of this relationship, is a conflict of interest:  their gains vs. yours! The more “active” your account is, in many cases, the more money they make in commissions and fees, for example.

The following videos offer some guidelines and strategies and a primer to getting started to building your own “bank” of savings, to getting a better sense of how to build your own investment portfolio, your own retirement account to help secure your financial future:

SHOULD YOU PAY SOMEONE TO MANAGE YOUR 401K? – CNBC reports
(video 6:59)

Herb Greenberg’s 13 INVESTMENT COMMANDMENTS
(video 2:44)

Jim Cramer, host of CNBC’s Mad Money shares his take on the “Good, bad & ugly of 401(k)s” and employer matches with your 401(k) contributions.
(video 9:44)

My take: Take time with investing; patience pays!

Long-ing to make money and longing to limit losses are compelling motivations that often result with short-term thinking, acting impulsively, and contrary results.

By merely taking the long-term (buy-n-hold for at least 1 – 1 ½ years) investment approach without doing your steady study and without keeping a watchful eye on your investments is not worth the increased risk.

Just like your physical health, your fiscal health of investing and saving for retirement requires your steady attention and good discipline:  knowing when to buy and when to sell, how to preserve your initial investment, how to avoid excessive costs and unnecessary losses, and to keep your emotions out of the equation. You owe no loyalty to well-performing stocks! They can turn on you at any time!

5 Comments »

  • Ray said:

    Superb article! Thanks!

  • Ramona said:

    Such a good post with very important points.

  • Deb said:

    Second entry I’ve read tonight, and I am on my third. Got to think which one is next. Thank you.

  • Sue said:

    Great post with lots of interesting things to digest. Very informative.

  • Dave said:

    Thank you very much for such detailed, necessary, and important financial info.