If I had to give one piece of advice to help improve your financial situation, it would be to track...
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A three-fund portfolio is a simple way to diversify across the world's stock and bond markets, and guarantee yourself your...
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I think getting these different "layers" confused is the absolute number one most common confusion in investing. So let's walk...
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I often discuss how owning your primary home isn't a great investment. In fact, after you account for property taxes,...
Continue Reading
When you learn enough about investing and how the market works, you realize that trying to beat the market is...
Continue ReadingIf I had to give one piece of advice to help improve your financial situation, it would be to track your net worth. Not knowing your net worth is like spending your whole education and career learning how to play football but not knowing how to keep score. Earning money from your career is playing […]
A three-fund portfolio is a simple way to diversify across the world’s stock and bond markets, and guarantee yourself your fair share of the full world’s market growth. It’s optimal investing with optimal simplicity. What is a three-fund portfolio? A three fund portfolio is an allocation of just three funds that make up an entire […]
I think getting these different “layers” confused is the absolute number one most common confusion in investing. So let’s walk through what happens when you invest.1. You go to a brokerage website (e.g. Vanguard.com)2. You open an account (e.g. a Roth IRA)… now your Roth IRA is with/inside of Vanguard.3. You contribute money to your […]
I often discuss how owning your primary home isn’t a great investment. In fact, after you account for property taxes, mortgage interest, maintenance, insurance, and realtor fees, almost every homeowner loses money net of their expenses. While most homeowners do sell the property for more than they bought it for, that just gives the illusion […]
When you learn enough about investing and how the market works, you realize that trying to beat the market is a fool’s errand. The optimal way to invest is to buy and hold index funds. So what levers can you move to maximize your future wealth? Well, there’s really just a few:• How much you […]
I get this question a lot. ETFs and index funds are nearly identical. The equivalent ETF and index fund (as the example above) contains the exact same stocks and performs exactly the same. The only difference is in how you buy and sell them. ETFs trade like stocks. You can buy and sell in realtime […]
A lot of people go through life with an assumption that when they’re 65 they’ll automatically get to retire. But here’s the thing: Being 65 doesn’t mean you get to retire. If you don’t have any money, you have to keep working (or live in poverty). On the flip side, if you’re 40 and you’ve […]
Many of you know I talk about investing and the power of index funds all the time, but today’s post is about when NOT to invest. The power of investing comes from time. When you have a 10+ year horizon the impact of buying and holding index funds can be massive. But over a shorter […]
For the record, this isn’t a paid post (in fact, I have never done a paid post). I’m also not necessarily endorsing Fidelity, although it is the brokerage I primarily use for about 95% of my liquid assets. That said, it’s pretty cool Fidelity identified the race to the bottom on minimizing fees on index […]
Learn the concept of an index fund and how it differs from an actively managed mutual fund.
