Investments

I am glad you asked!

Don’t think you have enough money to start investing today?

Yes you can! To invest directly in the stock market at the cheapest cost you need to buy 100 shares of a company and that is called a Lot. If you don’t buy at least 100 shares, the price you will pay for those shares will be more expensive. The other issue is that you are not diversified, so if that company’s stock price goes down, you lose, but if you owned stock in multiple companies and multiple industries, then hopefully as some stocks in your account go down, other stocks would go up and minimize your lost. So what do you do?

Mutual Funds, ETFs and Annuities are the Answer!

Investing in these vehicles allow you the ability to diversify your investments when you have limited dollars to invest. Most mutual fund companies allow you to invest as little as $25 when you sign up to invest monthly, which is called dollar cost averaging. This allows so many people with limited funds to start investing in the stock market.

What are the benefits of Dollar Cost Averaging?

When you invest monthly you will get the benefits of more shares when the price is low and less shares when the price is high. In the end, the idea is that when you average all of your shares and prices paid, you will have gotten a cheaper price than if you would have invested a lump sum one or two times a year. See example below:

Dollar Cost Averaging

We could have invested our $1,200 lump sum in March or October and we would have only purchased 150 shares, which at the end of the year would have given us a profit of $300. The trick is to invest at the cheapest cost and investing a fixed dollar amount on a regular schedule will lower the average cost per share over time. This is Dollar Cost Averaging.

So what now?

If you want to learn more about investing or to learn more about investing strategies, call me or complete the Contact Us form from the Menu drop down, for a free consultation. Below are some of the services that I offer:

Monthly and Yearly Coaching Packages available
Tax Planning and Strategy Planning
Insurance and Retirement Planning
Budget and Credit Repair Management
On-Line and Classroom Training and Coaching

*Building Relationships with Integrity and Trust*

Part Of Every Sound Financial Plan!!

Everyone Needs Life Insurance!

LexisNexis, a leading risk management research company, said 68% of Americans don’t have life insurance. We don’t think twice about having car insurance or health insurance so why are we not putting the same importance on life insurance?

Is Only having work offered Life Insurance enough?

Most jobs offer an amount that is 1, 2 or 3 times your current salary. Obtaining this type of life insurance is very cheap and sometimes it is even free up to $50,000. But don’t be fooled, this can actually give us a false sense of protection! Case and point: if there is only one person working in the household or maybe there are children, 1 to 2 times is not going to be enough to cover burial expenses, ongoing living expenses for the surviving spouse and kids or even college. Having enough protection to cover these kinds of expenses, you will most likely need more like 9 or 10 times your current salary as a death benefit!

Use Life Insurance to pay for college.

Life insurance is a way of covering those expenses for our loved ones that we always wanted to pay, but due to unfortunate circumstances, we are not around to do so. Permanent Life Insurance allows policy loans against the life insurance cash value, which can be used to pay for your kid’s college expenses. Not only is the repayment cheaper, but you are borrowing from yourself and that is the best kind of loan. Life Insurance is not by any means the cheapest way to save for college, it is probably one of the most expensive. But life is expensive and caring for kids, pets, and everyday expenses already puts a strain on our paycheck leaving saving for retirement and college virtually non-existent.

But I have a solution!

Don’t let your challenges stop you from calling me. As your Financial Success Coach, I will partner with you to come up with a plan to achieve your goals for your today and for your future. No matter where you are starting out, I have strategies that can immediately be put into place to start you on this journey. Remember, to get to where you want to be you’ve got to start! You’ve got to TAKE ACTION!!

Call me today for a free strategy session

Nikki Bargas

How can I start investing in the Stock Market with only $25?