Oct 20, 2014

Article written by Jack Minas of Financial Resources 101 Perhaps the best way to find out whether the stock you are planning to buy is from a small cap company is to check as to whether or not the market capitalization value is $ 1 billion or less. One easy way to do this is to multiply the number of outstanding shares with the current price per share. Yet most experienced investors will tell you that there is a greater degree of risk involved when it comes to investing in these types of shares. So here is a list of risk involved with investing in small cap stocks: Risk #1: Larger competitors always have the upper hand on smaller companies. Risk #2: When market conditions are less than feasible, it’s only the bigger companies that will stand while the smaller ones fade away due to the inability to raise enough capital to deal with the economic downturn that might occur. Risk #3: Most of these small companies are based on an idea, and very often they fail due to the inability to hand over the governance of their company to a real professional who can bring the idea to fruition. Risk #4: Perhaps the biggest reason as to why it is considered to be such a gamble to invest in these types of companies is because they have been in the market for only a short period of time. Thus, investors do not have any data to evaluate and forecast their performance for the future, which makes it very risky....

Oct 14, 2014

Written by Dr. Eric Amidi.   Financial problems can create tension and conflict in any household. It’s easy to become weighed down with financial worries and overburdened with stress. In fact, what most people don’t realize is that these negative thoughts are not only draining but they serve to amplify their problems. As detailed in my book “The Secret Behind The Secret,” you can change your financial situation through the power of positive thinking.   “Positive thinking” means truly focusing your thoughts into the acquisition of money in the future rather than your current situation. When people say they are thinking about their finances, this usually means that they are thinking about their lack of money. This sort of negative thought process will not help you to change your financial situation. Instead, you need to concentrate on the positive aspects of having money and what that can do for you and your family. This creates a better platform for beneficial financial situations to occur.     If you have had financial problems recently, it’s also important to develop a better relationship with money if you want your positive thoughts to translate into success. It’s important to remember that money is a form of energy and how you feel about it will impact its relationship with you. If you want money to start working for you and come to you, it’s important that you have a strong relationship with it. You need to let go of any past issues where money — or a lack of money — has caused you pain in your life.   Eric Amidi is a Quantum Physicist who helped to discover the Top Quark with the team at Fermi National Laboratories. Dr. Eric Amidi is an expert in how neural networks can help the brain to...

Oct 12, 2014

With the New Year coming up you might be reviewing your year and considering taking some resolutions regarding your finances for the years to come. Some of the ideas below might be beneficial to you. Learn Something New About Investing This Year Education is the key to being empowered. Learning more about investment will help you make better decisions and gain more insights on the market. You could consider starting an online class or browsing through finance sites and books. The idea is to invest time in learning about your investment. Making your own financial statement This would require some dedication, but the best way to figure out where you are spending your money and if you have a debt, where it comes from is to track your income and expenditure minutiously. You might put everything on a spreadsheet to help you get a clear picture. Spend Less And Save More This can be easier said than done but exercising self-control and giving much thought before spending on something could make you save a lot in the long run. Try to put thoughts into each and every items that you are buying, this would include a coffee and a donut. Being conscious about your every expenditure could help you realize where you could be saving. Invest In Self-Improvement Learning a new skill or investing in your look could help you progress in your career or give you the motivation to go for a career change. Either way, this could be beneficial to your finance if it helps you earn...

Sep 16, 2014

In June 2014, it was reported by The Economist that the student loan debt exceeded $1.2 trillion in the U.S. Every year thousands of students and even their parents opt to go for a student loan to afford college tuitions. Before you embark into loan application, you could consider the following: Research on the type of loan you are applying for. Applying for a loan is an important decision. Knowing about the characteristics of the loan you are applying for can help you in your decision. Often students can quality for several types of loan, whether they are Perkins loans, Stafford Loans or PLUS loans. Keep track of your credit score and have a copy of your credit report Your credit score can have an impact on the type and amount of loan you can be eligible for. It is important to know your score and to report any errors or potential corrections before going to your financial aid officer. If you have a poor credit score, you might consider loans that do not require this information. Know how much you would be earning after graduation Study the industry around you, especially in your location and field. If you are majoring in a field where the rate of unemployment is high, it might not be advisable to opt for a big student loan. Find out what could be the average salary of young graduates in your field and in your...

Sep 15, 2014

Drawing up a budget plan is the start of a good initiative at managing your income. However, the key is to be able to comply with the set plans. The tips listed below could help you to effectively manage your budget. Keep several bank accounts Having separate bank accounts whereby you will deposit portions of your income and which you would use for different types of expenses could be beneficial to you. For instance, you can have a monthly bills account and one for your personal expenses. This will prevent you from overspending on one aspect. Carry regular checks on your bank statements Regular checks on your bank statements will help you track whether transactions have been processed. You will also be able to have a look “on paper” or online about your spending habits. This might inspire you to cut back on certain expenditures. Another advantage of carrying out regular checks is that you might detect any fraudulent activity right away. Keep a log for your cash outflow If you tend to spend money in cash, you will not be able to keep track of your expenses through your bank statement. Instead you could focus on tracking your cash expenses for a few weeks to know about your habits and make changes accordingly. Perform regular budget reassessment Perform regular reassessment to determine whether your budget is adequate. Situations might change, you might have an income rise and reassessing your budget will give you the opportunity to attribute some of your income to personal expenses that you might have been neglecting...