How to select a wealth management seminar
When selecting a wealth management seminar, you should look for smaller size classes containing 25 people or less. Topics should include estate planning, financial planning, retirement plans for small businesses and the self-employed, savings and investing for retirement, understanding your 401(k) and employer fiduciary responsibility. Investing in times of trouble and economic market outlook are among other topics that should be covered.
One strategy recently discussed in a wealth management seminar I attended was using the equity in your primary residence as an investment vehicle and asset protection play, however, it is a risky proposition.
Here are the details, you take out a low interest mortgage on your home, you then you invest the proceeds in investments that are protected from creditors. This achieves a few things, first, this keeps creditors from viewing the house as an easy target for legal judgments personally as the home has very little equity due to the mortgage.
And secondly, let’s assume you were able to acquire a mortgage at 6% interest. If your investments return 9%, you are ahead 3%. But don’t make the mistake of taking out an adjustable rate mortgage because you may find yourself losing equity and investment dollars at the same time.
The largest risk you face cashing out all of the equity in your home is what happens if you lose money in all or most of your investments? What if your investment return doesn’t cover the payment on the mortgage and with your creditors decide to take your investments rather than your house?
While the cash out mortgage programs are a good deal, you should consider talking to an attorney about the state laws protecting your home and a certified financial planner about ways to boost investments to cover the mortgage payments.
Sure Fire Forex Trading
If you hear someone saying that he has a sure fire forex trading strategy, he is either lying or truly a genius because no such system exists.
While the Forex offers a very simple and attainable path to sustainable investment income, it is extremely volatile for the retail investor. The typical margin on a Forex trade is 1%, or $1,000. Highly leveraged positions definitely give investors more access to potentially profitable opportunities, but they also are very susceptible to losses. That is why Forex investors need a solid investment strategy to find the best currency pairs and entry/exit points.
Unfortunately, there just is no sure fire forex trading system but that is no reason to come to the market unprepared. Dow Theory states that long-term, identifiable trends exist with respect to price movements.
Always trust your charts. They are everything to a technical trader and you must trust your investment strategy and interpretation of the charts in order to succeed. Don’t allow short-term price fluctuations distract you from the bigger trend—because that is where the profits lie!
Always back test your investment strategy by creating a hypothetical investment portfolio performance history of a currency pair you are interested in. Then, apply your current asset criteria to the hypothetical portfolio and see how accurately your strategy predicts movement. You want to find a strategy with a 70% success rate or higher in order to be profitable on the Forex.
Never over trade! You can make more profit with 5-6 great trades than by using some scalping strategy which is very vulnerable to loss due to the highly leveraged positions common to the Forex.
While there is no sure fire forex trading system, these simple steps will greatly improve your odds of success and help you develop a reliable strategy that will consistently produce profits—even when it does miss occasionally!