What is the Difference Between Saving, Investing, and Gambling?
Recognizing the differences between saving, investing, and gambling will help you compartmentalize each, and avoid common mistakes. It’s an easy mistake because not enough people think it through, and the terms are used interchangeably in our culture. Keeping saving, investing, and gambling three separate activities in your mind and in your account structure will help you be more successful managing your money and growing your wealth.
...Explain Free Cash Flow and Free Cash Flow Yield
Free Cash Flow determines whether a company has sufficient cash resources to meet the goals of the entity and its’ stakeholders (debt reduction, dividends, stock buybacks, acquisitions, etc.).
Free Cash Flow Yield determines if the stock price provides good value for the amount of free cash flow being generated.
Over Diversification: Hurting Your Investment Returns?
Over diversification is a serious and common mistake that decreases investment returns disproportionately to the benefits received.
...3 Types of Investors – Which Type Are You?
There are 3 main types of investors today; each with their own characteristics and results: The buy high sell low investor, the index investor (passive management), and the value investor.
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