Financial Planning, Retirement Plan, 401k, Investment Blog

Financial Planning, Retirement Plan, 401k, Investment Blog

Posts Tagged ‘cash’

Cash is King Once Again

Posted February 12, 2009 by Bernz

Not that long ago, investing was all about the hot stocks; the Googles, Apples, and RIM’s of the market. Solid, reliable stocks were considered boring and cash…well, cash was just unheard of in portfolios. Why would you want to have cash hanging around when you could be investing it in a stock or mutual fund that was about to reach astronomical heights?

In a bull market, most investors keep their cash balances to a minimum as they try to stay fully invested. However, when markets slide, cash is the right investment to hold. Cash holds its value regardless of the condition of the market and it always generates a positive return. That’s more than most stocks can say these days.

Holding cash in your portfolio also allows you to take advantage of bargain basement prices on quality stocks and mutual funds that will occur in the future. This allows you to pick and choose your time to jump back into the market with both feet. Being fully invested in a down market leaves you with the unattractive sole option of selling out of an under-performing stock to buy a bargain. This locks in your losses and paints you into a proverbial corner when it comes to finding the money to take advantage of deals.

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Tags: cash, cash is king, money, save money, savings
Posted in Misc, Saving Money, Stock Market Investing | 1 Comment »

Bartering Away the Recession

Posted February 5, 2009 by Bernz

As the daily economic news continues to paint a bleak picture of the health of American business, consumers seek out new ways to make the dollars stretch until the end of the month. A very old way of doing business is once again gaining popularity for its frugality and simplicity. Barter has been around ever since the beginning of commerce, only becoming more scarce as money took over as a means of trade. In the past several years, however, barter has become fashionable and organized barter networks have popped up all over the country.

Barter networks bring together those who have goods and services to trade and allow them to do so with pseudo-cash. These “barter dollars” accrue in members’ accounts and can be used to purchase other available items or services offered on the network. The bartering can be done face-to-face at barter meetings or, increasingly, on the internet.

Bartering helps the under-employed use their skills for compensation from customers who might not otherwise have the cash to spend. It then lets members purchase from any other member on the network with the “money” earned.

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Technorati Tags: barter, cash, economy, Frugality, personal finance, recession, Saving, taxes, unemployment

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Tags: barter, cash, economy, Frugality, personal finance, recession, Saving, taxes, unemployment
Posted in Frugality, Misc, Saving Money | 2 Comments »