Yes I said it, I’m Buying Stocks…
Not Bonds…Not Mutual Funds…Not Real Estate…Not Gold…Not Artwork or paintings…Not Wine, (yes, I said wine)…Not Sports memoribila…Stocks.
So why buy stocks first??

In this article we’ll explore the concept of Dollar Cost Averaging (DCA). Even if you start late, we all want to just finish rich. DCA is a tool to help you be successful in this tough market by maximizing the value of your investments. If you want to buy low, sell high and preserve your portfolio, DCA continues to pay.
So…what do you know about DCA?
In response to my previous post in which we discussed the basics of options and how to utilize them to profit, a reader asked:
Great article explaining options. It seems like if you did want to enter into one of these hedging strategies using both calls and puts that you would need a pretty big upswing or downswing to realize any profit. This is probably more effective in a volatile market like we are seeing today but under more stable conditions would you still recommend this strategy? – Jeff
That’s a great question, and we can examine the question in a few parts.
Value stocks are a completely unique kind of investment. With thousands of companies that are publicly traded it might seem that they are a common occurrence, but rarely is this true. In depressed economic times, these types of opportunities are more prevalent; however, in most bull markets these opportunities are less frequent. Currently we are undergoing a recession of sorts, which has brought about levels of unemployment and financial uncertainty not seen in over 25 years. While there are many who watched as their retirement portfolios were cut by 20% in this recession and subsequently lost years of accrued wealth, there are those who have the capital to invest during this time and have found an opportunity of a life-time in both the real-estate, and stock markets.
Part 2 in the “Start Investing” series includes info on apt Investing and common pitfalls. If you haven’t read part 1, I suggest you do so here.
Apt Investing Using the amount of money you allocated towards creating a portfolio, take that amount and multiply it by 90%. Set the other 10% percent of the cash aside mentally and make sure you keep this as cash in your portfolio – there will be times when you may need this cash and it will come in handy.