Bankrupt Nortel, Mutual Funds, and Invest Now

Stocks, Mutual Funds, and Your Financial Goals

First Published Date : January 22, 2009 ADawnJournal.com

In my book Invest Now I mentioned that mutual funds are a less risky investment product than stocks and really suit those who are looking to keep risks at a minimum. I always come across financial gurus and regular investors complaining about the cost of mutual funds. However, they always fail to mention that stock investors may lose all their money if they pick the wrong stocks, but mutual fund investors are very unlikely to lose everything even if they pick the wrong mutual funds.

Just look at what happened to recently bankrupt Nortel. At the peak of the tech bubble, this superhero was trading at $1,231. And now its stocks are worthless. Let’s say you put in $100,000 in Nortel stock a week ago, or a year ago. How much is your $100,000 worth now? Nothing. How about the same $100,000 invested in a mutual fund a week or a year ago? It’s hard to say how much it would have been worth now (based on what you bought); but you can say in confidence that you would not have lost all your money—although you may have paid $2000 fees. Which one do you think is better? Paying a few thousand dollars in fees and keeping your money, or losing all your money without paying any fees?

The problem with stock is that it is extremely hard to pick winning individual stocks. On the other hand, mutual funds are designed for average investors; as a result, it’s not that hard to pick a mutual fund with a moderate rate of return. However, you need to be careful so you don’t end up paying hefty fees. In Invest Now, I discussed how you can invest in mutual funds without paying lots of fees. Also, I emphasized low-cost index funds. Index funds are not actively managed funds: no portfolio managers run the fund. Index funds mirror the market performance of an index by buying stocks or other instruments that match the underlying index’s composition.

In order to be a successful investor and realise your financial goals, you need to avoid unnecessary risks and paying sky-rocketed fees. Mutual funds, especially index funds, can offer all these with minimal effort and time. Even when everything goes wrong, it is unlikely that you will lose all your money with mutual funds. However, such is not the case with stocks. Just ask investors across the globe that were holding Nortel in their portfolio; they will be glad to tell you, had they known it before, they would have held mutual funds. Even the riskiest fund on earth with the highest fees would not have wiped out all their money in one day like Nortel did.

Invest Now Hits Chapters Indigo Bookshelves

The Wait Is Over - Invest Now Is Available

First Published: June 20, 2008 ADawnJournal.com

I am writing this post to let all A Dawn Journal readers know that Invest Now has hit Chapters Indigo bookshelves. Invest Now is initially available at -

 

Chapters - Queensway
1950 The Queensway
Etobicoke, Ontario
M9C 5H5 Canada
(416)622-2838

Later on, Invest Now will be placed in additional locations.  Invest Now is also available at these fine online shops: Amazon.ca, Chapters.indigo.ca, Barnesandnoble.com.  Invest Now delivers a convincing case for avoiding daily spending temptations and then shows you the secrets to smart investing. With as little as $25, you can become a successful investor by following three simple and practical steps.

The must-have guide for Canadian investors, Invest Now delivers three surprisingly simple steps to safeguard your financial future.

You don’t have to be a financial guru to develop a consistent savings plan and accumulate wealth. Invest Now offers all the tools and motivation you need to start building a safe and secure financial future now for you and your family. Invest Now has won prestigious Editor’s Choice and highly prestigious Publisher’s Choice award for its editorial integrity and outstanding design quality.

Invest Now at Chapters Indigo Queensway.jpg

NB: To view more pictures, please visit A Dawn Journal Flickr page

Award-winning Invest Now covers a broad range of topics including Internet Scams. To purchase a copy, visit Chapters Indigo or click here to buy online - Invest Now: A Canadian's Guide to Investing

No One Cares About Your Money

Care About Your Money

No one cares about your money but you. Only you know how hard it is to earn a dollar, and even harder to save a dollar - that’s why self-interest is the best interest. The funny thing about money is that everyone can give advice about your money, but they are not nearly so casual with their own money. You are the one who earned it, and only you know the value of each dollar. Why give your money someone else to invest? Do you think that someone else will treat your money the same way as you do - of course not. That someone else will not act his/her best to protect your interests. He/she will act best to protect his/her own interests. You will not do frequent trading to earn commissions. However, that someone else might. That’s why I believe you should be your own money manager. I don’t believe you need to hire a financial advisor to start investing. But if you never invested before, how you can start on your own?

My first book Invest Now assumes you never invested before and teaches you how to start investing for the first time. It is written in simple and plain English, and you will never need a financial dictionary. You don’t have to be a financial guru to develop a consistent saving plan and accumulate wealth. Invest Now offers all the tools and motivation you need to start building a safe and secure financial future now for you and your family.

Award-winning book Invest Now is jam-packed with timely information and timeless advice for the beginning Canadian investor. To purchase a copy, visit Chapters Indigo or buy online - Invest Now: A Canadian's Guide to Investing

First Published: ADawnJournal.com
Apr 15, 2008

You don’t have to be a financial guru anymore to invest - INVEST NOW has been published

Invest Now: Ahmed Dawn

First Published: ADawnJournal.com Mar 8, 2008

I am writing this post to let you all know that Invest Now has been published and available at all major online stores.  Invest Now delivers a convincing case for avoiding daily spending temptations and then shows you the secrets to smart investing. With as little as $25, you can become a successful investor by following three simple and practical steps.

The must-have guide for Canadian investors, Invest Now delivers three surprisingly simple steps to safeguard your financial future.

You don’t have to be a financial guru to develop a consistent savings plan and accumulate wealth. Invest Now offers all the tools and motivation you need to start building a safe and secure financial future now for you and your family. Invest Now has won prestigious Editor’s Choice and highly prestigious Publisher’s Choice award for its editorial integrity and outstanding design quality.

I will issue a pres s release shortly stating the publication of Invest Now. Invest Now is not available at bookstores yet. Invest Now will take another two to three weeks to hit Chapters shelves. I will let you know once that happens and also will issue another press release.

Why We Don’t Invest?

Why You Should Invest

Our main problem is a lack of information. Most Canadians were never taught any personal-finance lessons in school and in university. Also, we have this idea that in order to invest, we need a lot of money, a PhD, and status as an investment guru. Invest Now shows you how you can start investing with very little money—and even less expertise. Investing can be as simple as walking into a bank or picking up your phone.

First Published: ADawnJournal.com Mar 27, 2008

Award-winning book Invest Now is jam-packed with timely information and timeless advice for the beginning Canadian investor. To purchase a copy, visit Chapters Indigo or buy online - Invest Now: A Canadian's Guide to Investing