Investing - Objective Measure

Smart Investing: Top Investment Classes for Women to Grow Wealth

18 March 2024

Annie

No comments

Categories: Investing

As a woman, mastering your finances means more than just saving – it’s about making smart investments that grow your wealth. With unique financial barriers at play, finding the right investment classes tailored for women can be the key to unlocking potential and financial empowerment. This guide reviews top investment classes for women, connecting you with the resources to invest confidently, build wealth, and secure your future.

Key Takeaways

Financial literacy is more crucial than ever for women, addressing gender-specific challenges such as longer lifespans, lower earnings, and shorter work tenures to secure their financial future.
Investment classes designed for women can greatly enhance their financial literacy and investing confidence, focusing on their unique needs, and providing a supportive learning environment.
Online investment communities and resources are instrumental in offering networking opportunities, emotional support, and flexible, self-paced learning for women to thrive in their financial endeavors.

Empowering Women Through Financial Education

Financial education for women is transformative. In a time marked by increasing divorce rates, less frequent remarriage, and the emergence of intricate financial products, arming women with financial knowledge has become paramount for securing their financial future. Women face unique financial challenges, including:

living longer
having shorter work tenures
lower earnings
fewer pension benefits than men

This increases their need for financial literacy to maintain their financial health.

Historically, men have been viewed as the default financial decision-makers within couples, leading to a gender gap in financial literacy. This gap is especially concerning for divorced and unmarried women, who face the risk of lower wealth levels as they approach retirement compared to married couples and unmarried men. Financial literacy correlates with responsible savings and behavior, underscoring the role of financial education in promoting sound financial decisions and retirement savings.

The Need for Financial Literacy

Did you know that less than 20% of middle-aged, college-educated women, can answer a basic compound interest question, compared to about 35% of college-educated males of the same age? This gap in financial literacy is worrisome and is linked to lower levels of savings and investing. The gender gap persists even when accounting for differences in socioeconomic factors, indicating distinct patterns of financial knowledge acquisition between men and women.

Active involvement in the financial decision-making process within households can boost financial knowledge. However, traditionally, men have been more involved in these decisions than women. As financial products grow in number and complexity, equipping women with financial knowledge and helping them take control has become of utmost importance. This presents barriers, but with education, they can be overcome.

Overcoming Barriers to Investing

Empowerment stems from education. For instance, women with higher education levels than their spouses tend to take on more financial decision-making responsibilities. However, there’s a lack of correlation between financial decision-making and literacy among women, unlike men, indicating unique challenges for women in gaining financial knowledge, particularly within household dynamics.

The good news? On-demand learning formats can provide women with a low-pressure educational environment. These formats accommodate their schedules and mitigate the stress associated with fixed deadlines.

Investment Classes Tailored for Women

Investment classes can serve as a valuable ally for women on their financial journey. They provide the knowledge and skills needed to build wealth through various investing strategies. Women’s participation in these classes plays a significant role in enhancing their financial literacy and confidence in investing.

These classes are tailored to the unique needs and circumstances of women, taking into account their financial goals and potential challenges. By focusing on women’s financial needs, these classes offer a safe space for women to learn and grow.

Building Wealth with Confidence

Imagine being able to confidently navigate the world of investing and growing your wealth. Online courses like Objective Measure’s, Investment Essentials, are designed to help beginners start investing and increase their confidence in investing by teaching the essentials of growing money more effectively than with traditional savings.

Financial education emboldens individuals, instilling knowledge and confidence in their capacity to build wealth and achieve financial freedom. Additionally, exposure to other, like-minded individuals can foster growing confidence among female investors, ultimately leading to their financial success and improved well-being.

Benefits of Joining a Like-Minded Community

Becoming part of a community of like-minded women investors can significantly benefit your investment journey. Networking within these communities facilitates professional relationships, which are essential for career growth and advancement. Engaging actively in investment communities like Objective Measure can:

Foster personal development
Provide access to a supportive community of like-minded women
Encourage and foster a sense of belonging
Contribute to overall success in investment endeavors

Access to Free Resources & Encouragement

Beyond networking, investment communities grant access to a plethora of free learning resources. These resources can include books, blogs, podcasts, and much more. These resources, coupled with a judgment-free environment, are crucial for men and women alike to openly share their financial experiences,

A few other benefits of a community like Objective Measure include:

Informal accountability partnership
Mutual support and encouragement among women
Access to a community of finance-savvy women
Continuous engagement and learning

Online Learning at Your Own Pace

Online investment courses, designed to be self-paced, provide unmatched flexibility. These courses fit learning into any schedule, whether early in the morning or late at night. With on-demand courses, women can control their learning experience by pausing and rewinding content to better understand complex investment topics.

The autonomy of self-paced learning enables women to customize their investment education according to their personal interests and financial goals. Platforms like Objective Measure provide beginner investment courses that build a solid foundation and confidence in personal finance and investment strategies.

Virtual Classrooms and Webinars

Virtual classrooms and webinars offer women the opportunity to participate in investment classes, unfettered by geographical limitations. These online platforms offer a mobile learning experience with flexible schedules, including video lectures and readings from experts in the field.

Online communication channels such as discussion boards and chats increase student comfort and participation in the virtual learning process. This way, geography and time zones are no longer barriers to financial education.

On-Demand Content

The self-paced nature of on-demand investment courses also enables women to learn at their convenience, take extra time with challenging material, or progress quickly through topics they’re familiar with. On-demand courses often provide video instruction to accommodate visual learners, supporting a variety of learning preferences and enhancing the overall educational experience.

Summary

In summary, financial education is essential for empowering women to take control of their financial future. Investment classes tailored for women, networking within like-minded communities, and self-paced online courses all contribute to bridging the gender gap in financial literacy and fostering financial freedom. Let’s continue to champion women’s financial literacy and work towards breaking down barriers in the world of finance.

Best Investing Courses Online for Successful Portfolio Growth

13 March 2024

Annie

No comments

Categories: Financial Management, Investing

You’re determined to find the best investing courses online that won’t just promise results but help you achieve them. With options from beginner basics to complex strategies for the pros, our curated list for 2024 is stripped of fluff, equipping you with the knowledge and skills needed to flourish in the investment world. Dive in to find the right course that matches your budget and expertise.

Key Takeaways

Online investing courses offer a range of options, catering to different levels of expertise and financial capacities, including free resources and comprehensive paid courses for targeted learning.
Specialized courses are available to cover various investment strategies and market segments, from stock market mastery and options trading for intermediate learners to advanced portfolio management for seasoned investors.
Accessibility and flexibility are essential considerations with providers like Udemy & Objective Measure offering affordable and self-paced courses with lifetime access, suitable for budget-conscious and time-restricted learners.

Top Online Investing Courses for 2024

Securing your financial future depends heavily on selecting the appropriate investment course. From free detailed lectures to advanced courses, there’s a wide array of online courses to fit every learner’s needs and budget. So, how can you find the best investing courses that offer comprehensive content without breaking the bank?

Best for Beginners: Objective Measure’s Investment Essentials Course

Our Investment Essentials Course serves as an ideal launchpad for beginners venturing into the exhilarating realm of investing. As a nonprofit organization focused on demystifying the complex world of investments, we’ll teach you essential concepts and provide straightforward investment tools (and we won’t try to sell you on future money management).

At Objective Measure, our approach is all about empowering individuals through market analysis. We aim to equip learners with the knowledge to achieve a 6+% return on their investments, instilling confidence and practical skills, rather than promising overnight riches.

It’s a comprehensive course that teaches you:

the basics of investment
how to analyze stocks
how to create a diversified portfolio
how to manage risk
how to develop a long-term investment strategy

This investing course will guide you on your journey to becoming a confident investor, providing you with valuable knowledge from various investment courses.

Learn More Here

Best for Stock Market Investing: Stock Market Mastery

Stock Market Mastery caters to those with an avid interest in uncovering the depths of the stock market, offering courses tailored to different levels of expertise, including stock trading. Among their popular courses is ‘Invest in Stocks Like a Pro Investor by a Pro Investor!’ This course offers comprehensive knowledge of the buy-side research process, financial modeling, and financial statement analysis.

‘Investing in Stocks – The Complete Course!’ caters to individuals looking for a broader perspective, offering a deep dive into the world of stock investments, mutual funds, and ETFs. It’s an excellent resource for advanced students looking to expand their investing skills.

For intermediate students, ‘Technical Trading and Investing Made Easy’ bridges the gap to more advanced concepts. It offers 1.5 hours of on-demand video and other resources across 27 lectures in 6 sections.

Learn More Here

Best for Options Trading: Simpler Trading’s Options Courses

Simpler Trading distinguishes itself as a frontrunner in the field of options trading education. They offer a broad selection of options trading courses in Basic, Premium, and Elite packages, priced from $297 to $997.

Curated by John Carter, a renowned trader, these courses are enriched with expert insights, making them a valuable resource for anyone looking to delve into options trading, especially for bear-bull traders.

Learn More Here

Best for Value Investing: Value Investing Bootcamp

The Value Investing Bootcamp presents a comprehensive exploration of the concept for those captivated by value investing. This course provides an overview of value investing principles and the analytical skills necessary to identify undervalued stocks.

The course equips students with practical knowledge to apply value investing principles effectively in managing and growing their investment portfolios, with a focus on sustainable investing. Not only that but students also get to delve into the investment styles of prominent value investors like Warren Buffet, understanding their strategies and decision-making processes in the investing classroom.

By the end of the Value Investing Bootcamp, you will be well-versed in:

Techniques for finding undervalued value stocks
Understanding market inefficiencies
Financial statement analysis
Evaluating company management

{Learn More Here}

Summary

We’ve covered a range of online investing courses designed for different skill levels and budgets. Whether you’re a beginner looking to understand the basics of investing or an advanced investor seeking to enhance your portfolio management skills, there’s an online course tailored to your needs.

One thing to keep in mind as you’re considering an investment course is this: what is their goal as an organization? Do they care about education or are they trying to sell you on something more? At Objective Measure, our only goal is to create simple tools and healthy environments for improved financial behavior.

Remember, the key to successful investing lies in continual learning and adapting your investment strategy based on market trends and your financial goals. Through an investing course, you’ll be one step closer to becoming a confident investor, ready to navigate the exciting world of investing.

The Trap of Passive Participation: Active Investing Provides Better Results

11 March 2024

The Brand Office

No comments

Categories: Financial Inspiration, Investing

In the realm of finance, the term “passive investing” suggests the idea of setting and forgetting your investments, relinquishing control to the whims of the market. However, this is a dangerous approach that exposes you to risks you can’t necessarily recognize. Passive investing, characterized by a lack of engagement and involvement, sets investors up for failure with less information, less confidence, and less experience than engaged investors. In contrast, active participation in your investments offers a pathway to informed decision-making, resilience, and ultimately, financial success.

Understanding the Risks of Passive Investing

Passive investing may seem appealing in its simplicity, but it comes with unavoidable pitfalls. Investing is not one-size-fits-all, so an untailored approach means you are investing blindly and without a strategy in place. Without a clear understanding of what you own or the associated costs, you may be paying excessive fees for unsuitable assets. Furthermore, failing to regularly assess your portfolio leaves you vulnerable to market fluctuations and unresponsive to changes in your own needs and circumstances. Ultimately, passive investing can lead to excessive costs, missed opportunities, and subpar returns, while setting you up to be unprepared for future challenges.

The Importance of Active Participation

Active engagement in your investments is essential for limiting these risks and fostering financial resilience. By taking the time to know your investments inside and out, you gain valuable insights into their performance, costs, and alignment with your goals. This knowledge empowers you to ask the right questions, make informed decisions, and adapt your investment strategies as things change. Whether it’s reassessing your risk tolerance, reallocating assets, or exploring new opportunities, active participation allows you to stay agile and responsive in an ever-changing financial landscape.

The Benefits of Being Actively Engaged

The benefits of active engagement in investing extend far beyond mere financial returns. By actively participating in your investments, you gain experience and cultivate confidence in your financial decision-making. You gain a deeper understanding of financial principles, reducing anxiety and fostering a sense of control over your financial future. All of this builds resilience in the face of market volatility and changing circumstances. Moreover, active participation enables you to seize opportunities for growth and pursue your long-term financial goals with clarity and purpose.

While passive investing may offer a semblance of ease and convenience, it’s important to recognize the inherent risks it poses. By embracing active participation in your investments—knowing your investments, regularly assessing your portfolio, asking the right questions, and adapting your strategies—you empower yourself to navigate the complexities of the financial markets with confidence and resilience. Don’t settle for passive indifference; take charge of your financial future today and pave the way to freedom and prosperity.

Align Your Investments with Your Beliefs: An Intro to Faith-Based Investing

7 March 2024

Annie

No comments

Categories: Investing

Does your investment strategy honor your faith? Faith-based investing lets you put your money where your morals are, blending fiscal responsibility with ethical integrity. Jump ahead in this article to learn the nuts and bolts of choosing investments that align with your religious values, and to understand the unique challenges you might face in this morally attuned financial journey.

Key Takeaways

Faith-based investing involves creating a financial portfolio that is aligned with an individual’s religious, moral, and ethical beliefs, excluding companies engaged in practices contrary to those principles.
Investors dedicated to faith-based investing conduct thorough screenings of potential investments to ensure they align with moral and ethical values, resulting in unique portfolio compositions that reflect their religious convictions.
Despite the aim of reflecting one’s personal beliefs and goals, faith-based investing comes with its own set of challenges, including potential underperformance and market risks, necessitating regular reassessment of investment strategies.

The Essence of Faith-Based Investing

The intriguing concept of faith-based investing intertwines financial decisions with an individual’s religious, moral, and ethical sensibilities. Picture a world where your investment portfolio reflects not just your financial goals, but also your deeply held beliefs. It’s about making money while adhering to your religious principles, a concept that echoes the essence of faith-based investing.

The idea of exclusion is central to this investment strategy. Faith-based investors often steer clear of companies engaged in practices contrary to their religious principles, such as those profiting from:

tobacco
gambling
weapons
other areas deemed unethical or harmful

It’s not just about returns; it’s about being socially responsible and ethical in the process of socially responsible investing.

Aside from avoiding the ‘bad’ companies, faith-based investing also involves actively pursuing the ‘good’ ones. Companies that demonstrate a genuine concern for economic justice, corporate responsibility, and environmental protection are often preferred by faith-based investors. It’s about using your investment portfolio as a tool to bring about positive change, while still achieving high financial returns.

Whilst aiming for high returns, like any financial endeavor, faith-based investing also maintains a balance with adherence to religious convictions. It’s a careful dance between achieving financial success and staying true to one’s faith.

Despite its many merits, faith-based investing is not without criticism. Some argue that such investments may be overly optimistic about their moral purity and not sufficiently realistic about the moral ambiguity of the world. These critiques, however, do little to dampen the growing interest in faith-based investing.

Aligning Investments with Personal Values and Goals

A fundamental aspect of faith-based investing is aligning investments with personal values and goals, including values-based investing and sustainable investing. It’s about making your money work for you in a way that aligns with your core values, such as:

corporate governance
environmental sustainability
social justice
community development
personal conviction

It’s about using your money to voice your beliefs and support causes you care about.

Identifying these core values often marks the start of the journey towards faith-based investing. Once these values are defined, investors typically establish clear, measurable personal goals that reflect their faith and ethical preferences, such as funding education or retirement sustainably.

However, formulating a faith-based investment strategy is a challenging task. Here is where investment professionals can significantly help. They can guide investors in finding socially responsible funds or money managers that align with their individual risk/return preferences as well as their spiritual beliefs.

Besides recommending faith-aligned investment products, financial advisors may utilize ESG (Environmental, Social, Governance) criteria to match these investments with the investor’s value. Keep in mind, however, that ESG criteria aren’t always a formula for proving an investment is more noble. In fact, according to this 2022 Harvard Business Review article, “they found that the companies in the ESG portfolios had worse compliance records for both labor and environmental rules. They also found that companies added to ESG portfolios did not subsequently improve compliance with labor or environmental regulations.” Because of this, it’s important to thoroughly vet the organizations you’re interested in investing in. Be careful to take ownership of your investments and do the research so you’re prepared to make the most informed decisions.

Navigating Challenges in Faith-Based Investing

Even with its many merits, faith-based investing comes with challenges. Some investors might view faith-based funds as potentially underperforming, considering them financially irresponsible or a poor reflection of stewardship, while others may worry they are just marketing schemes exploiting a weak conscience (think back to the Harvard Business Review we referenced earlier). Regardless of your opinion, it’s important to understand the potential pitfalls and how to navigate them effectively.

Similar to conventional investments, faith-based investments also acknowledge that investing involves risk, facing market volatility and risks including:

Economic downturns
Interest rate fluctuations
Government policy changes
Geopolitical tensions

The reality of navigating the challenges of faith-based investments is this: You need to ask the right questions, do thorough research, and only invest when you feel 100% comfortable and knowledgeable about the fund, product, or organization. There are many scams out there. Don’t let the passion you have for your faith cloud your judgment in analyzing your investments.

Summary

Faith-based investing is a fascinating journey that seeks to harmonize financial success with religious convictions and moral values. It can create a financial strategy that not only meets your financial goals but also upholds your deeply held beliefs. While it comes with its share of challenges, the rewards of aligning your investments with your faith can be profoundly satisfying.

Online Investing Classes: Your Guide to Smart Financial Education

7 March 2024

Annie

No comments

Categories: Financial Inspiration, Financial Literacy, Investing

Deciding on online investing classes can shape your financial future. Whether you aspire to grasp the basics or master advanced investment strategies, our guide helps you evaluate free versus paid courses, ensuring you choose the right path for your investment education.

Key Takeaways

Investing in education, whether free or paid, is crucial for new investors, with paid courses often offering advanced tools, real-time simulations, and expert guidance.
Educated investors are more likely to make informed decisions, manage risk effectively, and plan for future expenses, using the knowledge gained from investing courses to improve portfolio performance.
Continuous learning from online courses prepares investors for the ever-evolving financial market, and mentorship programs within these courses foster career development and academic success.

Free versus Paid Educational Pathways

The comparison between free and paid educational pathways is usually the initial consideration when exploring online investment courses. Free tutorials and online courses provide foundational knowledge for new investors. They offer a cost-effective way of understanding the basics of investing. Nevertheless, they often lack the personalized expert advice that paid online courses bring to the table.

The distinguishing feature of paid courses is the additional resources and tools they offer. Some of the benefits of paid courses include:

Advanced trading tools
Real-time market simulations
Up-to-date content reflecting the latest market trends
Comprehensive curriculum
Expert guidance

Objective Measure is an example of a resource that offers paid courses. This nonprofit organization is dedicated to teaching basic investment literacy, empowering you to become a confident, active participant in your investments.

Your education in investing will ultimately determine whether free or paid courses are more suitable for you.

Maximizing Returns Through Education

Successful investing is rooted in education. Developing the confidence to manage and enhance portfolio performance, particularly in unstable markets, hinges on it. With a solid understanding of various financial instruments, an investor can make informed investing decisions that align with their financial goals.

Moreover, investment education helps investors plan for future expenses. Understanding income strategies for retirement and smart saving practices for future costs, such as college tuition, is a crucial part of financial planning. Investment companies aid this educational journey by creating content that provides timely market perspectives and actionable investment tips, often guided by a certified financial planner.

From Theory to Practice: Applying Learned Strategies

Portfolio management can be directly impacted by the investment strategies gleaned from investing courses. These online courses provide essential lessons and tools that enhance an investor’s ability to qualify investment opportunities, manage risk, and diversify portfolios, all of which contribute to effective risk management.

These advanced strategies also facilitate the introduction of innovative ideas that could enhance the return on investment. Sharing insights and strategies learned from investment courses with a team can lead to improved approaches to portfolio diversification and client communication.

Continuous Learning: Staying Ahead in the Market

The financial sector, including the stock market, is marked by intense competition and constant evolution. Individuals equipped with comprehensive knowledge through lifelong learning are better prepared for future advancements and poised for success. Online courses offer the advantage of continuous education, helping investors stay updated with the latest market analysis and financial news.

Mentorship is another crucial component of education, leading to positive outcomes such as:

academic success
retention rates
health
motivation
career development

By focusing on education, investors can adopt high-impact, financially sustainable models and strategies that support investment growth.

Impact investing with a focus on education instructs investors on sustaining realistic outcomes and embracing a flexible understanding of success, which includes positive social and environmental impacts.

Summary

To wrap things up, online investing classes, whether free or paid, provide a valuable avenue for financial education. They help you understand the complexities of the financial market, apply learned strategies, and stay competitive in a rapidly evolving sector. Continuous learning through these courses and mentorship is a wise investment in your financial future.

Build a Vibrant Financial Future: Why Engaged Investing is Better

7 March 2024

The Brand Office

No comments

Categories: Financial Inspiration, Investing

Investing is daunting to many; it seems shrouded in mystery and uncertainty. Because of this, many individuals avoid investing, allowing fear to hold them back from securing their financial future. The truth is, though, that active engagement in investing can unlock relief, freedom, and empowerment. By embracing knowledge, practice, and personal experience, you can learn to navigate the world of investing with confidence, paving the way to your financial goals.

Financial Goals May Vary

Everyone has different financial objectives but ultimately, most of us want less fear and more freedom. That may look like early retirement, more travel, or paying for your grandchildren’s college education. How you reach these goals will vary just as much and will inevitably involve a wide variety of methods, but investing will be one of the strongest.

How to Start Engaging in Investing

Regardless of where you currently stand, or where you hope to someday be, fully participating in your investments will allow you to control your financial future. This doesn’t require a finance degree, only a willingness to learn. Start wherever you are right now; if you need to learn some Investment Essentials, we can help with that. Once you understand the basics, start investing! Practicing will provide the critical experience needed to develop confidence and resilience.

How to Engage Further with Your Investments

Once you know a bit about investing and have started collecting your own experience, you are ready to go a step further. Research new investment opportunities, understand how the market changes, and learn to recognize what impacts your investments. Maintain a balanced portfolio and regularly review your strategies, tailoring your investments to suit your changing needs and aspirations. By actively participating in your investments to a higher degree, you are empowered to make fully informed decisions and create your own financial future.

The Many Benefits of Engaged Investing

Engaged investing offers benefits that extend beyond financial gains. It instills confidence by equipping you to ask the right questions and make smart choices. Confidence breeds resilience, which enables you to weather market swings and avoid major mistakes. Finally, engaged investing fosters a deeper understanding of financial principles, reducing anxiety and expanding financial freedom. Through strategic and engaged investing, you can secure your future and give generously to those you care about.

Achieving your financial goals requires more than just passive participation; it demands active engagement and informed decision-making. By embracing the principles of engaged investing—learning, practicing, and adapting—you can build toward financial security and freedom. Take charge of your financial future today and watch as your investments pave the way to your dreams.

The Three E’s Of Investing: Fundamentals for Your Future

21 February 2024

The Brand Office

No comments

Categories: Financial Inspiration, Investing

At Objective Measure, our mission is to teach investment literacy and empower individuals to be active participants in their investments. The goal? For people to feel educated and engaged so that they can excel in life. When you are equipped with knowledge and actively participating in your investments, you are primed to excel in your financial goals. Join us as we review the “Three E’s of Investing” and give you the tools to enrich your life.

Educate

Investing starts with your time, not your money. Knowledge is the foundation of financial literacy and in order to grow and advance through the process, you must be willing to learn. There are many components that make up the basics of personal finance; from budgeting to saving, and emergency planning to vacation planning, it’s important to establish the groundwork of financial knowledge to plan for the future.

Beyond personal finance, there is a deeper level of financial education available: investments. This can be a difficult progression with its new jargon and challenging topics like financial markets, assets, interest, and risk management. Many people feel intimidated trying to bridge the gap between personal finance and investing, but this is where you develop a deeper understanding of financial systems and how you can participate in them. Our Investment Essentials course was designed to introduce you to the basics of investing and give you the confidence needed to advance from apprehensive to engaged with your investments.

Engage

Plenty of people invest their money and leave it untouched for the next 20 to 40 years. However, through active participation in your investments, you can be informed and empowered to reach your goals. This means understanding your investments and asking the right questions every step of the way. Objective Measure aims to fully equip you to set goals, make decisions, and handle the inevitable changes that come throughout the journey. As you gain experience, you can tailor and adjust the rules to best fit your unique goals.

Engagement includes a variety of behaviors which will help you move with confidence. First, you should create a thorough plan, complete with goals, risk mitigation, time, and discipline. It’s important to actively participate in your plan: understanding how the markets are changing and how your investments are affected. Additionally, regular monitoring provides checkpoints for reviewing investment performance and costs.

Lastly, active participation does NOT mean you are always buying, selling or changing your investments – sometimes there is no change needed. But in order to understand when to do or not do, you must be diligently attentive to all of these factors.

Excel

The experience gained through education and engagement will give you the tools you need to excel in life. Investing can deeply enrich your life, but it all starts with a vision. What is the future you want to realize for yourself? By creating, pursuing, and achieving financial milestones, you gain access to the life you always dreamed of: one with countless opportunities for generosity, adventure, and financial freedom.

Another part of excelling is developing an earnest perspective for the process. Remember: investing is a marathon, not a sprint. You will make mistakes; they are impossible to avoid. It’s incredibly important to be patient and give yourself grace. Mistakes are learning opportunities that deepen our understanding. When you chase the vision, instead of the money, you create capacity for these learning experiences and leverage them for growth.

The 3 E’s are three major stages of financial development. Education is a time for curiosity, learning, and building confidence; it’s the necessary groundwork everyone must lay. Engagement is active participation, where experience expands and understanding evolves. And finally excelling is the enriched life you’ve been dreaming of; a season of freedom and abundance. Investing always involves risk, but with the three E’s of investing, you can increase success and achieve your ultimate vision.

Investing: The One Tactic That Can Make or Break Your Early Retirement

9 February 2024

The Brand Office

No comments

Categories: Financial Management, Investing

While 65 is the standard age for retirement, many people dream of crossing that finish line early. What was traditionally referred to as ‘early retirement’ has morphed into a more robust mission of financial independence, which provides the freedom to choose when and how to retire (or continue working) on your own terms.

Since social programs that support retirement are based on age eligibility, an early start must be self-funded. Retirees cannot receive Medicare until age 65 and they cannot receive full social security benefits until age 66 or 67. So to retire early, you must have enough money saved to pay everyday living expenses, as well as healthcare, taxes, and other expenses. This is where investing can make a huge impact.

Financial Planning for Early Retirement

When working towards early retirement, the financial goal is simple: you want to earn and save as much as you can, as early as you can. This effort is driven by a standard tactic of spending less, and making more. Squeeze your current budget as much as possible; get debt free and get creative on saving when it comes to daily life. Earn extra income through side hustles, odd jobs, and entrepreneurship.

After you’re established in a lifestyle that is aligned with your goal of early retirement, you’re ready to get planning. Use your current monthly budget to start estimating your retirement monthly budget. Make the necessary adjustments to account for expenses that will increase or decrease, as well as new expenses that will start or end, during retirement.

Don’t forget about health insurance! Many people overlook this detail when budgeting for early retirement because health insurance has always been provided through their job. But if you stop working and you’re not yet old enough to receive Medicare, you’ll need to pay out-of-pocket for medical insurance, and it can be a high-impact expense.

Estimating How Much You Need to Save

Once you have your annual expenses budgeted, you’re ready to set a savings goal. The standard rule of thumb is to save 25 times your estimated expenses. That is, of course, an estimate that will serve you for 25 years at a consistent annual rate. Another rule, called the 4% rule, states that you can spend 4% of your invested savings in the first year of your retirement, and then adjust that 4% each year for inflation. This rule is based on data from 30-year retirements.

Needless to say, both of these recommendations will need to be adjusted if you are planning to retire early, because you may need your money to last 40 or 50 years. Once you determine an annual budget for retirement, you’ll be able to use what you know about your budget, time, and investment capacity, to calculate how much you need to save.

Investing for Early Retirement

Investing is the best tool available to grow your savings for early retirement. You are hoping to spend less time “sitting” on savings and more time spending your savings, which means you need long-term, sustained growth from your investments. Because of this, you might be tempted to invest in a more conservative portfolio. But remember that high-risk portfolios typically offer higher growth potential. It’s critical to maintain balance and to remember that the time spent in retirement is still time during which your investments can grow.

Managing Investments During Early Retirement

Ideally, your investments are continuing to grow even as you’re starting to use money to cover your living expenses. This requires a careful management system, for which there are several strategies and recommendations. The main idea is to separate your short-term money from your long-term money, allowing most of your investments to continue growing as you start spending.

It is commonly suggested to create a short-term pool of money and investments that will serve to cover your living expenses during your first two, five, or ten years of early retirement. The swings of the market, while volatile and unpredictable, are natural and tend to balance out in the long term; so, if you can stomach the roller coaster, you can continue to collect returns on the bulk of your savings while it’s invested.

Early retirement doesn’t have to be a distant, ambiguous dream. With meticulous planning, self-discipline, and strategic money management, it can be an attainable goal. The impact of investing is irreplaceable on this journey, as it offers the potential for resilience and sustained growth. Early retirement isn’t simply about escaping the workforce early—it’s about building a future of freedom, fulfillment, and financial well-being. Objective Measure’s Investment Essentials Course teaches the building blocks and critical components of investing, allowing you to start building that future today.

Why is it Important to Regularly Review Your Investment Portfolio?

26 January 2024

The Brand Office

No comments

Categories: Financial Management, Investing

The investment market is constantly changing, sometimes in large swings. It can be extremely challenging to understand when and how to adjust your investments. By regularly reviewing your portfolio, you accumulate new knowledge about the market, different asset types, and your specific investments.

Identify & Seize Opportunities to Reduce Risk & Improve Performance

If you are an experienced investor or if you work with an advisor, you likely have insight into current market conditions and the implications of various swings. As your experience grows, you will be able to make decisions with increasing confidence, understanding the short-term and long-term effects of different market conditions.

A regular review of your investments provides a consistent opportunity to check-in. Whether you are keeping an eye on shifts, monitoring performance, maintaining balance, or researching new opportunities, a consistent review will help you stay engaged with all the moving pieces.

It also provides the perfect opportunity to investigate new types of assets, and new possibilities in the world of investing. By checking in on your portfolio consistently, you’ll never miss the chance to research and get in on a new opportunity.

Rebalancing and Diversifying Your Portfolio

A regular review of your portfolio also offers the chance to reassess and expand your asset mix. The benefit of rebalancing is twofold: you can reinvest your profits into new assets and protect yourself from excessive risk.

Additionally, your annual review is a great time to invest new money. Whether you’re adding funds to existing assets or purchasing new financial products, your regular check-in is the perfect opportunity to make a contribution.

Adjusting your portfolio takes time and attention, it’s important to perform a thorough analysis and ensure all changes are serving your long-term goals. Also, there can be costs associated with this process, so it’s critical to understand your fee structure and how much changes will cost you in the long run.

Beginners and experienced investors may check their investments at different intervals. Reviewing your portfolio will always uncover new data and context, offering insight and knowledge that will build over time. This process will make you more confident and comfortable with investing, leading to a more empowered and engaged experience.

Stay Connected and On-Track with Long-Term Goals

A regular review of your investment portfolio is also the perfect opening to assess your long-term goals, whether they are changing or staying the same. It is a time to analyze past performance, understand the current market, and adjust your strategy for future returns.

When you are familiar with the swings of the market, you are more comfortable moving through changes. When you are informed about your portfolio, you can take ownership of your asset balance, ongoing contributions, and how performance impacts your financial goals.

Regularly reviewing your portfolio offers you a deeper understanding of the investment experience and empowers you to embrace the journey. Make investment decisions with confidence, trusting that you are on the path towards the future you want. Still not sure how to get more actively engaged in your investments? Our Investment Essentials course will give you the tools and knowledge you need to get started.

Make the Most of Your Money: Why Young Adults Should Start Investing Right Now

24 January 2024

The Brand Office

No comments

Categories: Financial Literacy, Investing

Many young people see investing as an activity reserved for older, more financially established individuals who are closer to retirement. Even though investing can be intimidating, the fact is that as a young adult, you have a huge advantage: time.

This extra time will serve to strengthen your investments in both the short term and the long term. It allows more space for risk and recovery, and it will inevitably increase the value of compounding interest. In addition, learning to invest now lays the foundation for a lifetime of financial literacy and independence. Investing allows you to take control of your finances and lead a more empowered and enriched life.

Short-Term Benefits of Investing Early

With fewer home and family responsibilities, young people often have more time in their day-to-day lives. This means more freedom to research, understand, and stay engaged with your investments.

Additionally, you are more likely to be open to new trends that could help you take full advantage of new technologies and evolving options in the world of investing. You also have the time and resource to be sure to carefully evaluate emerging investments trends and ensure you aren’t investing in anything you don’t understand. All of this sets you up to be an attentive and engaged participant in your investments.

Shielding investments from inflation is an instantaneous benefit. Each year, prices increase, which means cash loses its value. When your money is invested, there are options to protect it from the effects of inflation, which can allow it to continue growing unstifled.

Long-Term Benefits of Investing Early

The most significant advantage of investing early is time. Long-term investments offer the strongest returns thanks to compounding interest. When investments earn compound interest, they roll the money earned each period into the amount that collects interest moving forward. This has an exponential impact, meaning that the longer it is in effect, the more money is earned. After 5 years, the interest collected may be underwhelming but after 40 years, the money you invested is often quadrupled or more!

Another long-term benefit of investing early is a lower-risk learning period. Investing is a learning curve for everyone, whether you start at 25 or 50. However, when you start young, there’s less pressure to succeed right away. You can make mistakes early, recover, and improve your strategies.

This is a huge advantage because the market is constantly fluctuating, and while timing is impossible to predict, gains and losses tend to balance out over a lifetime. Because of this, long-term investments carry more balance and resilience. As a young investor, you have time to bounce back from these uncontrollable market swings and for the same reason, you can take on more risk early in your investing career.

How to Start Investing Right Now

The most common access point available to young adults is an employer-sponsored 401k or retirement account. You might also have an individual retirement account (or IRA) that is operated independently from your employer. The most important thing for you, as a young person starting to invest, is financial education. Even though time is on your side, it’s still important to be intentional. Objective Measure’s Investment Essentials course will teach you what to consider before you dive in, the building blocks you need, and how to ask the right questions to take advantage of your extra time.