Stock Market Retirement Investment Plan
Stock Market Retirement Investment Plan
For a successful retirement investment plan to work in the
stock market, some 'reasonably sure' assumptions would have
to be made:
The retirement investment plan must take into consideration
the one prevailing constant in any stock market security -
risk and uncertainty. Understanding that risk and uncertainty are the key factors that propels the return on investment in the stock market far beyond the returns of Passbook Savings Accounts, CD's or Bonds are a start. The plan's key factor would be to use the risk and uncertainty of a stock market security to its advantage.
The retirement investment plan should be founded on the belief that no one can successfully retire without financial freedom. Therefore, the retirement investment plan's main role would be to supply you with income during your retirement years, while also taking into consideration the risk of inflation. This should be accomplished without having to touch the principle.
The retirement investment plan would require discipline to
accomplish its goal. The goal should be clear and specific,
and the discipline necessary to accomplish the goal, just as clear and specific. Also, the retirement plan should not be financially out-of-reach, allowing as little as 100 dollars to begin, with as little as 10 dollars a quarter to continue.
The retirement investment plan's return on investment should be aimed toward providing income, and the income from the holdings in the plan should accelerate every week of the year, until retirement. This should be the case, no matter what the price of the security at any given time in the market place.
The retirement investment plan should be proven to you. Once proven, you must have the confidence in yourself to carry the plan forward. This
Updated :
During the mortgage meltdown in 2008, White House chief of staff Rahm Emanuel quipped that you should "never allow a crisis to go to waste." He was referring to the Obama administration's policy goals, but it's not a bad maxim for investors.
Publ.Date : Wed, 21 Jul 2010 12:22:37 EDT
Question: How can I compute the Dow Jones Industrial Average on my own each day? --Sam Cordova, Los Angeles, Calif.
Publ.Date : Fri, 23 Jul 2010 11:40:13 EDT
Slick TV commercials and online ads tell delinquent borrowers that they can save their homes by filing for personal bankruptcy. But is it true -- or just too good to be true?
Publ.Date : Sat, 24 Jul 2010 10:58:33 EDT
You knew it couldn't go on forever. And deep down, the spectacular run-up in stocks that began when the bear market bottomed in March 2009 was actually making you a little nervous. An 80% surge in just 13 months was starting to feel a lot like bubble territory. So yes, a breather was probably in order.
Publ.Date : Thu, 22 Jul 2010 10:54:58 EDT
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do-it-yourself confidence means that the retirement plan's ROI benefits only you and your family and no one else. A no-fee plan enhances the return on investment, allowing every cent put into the plan to work for you.
Companies owned in the retirement investment plan should have a historical record of raising their dividend every year. Therefore, a future dividend increase for the 10th or the 35th consecutive year in a row can be 'reasonably sure.' The guide for the selection of each security is its historical performance of rising dividends every year.
To receive the best return in the retirement investment plan, all companies in the plan would be purchased commission-free. All dividends from the companies would purchase more shares of each company commission-free. Therefore, every cent earned in ever-increasing cash dividends every quarter and any extra cash put into the retirement plan would work toward increasing the cash dividend.
Why bother beginning a retirement plan is best expressed, in my opinion, by a quote by Charles Kettering:
"I expect to spend the rest of my life in the future, so I
want to be reasonably sure of what kind of future it's going to be. That is my reason for planning."
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