This installment of age-based advice from a financial adviser comes from Laura Mattia, who is a wealth management principal at Baron Financial Group I’m highlighting her 2009 recommendation for investors ages 25 to 35 because it is different from the financial planning advice I normally hear.

It is often said that a 25-year-old’s portfolio should be more heavily invested in equities since the assumption is that he or she has a long horizon. However, a person in their twenties has yet to experience various life events, such as buying a home, getting married, having children, etc.

As a result, this age bracket may require some of their investments to execute their plans. It is difficult for a twenty-something to truly know where their career is headed, whether they are dependent upon a nice big salary or if they will need access to some of these monies. Perhaps their portfolio should be much more conservative than initially thought. It might be more appropriate to be invested in the following manner:

Stocks: 20%
Bonds: 40%
Cash 40%

This strategy offers stability and income as well as minimal growth which will get this investor started. Once they make their big purchases, this strategy should be re-evaluated.

View the original article here.
SEO

Popularity: 4% [?]

Today’s installment of age-based investment tips for 2009 focuses on gold as well as real estate.

25 to 35:
The key for investing for this age group is thinking long term. Plan to invest a specific amount of money regularly over a long period of time.

Avoid selling stocks unless you absolutely need the liquidity, getting out at the bottom will mean missing the upswing. The current stock market offers and opportunity to buy at low prices, according to Thomas OBryon, CEO of Wilshire Finance Partners, a Los Angeles-based real estate lending company.

35 to 55:
Success in investing requires a long-term strategy and diversified portfolio with investments that include but not limited to real estate, commodities, stocks and bonds.

Avoid selling stocks and consider buying shares in financially solid companies that have earnings and a small debt to equity ratio. If you’re in the bond market go with shorter-term notes, you will be less affected by volatility and they are more liquid.

Consider a 5% to 15% investment in precious metals as a hedge. “In 5,000 years, gold has never been worth zero,” says Kevin DeMeritt, president of Lear Capital, a Los Angeles-based precious metals investment company.

55 to 75 and older:
People are living longer, healthier lives. This, combined with inflation, means there is a real concern for longevity risk management. These folks need investments that provide predictable monthly cash flow, security of principal, generate attractive rates of return, offer diversification, and an inflationary advantage that is not affected by market volatility, says Wilshire Finance’s OBryon.

“Mortgage pools, generally managed by private lending institutions, represent one of the greatest sources of investment revenue opportunities today,” OBryon says. “Investing in a mortgage pool fund can provide lifetime retirement income making them ideal for retirees, those nearing retirement and others on a fixed income.”

Mortgage pool loans are based on the value of real property. They are generally short-term, bridge loans (one year to five years). As asset-based loans, the primary source of repayment is from the sale or refinancing of the collateral property.

View the original article here.
SEO

Popularity: 8% [?]

money market account

A savings account which shares some of the characteristics of a money market fund. Like other savings accounts, money market accounts are insured by the Federal government. Money market accounts offer many of the same services as checking accounts although transactions may be somewhat more limited. These accounts are usually managed by banks or brokerages, and can be a convenient place to store money that is to be used for upcoming investments or has been received from the sale of recent investments…. More

Copyright(c) 1997-2008 by WebFinance, Inc. ALL RIGHTS RESERVED. Unauthorized duplication, in whole or in part, is strictly prohibited.
View the original article here.
SEO

Popularity: 1% [?]

On many holidays, scores of motorists get behind the wheel when they shouldn’t. But the deadliest holiday probably isn’t the first that springs to mind.
View the original article here.
SEO

Popularity: 1% [?]

This slowdown wasn’t caused the usual way, so the usual remedy — flooding the economy with cash — isn’t a quick solution. But that won’t stop Washington from trying.
View the original article here.
SEO

Popularity: 1% [?]