The maker of the documentary exposes the world of art collecting and the explosive valuations assigned to the art space. I call it “space” as I couldn’t get past the vacancy attached to paying a ridiculous amount of money for something to look at nor could I be persuaded by the pretension.
To me, it’s a profound lesson in how we define value in our lives. Because when you think about it, everything has value. And nothing has value.
Just when I think I can’t find another money subject to obsess over, I come across something really fun. Of course, my fun comes in the form of interest and dividends. You know, passive income or getting money for no effort.
When browsing some financial websites, I came across a blog piece that featured how to live off of dividend income. At the end of the article was a small, but not insignificant, mention of preferred stocks. Well, now, hold on. We’re not talking about 2%, we’re talking about 10 – 12% in passive income. Preferred stocks pay a very high dividend that makes common stock dividends look like pocket change. Wait, this is legal?
With the holidays coming up, I thought I’d address gifting. Unable to contain my practical side, my suggestion for gifting to children should be corporate stocks. Forget the useless toys and crap that ends up in a junk pile. Hopefully you donate those things when your child outgrows them, not add to our garbage landfills.
Give a gift that gives back. This year, buy a dividend-paying corporate stock. Your gift can extend past the holidays by educating them about stock investing. Plan small, ongoing lessons throughout the year to generate enthusiasm for investing. This could be the most valuable gift that you can give a child. You would be laying a foundation for their future wealth.
You might have heard the alarm bells going off with interest rates increasing. Yes, they’ve been historically low since the 2008 economic crash. Most people seem to have forgotten that we have an interest rate at all. Mainly because savings-type accounts earn pennies. Interest rates do not make for the most exciting chat topic. I have a friend that rolls her eyes every time I talk about the economy. Little does she realize that the interest rate has many tentacles.
We’ve been on an interest holiday since the Great Recession. Mesopotamians paid higher rates in 3,000 BC.
On today’s vlog session, I’ve gathered the following topics – all related to debt:
Flashback to 2008 – Bear Stearns: the precursor of the Great Recession
Assessing stocks – the most important company metric is debt and risk level
Book review: Squeezed. What the author describes as new for our economy is actually not new at all. And by maintaining low levels of debt, you can maintain a high level of resiliency when responding to changes in the financial environment.
How are you managing your debt or is your debt managing you?
Today is as good as any day for making financial changes, but maybe today’s not the day. Are you truly ready to change? What’s stopping you?
Instead of thinking about all the reasons why not, take the pressure out of the equation and, well, try.
When I took my Dale Carnegie class, each session involved standing in the front of the room and speaking for approximately three minutes. The most compelling presentations had a beginning, middle, and end. What I didn’t know was that this started in the first session. I thought we would have a warm-up session, not jump right in. I felt sick to my stomach and barely managed to get through. Continue reading “Making Financial Change”