How To Minimise Losses The Next Time You Invest

When it comes to investment, some people are not very sure what kind of risk and returns they are exposed. Most of the times, returns are discussed in depth but when it comes to returns, people do not pay special attention. If you have a sound financial knowledge, I am sure you will calculate all the risk that you will be exposed. In short, one will be automatically exposed to risk when one made an investment.

Risk can be classified into two categories. Systematic risk; represents risk that is common to all assets. It cannot be diversified away. The other type of risk is unsystematic risk; represents risk that is unique to an asset and can be diversified away.

Examples of systematic risks are interest risk, inflation risk, market risk, exchange risk and reinvestment risk. On the other hand, examples of an unsystematic risk are country risk, liquidity risk, business risk, default or credit risk, industry risk and financial risk.

As you can see, risk is a word that has a lot of meaning to it. You will need to consider the risk you will be taking. Choosing an investment vehicle is not an easy task as it requires you to do a thorough homework. A mistake in you r risk assessment can cause a huge lost.

The main idea of investment is to reduce the lost and increase the returns. There is no point if you make small returns conservatively but at one point, you make a huge lost. Risk can be reduced not eliminated. If you are not sure of what kind of risk you are exposed to, it is better that you do not invest in that asset. You will need to be sure and confident of your investment.

Be sure to do your research the next time you make an investment. There is no room for mistakes. You do not invest your money in an asst and hope that it will prosper. Hope are for the hopeless. You will need to be actively involved in your investments so that you can avoid unnecessary losses.

Asset Location - Increase Investing Returns & Reduce Your Taxes

Location Once the holy grail only for real estate investors is fast becoming the mantra for every stock, bond, and mutual fund investor. Experts and studies now recognize managing asset location is second only to asset allocation in determining the success of your investment returns.

Importance of Asset Location:
Asset location is a cornerstone to success for a simple reason. Taxable accounts differ from tax-deferred accounts {401(k), IRA and similar retirement}. Taxable accounts require you to pay income tax on every dividend and capital gain generated by your investments. This tax substantially reduces the amount of reinvestment and annual investment growth. On the other hand, retirement accounts defer taxes allowing returns to compound without penalty and at a substantially faster rate. Asset location refers to the optimal placement of securities between taxable and tax-deferred accounts. Good choices reward investors with long-term compounding and significantly higher returns. Poor choices, or more commonly, no choice, leads to below average results.

The effects are striking. Investors lose up to 20% of their after-tax returns by mislocating investments in the wrong type of account. So says a recent study from three finance professors Robert Dammon and Chester S. Spatt, of Carnegie Mellon University, and Harold H. Zhang of the University of North Carolina. The professors analyzed two asset classes, stocks and bonds, to determine suitability for investing within tax-deferred accounts. Their conclusion? Investors should keep equities in taxable accounts and bonds in tax-deferred accounts, to the greatest extent possible. Young investors stand the most to gain by following such advice. Three of the most powerful elements of investing -- dividends, deferred taxes, and compounding interest combine for a staggering effect to retirement income.

Unfortunately, the typical investor never takes advantage of all three benefits. A recent Federal Reserve survey shows Americans invest their taxable and tax-deferred accounts with identical securities. People focus on individual accounts rather than their entire portfolio. They ignore the benefits of allocating investments among different accounts and wind up with several accounts all holding the exact same thing. To their detriment, nearly half of all investors own bonds in taxable accounts and stocks in tax-deferred accounts.

Why asset location works:
Tax efficiency is more important than ever. Two recent changes have driven asset location strategy. Last years tax cut, the Jobs and Growth Tax Relief Reconciliation Act of 2003, slashed top tax rates on dividends from 35% to 15%. Those same dividends, however, would be taxed at the ordinary rate (up to 35%) when withdrawn from a retirement account. The new law further cut taxes on capital gains from 20% to 15%. Since most equity investments generate returns from both dividends and capital gains, investors realize lower tax bills when holding stocks or equity mutual funds within a taxable account.

Similarly, fixed-income investments (e.g. bonds) and real estate trusts generate a regular flow of cash. These interest payments are subject to the same ordinary income tax rates of up to 35%. A tax-deferred retirement account provides investors with the best possible shelter for such securities and their resulting profits.

Which investment goes where?
Fortunately, your asset location strategy can be relatively simple. Place highly taxed assets in the tax-deferred accounts first. Anything left over can go into the taxable accounts. From the academic study, the professors concluded with three general rules to help with the decision process. First, locate taxable bonds, real estate investment trusts (REITs) and related mutual funds into tax-deferred accounts. Second, locate stocks and equity mutual funds into taxable accounts even if you are an active trader and generate substantial short-term gains. Third, never buy a municipal bond until you completely fill tax-deferred accounts with taxable bonds or REITs. The combination of compounding and deferring taxes on the higher yields of corporate bonds is. If all this sounds a little overwhelming, just consult the table below.

Table 1: Asset Locations for High Returns and Minimal Taxes.

TAXABLE ACCOUNTS
-- Stocks
-- Tax-free or tax-deferred bonds (munis, treasuries, and savings bonds)
-- Mutual funds investing in stocks or tax-advantaged bonds

TAX-DEFERRED ACCOUNTS (traditional IRAs, 401(k)s, and deferred annuities)
-- Taxable bonds (corporates, zeroes, TIPS, and high yields)
-- REITS (Real Estate Investment Trusts)
-- Mutual funds investing in taxable bonds or REITS

Two exceptions are worth noting. First, qualified distributions from Roth IRAs are tax free. Generally speaking, place assets with the greatest potential for returns inside a Roth. Second, if a 401(k) or IRA holds all (or nearly all) your investment money, throw this article away and focus only on asset allocation.

Summary:
You, as an informed investor, can take control over taxes and related expenses to your investment returns. Allocate your investments to reduce risk and increase returns. Locate your investments by managing all your accounts to minimize the tax drag on your financial returns.

Tim Olson

TheAssetAdvisor.com

Mr. Olson is the editor of The Asset Advisor, a financial investment service providing proven strategies for no-load mutual fund investors. He brings 26 years of education and experience from Stanford University, Ernst & Young financial consulting, personal wealth management, and venture capital investing.

Subscribe to our free newsletter

Screenwriter: Trading Places (1983) Deconstructed

From our deconstruction of hundreds of Hollywood blockbusters at www.managing-creativity.com

The Hero's Journey is the template upon which the vast majority of successful stories and Hollywood blockbusters are based upon understanding this template is a priority for story or screenwriters.

The Hero's Journey:

Attempts to tap into unconscious expectations the audience has regarding what a story is and how it should be told.

Gives the writer more structural elements than simply three or four acts, plot points, mid point and so on.

Interpreted metaphorically, laterally and symbolically, allows an infinite number of varied stories to be created.

The Hero's Journey is also a study of repeating patterns in successful stories and screenplays. It is compelling that screenwriters have a higher probability of producing quality work when they mirror the recurring patterns found in successful screenplays.

Screenwriter: Trading Places (1983) deconstructed

A good example of integrating two heroes in your story...

FADE IN: context; the city; visuals show the contrast between the working class and the well off.

Hero 1 and Mentor in their Ordinary World: Winthorpe and Coleman at home; Winthorpe at work.pork bellies.

Meeting the Antagonists and their motivations: Meeting the Dukes; debating Nature versus Nurture.

Hero 2 in his Ordinary World: Valentine begs from the Dukes.

Developing the Antagonists: the crop report; Randolph doesnt think that the scientist should have won the Nobel prize; mother always said Mortimer was greedy.

Antagonists nature: Ezra gets $5 for Christmas.

Meeting the Shape Shifters: dinner with suspect friends and Penelope.

Foreshadow of the Final Conflict: $50k to Clarence Beeks.

Foreshadow of the Call to Adventure: the Dukes talk about Winthorpe.

Developing Hero 2: Valentine pretending to be blind and crippledwhat unit were you in?

Developing the Antagonists and the Heroes: Valentine takes the briefcase; Winthorpe gets Valentine arrested.

Call to Adventure: the Dukes make a wager.

First Threshold (Hero 1) and Meeting Allies: Winthorpe at dinner with Penelope (Shape Shifter) and Coleman (Mentor).

Mentor agrees to the Journey: Coleman agrees to the Dukes request.

Foreshadow of the Physical Separation: Coleman will not be needed anymore.

First Threshold (Hero 2) and Meeting Allies: Valentine in Jail; "what, you ignorant"

Physical Separation: The Dukes bail Valentine.

Journey to the World of the Transformation on the Magic Carpet: The Dukes explain the deal in their car.

Meeting the Mentor: Valentine meets Coleman.

Hero 2 is a fish out of water in the World of the Transformation: Valentine in his new home "everything in here is mine, right?"

Hero 2s true nature: dropping the vase, Im sorry about that

Physical Separation (Hero 1): Beeks plants the notes on Winthorpe; being shamed in the Heritage Club.

Hero 1 is a fish out of water in the World of the Transformation: being stripped of the Old Self. (Winthorpe stripped on entrance to the prison).

Hero 2 (Transformation 1): Valentine in the bar; showing the big boys his Limo outside; you gotta lotta guts showing your face in here Accompanied by the Mentor: Coleman is waiting outside.

Hero 2 (Transformation 2): Valentine throwing everyone out of his house. Accompanied by the Mentor: Coleman being the butler.

Meeting Hero 1s Mentor: Meeting Ophelia.

Shape Shifter character developed: Penelope waiting for Winthorpe.

Shape Shifter switches: Penelope leaves Winthorpe.

Hero 1 (Transformation 1): Coleman doesnt let Winthorpe in the house. Accompanied by the Mentor: Ophelia watches.

Hero 1 (Transformation 2): Winthorpe gets thrown out of the bank. Accompanied by the Mentor: Ophelia watches.

Resistance to Trial 3 (Hero 1): Ophelia (the Mentor) almost leaves Winthorpe.

Foreshadow of the Final Conflict: Valentine and Winthorpe see each other through the car windows.

Resistance to Trial 3 (Hero 2): Valentine doesnt know what they want from him; Coleman tells Valentine to stay true to himself.

Trial 3 (Hero 2): Valentine enters the Dukes building and is taught about commodities.

Trial 3 (Hero 1): Learning Ophelia is a prostitute.

Seizing the Sword (Hero 2): Valentine makes the Dukes money playing the pork belly market; Valentine returns the money he finds on the floor (becomes trustworthy).

Seizing the Sword (Hero 1): Winthorpe learns the true nature of his friends; buying the gun; learning that money aint easy to come by; of his previously privileged existence.

Near Death Experience (Hero 2): Winthorpe offends at dinner

Near Death Experience (Hero 1): Winthorpe in bed with the flu.

Developing the Mentor: Ophelia turns down a customer.

Reward (Hero 2): the blonde hits on Valentine over dinner.

Reward (Hero 1): Ophelia gets into bed with Winthorpe.

Foreshadow of the Atonement (Hero 1): Winthorpe sees Valentines picture in the paper.

Complete Transformation (Hero 2): Valentine working late at Christmas.

Foreshadow of the Atonement (Hero 2) Valentine notices the cheque for Mr Beeks; wonders what wager they're discussing.

Complete Transformation (Hero 1): Winthorpe becomes a criminal; plants drugs in Valentines office; holds a gun up to security.

Complete Transformation (Hero 2): Valentine thinks Winthorpe should be put in jail.

Complete Transformation (Hero 1): Winthorpe drunk; a bum; eating fish I the bus.

Atonement with the Father (Hero 2): Valentine learns about the wager in the bathroom; that Valentine will be switched back.

Resisting the Atonement with the Father (Hero 1): Winthorpe walks away from Valentine; tries to kill himself.

Atonement with the Father (Hero 1): Winthorpe tries to kill Valentine.

Apotheosis: Valentine tells Winthorpe that the Dukes made a bet; wager was for $1.

Ultimate Boon: (Synergy): Back in the house; Valentine, Winthorpe, Ophelia and Coleman acting as a unit.

Refusal of the Return: Valentine tells Winthorpe he cant just shoot the Dukes.

Rescue from Without: Mr Beeks on TV.

Magic Flight: the characters on the train; dressing up on the train; tackling Beeks and swapping the briefcases.

Crossing the Return Threshold: Valentine and Winthorpe give the Dukes the false crop report; dressing up as Beeks.

Journey to the Final Conflict: Coleman and Ophelia give up their life savings.

Master of the Two Worlds / Final Conflict: Valentine and Winthorpe are masters of the Stock Exchange; the Dukes have to sell their seats on the exchange.

Freedom to Live: Coleman chooses both the lobster and the crab on the island.

Learn more

The Complete 188 stage Heros Journey and FREE 18 stage sample and other story structure templates can be found at http://managing-creativity.com/

You can also receive a regular, free newsletter by entering your email address at this site.

Kal Bishop, MBA

**********************************

You are free to reproduce this article as long as no changes are made and the author's name and site URL are retained.

Kal Bishop is a management consultant based in London, UK. His specialities include Knowledge Management and Creativity and Innovation Management. He has consulted in the visual media and software industries and for clients such as Toshiba and Transport for London. He has led Improv, creativity and innovation workshops, exhibited artwork in San Francisco, Los Angeles and London and written a number of screenplays. He is a passionate traveller. He can be reached at http://managing-creativity.com/

The End Of A Dream: Economic Factors Stimulating the Self Directed IRA Investment Market

Unbeknownst to 98% of working people, the 40 year career plan is over. Statistics show that by age 65 less than 2% of Americans can truly retire in comfort without the help of family members or the government. The lackluster performance of the stock market over the past 6 years has dashed many people's hopes of retiring early. It used to be that you could get a great education, get a great job and settle with a company by the age of 25, keep your nose clean, work your way to the top of the corporate ladder, invest in your company's stock program along the way and by the age of 65 retire from the company you sacrificed for with a good pension and medical expenses covered for the rest of your life.

For many hard working people this is now just wishful thinking and a pipe dream.

Today's norms:

The harsh reality is: Corporate down-sizing (e.g. Gillette, Ford, and GM). Corporate bankruptcies - Enron, Worldcom). Companies robbing corporate pension plans and judges standing by allowing it to happen just ask people working for the airlines, illegal insider stock trading, age discrimination, companies cannot afford to pay health insurance premiums because they have sky-rocketed and guess what? People are living longer.

Other forces: World Instability, unfettered nuclear proliferation, September 11th, natural disasters all cooked together.

Yes, the poor performance of the stock market, lower interest rates and the recent real estate boom have contributed greatly to people looking for alternative investment strategies such as opportunities to invest in real estate with a self directed ira and other retirement funds. But, in of itself this phenomenon is not the only outside stimulus contributing to this financial paradigm shift.

For example, the Internet, information proliferation, people's ability to share information on blogs, the availability of online financial software, and access to real time stock quotes have empowered investors like never before to think outside of the traditional array of investment strategies.

Benefits of investing with a self directed IRA account:

It can stimulate a slowing or sluggish economy A self directed IRA plan is great for recession proofing the economy. For example, money freed up from a retirement account if used to purchase real estate enables construction crews employed.

With the ability to look outside the stock market, an investor may find alternative investment vehicles that are safe, secure and tangible that produce higher returns. This is great for investors who nee to make up for lost time.

Is flexible and permits true retirement diversification and wealth accumulation in tangible assets.

Global investing With your self directed IRA LLC with checkbook control, you can invest in international real estate by simply writing a check from your IRA account and without asking for trust or custodial approval.

Granted self directing your retirement portfolio to purchase real estate is not for everyone as there are IRS rules to follow and a new vocabulary to become familiar with. But seriously, what are your legitimate alternatives?

Joshua Geary is an avid writer, business strategist and online marketing consultant. For more information on how to turn your Self Directed IRA into a wealth building money magnet visit his company online at http://www.MyRealEstateIra.com

Healthcare Cost Rises to Almost $2 Trillion

U.S. spending on healthcare peaked at nearly 2 trillion dollars in 2005. The annual report from the National Health Statistics group was released on Tuesday, and stated the main culprits responsible for the increased healthcare cost include doctors fees, prescription drugs, and hospital fees.

Healthcare spending rose from 1.86 to 1.99 trillion growing at a 1% slower pace that the previous year. M&C news reported, Leading the increase were hospital services, which grew 7.9 percent to $611.6 billion and accounted for 31 percent of all U.S. health care dollars in 2005. Rising labor costs amid a sustained worker shortage were major factors, according to the report, one of the most comprehensive available. Doctor and clinical services rose 7 percent to $421.1 billion, while nursing home and related care went up 6 percent to $121.9 billion.

Prescription drug spending increased to 200.7 billion but was slowed by less use of pain relievers like Mercks blockbuster drug Vioxx that was removed from the market. Although spending on some medication was slowed, according to M&C, medication costs contributed largely to the growing share of costs for those covered by private health insurance plans in 2005, the report said. At the same time, brand name prescription drug prices raised an average of 6 percent. Even as the rate of growth for insurance plan premiums slowed, findings showed consumer out-of-pocket spending rose amid growing drug costs, followed by doctor and dental services.

Although it made up just 1.2% of total healthcare spending, the cost of prescription drugs under the program raised the most, 19.2%. These totals included the new Medicare drug cards but excluded the full benefit that began in January of 06.

Click here for more information on ordering from discount online prescriptions.

Joshua Daly is the author of many health related articles as well as the President of ePharmacies.com Joshua's goal is to help consumers save money and make better informed decisions. Click here for more information on ordering from discount online pharmacy .

Better Investing for Regular People - 10 Keys to Success

Where does a regular person get investment ideas and how does he or she differentiate between the good ideas and the bad ones? I will present 10 tools that can help. And you don't have to be an investment professional to understand them.

Getting good investment ideas --

Good investment ideas come from many sources. The key is to always be on the lookout. The five sources below cover a lot of ground:

1. Stocks with unusual behavior - this is one of my favorites. This category could include stocks with higher than normal volume, price spikes, options activity, crossing moving averages, breaking trend lines or resistance/support lines, gaps up or down, etc. There are a number of sources for lists of most active stocks (Schaeffer's Research, Wall Street Journal Online, Quote.com, etc.) Briefing.com's InPlay feature (available here at Yahoo Finance) is great for stocks showing unusual price or volume activity, breaking resistance/support, reacting to various corporate news events, etc. Unusual options activity (at Schaeffer's Research) is another indicator that can be useful but requires perhaps a bit more sophistication. News feeds from these sites as well as MarketWatch.com and others are a good way of keeping up with stocks undergoing unusual activity.

2. Stock Screeners - with a screener you can search the stock universe for investments that match your criteria. Many sites also provide pre-built screens that make it easy to generate lists of potential investments. These lists are a great starting point in the hunt for investment ideas. Just be sure to do your homework (see the heading below). Screeners can be found at AOL, Morningstar, MSN Money, CNBC, Zacks.com, etc.

3. New highs or new lows lists - looking to ride an existing trend? New highs lists can identify stocks in a strong uptrend. Know a good stock that is being unfairly punished? New lows can help you identify stocks to watch and wait for until they begin to turn around. The same sites that provide unusual activity or stock screeners also list stocks making new highs and lows.

4. Articles on new trends - these might turn up anywhere. The Wall Street Journal and Investors Business Daily are good sources but any newspaper, magazine or web site might have an article that catches your imagination and gets you thinking about companies that will benefit. You don't have to be an investment professional to do this. Trust yourself!

5. Analyst Recommendations - analysts are often criticized for being late to identify buy or sell opportunities and some are more successful than others. Still, it's generally worthwhile to read what they think if for no other reason than that it helps provide good background on companies and industries. Analysts are quoted in many places, especially the financial newspapers (WSJ, IBD) and various financial web sites (Zacks.com, MarketWatch.com, TheStreet.com, Briefing.com, etc.) Keep an eye out for them.

Doing the homework --

To determine if your investment idea is good enough to commit money to, you should do some basic research on your own, even if it is just to validate the information you read in an analyst research report. You should be comfortable with the fundamentals of the investment as well as the chart. The following five sources provide more than enough to give you an idea of whether you are on the right track:

1. Finance pages at Yahoo or MSN Money - Read and understand the company profile. This is important! If you don't understand a company's business, you probably shouldn't invest in it. Check a few basic numbers like valuation, PE ratio, a few highlights of the income statement and balance sheet. Is it a large company or a small company? Is it even profitable? Check the list of competitors; one of them might be a better investment.

2. Charts at BigCharts.com or StockCharts.com - what's the trend, is the volume telling you anything, is it above or below its moving average, are there other indicators that confirm your opinion? Also check StockConsultant.com and AmericanBulls.com for automated chart analysis.

3. Search blogs at Google or at BlogLines and be sure to search SeekingAlpha.com - blogs are good places to find out what are others saying about an investment or industry. Bloggers can run the gamut from amateurs to seasoned investment professionals but it always helps to hear a few different opinions. Some of the social investing sites (ClearStation.com, CAPS at MotleyFool.com, StockPickr.com, SocialPicks.com, etc.) serve a similar purpose and it can be fun to participate in their communities.

4. Check EDGAR - company SEC filings are available online. Get the details on the revenues, expenses, income statement, balance sheet, cash flow, debt, risks, stock option accounting, etc.

5. Google search - You never know what might turn up just by doing a general search on the name of the investment. Articles on your potential investment might be on lesser known industry-oriented web sites; these can often be quite informative if you can handle the industry-specific language.

With these 10 tools in hand, investment success should be a little less mysterious. If 10 seems like too many, a few that you become good at using will certainly help keep your portfolio in shape.

By the way, links to all of these tools are available on the Investor Toolbox page at the Trade-Radar.com web site.

Salvatore Mangano (TradeRadarOperator) -- an individual investor who writes often about investing and is a regular contributor to Seeking Alpha.

http://blog.trade-radar.com

Trader's Daily Routine Checklist

Most traders go day to day trading on the fly, take a position when it "feels right", especially in the heat of the moment when prices are just moving without them. Not preparing for what lies ahead for the day, week or month can be a costly endeavor. Many don't come with a plan, much less a checklist to prepare for the day. Many professionals are preparing two to three hours even before the market opens. It only shows how serious they value their work and money.

No trading is complete without a routine to make good trading habits in preparation for the trades. No good trading results come from lack of preparation. Once a routine is carried out consistently, trading success will come consistently. A basic checklist below will get a new trader started. Modifications can be made accordingly to fit the trader's preferences (use of fundamental or technical analysis), trading style (day, swing, position) and markets (single or multiple markets).

Before market opens
1. Check the day's economic calendar for any scheduled reports and announcements for the day-- This part covers the fundamental analysis. He will be checking the expected numbers against reports that will be publish during the day, recalculating the numbers to find value. (This is typically for the trader whose major strategy is based on fundamentals).
2. Draw up analysis for changes in the fundamental news & reports (interest rate changes, jobless numbers, specific company earnings etc.) to reflect to current market conditions.
3. Check the chart for overnight price action-this is mainly for a trader who trades using technical analysis. Normally he will check to see if the prices have violated any support/resistance area or any numbers that he considers important enough to confirm or reject the current direction or market conditions. In forex, the most popular indicators and tools used are:
a. Fibonacci numbers
b. Floor pivots (daily, weekly, monthly)
c. Support/Resistance areas (daily, week, month)
d. High/Low/Open/Close
e. MACD, RSI, Momentum, Volume, or other indicators.
4. Write a trading plan This step provides the trader to write out his plan for the day, how many trades, how much to risk or make, where he'll be taking the position and where he'll exit, and how large the position size he's going to take.

During market hours
1. During market hours, the trader has a few options at hand:
a. Set alarms to notify crucial levels to trade to change positions that need to be made. (This is for swing and daytraders)
b. Watch news channels (optional) such as CNBC or Bloomberg to make sure there are no sudden economic or political news around the world that may impact market movements such resignation of a president, or terrorist attack on oil field, etc. (This is for daytraders).
c. Monitor the charts and indicators continuously, trendlines, pivots, and redrawing Fibonacci levels. (This is for daytraders).
d. Take positions as dictated in the trading plan. If the setup had appeared during the trading session that was written in the trading plan, execute it accordingly.

After market hours

Trader's Daily Routine Checklist Who Have Signal-Service or Newsletter Subscriptions
1. Check/read newsletters from paid/unpaid subscriptions from signal service, news, analysis, etc. and compare them to trading plan. Analyze them accordingly to be sure these fit into the trading plan.
2. Strategy portfolio management and maintenance-recalculating and verify if the balances are correct and if any instrument has gone outside the percentage of the portfolio. If for example an instrument that was made 30% in gains, these gains must be settled: either by reducing the holdings or hedge with another instrument to ensure the gains made or reduce exposure of the originally instrument.
3. Write/Revise the trading plan for the next day, which pairs to buy/sell, how many or how much, and tactically at what price to buy/sell and exit.

It's not mainly about checking everything and read all the information out there before the market opens. It's about be satisfied with the retaining content that works for the trading system. But most important, creating a routine that becomes the foundation in building success in investing or trading.

Larry Swing CEO & Head Swing Trader swing trading with mrswing.com theboss@mrswing.com +1 (281) 968-2718 Yahoo & Skype ID: larry_swing

Ways To Increase Targeted Web Site Traffic

When it comes to making money off a web site, there is one key element that must be present. That element is traffic. If traffic is low, the returns will be, as well. If traffic is high, and web masters have learned how to increase targeted web site traffic, the returns should be better than average. There are all kinds of ways to increase targeted web site traffic that dont necessarily cost an arm and a leg.

The reasons to work to increase targeted web site traffic are many. Whether a web site is designed to act as a sales outlet or its simply an informational site that hosts affiliate ads, text ads or other such paying promotional spots, the way to garner money is to garner interest in the site itself. Unless a sites operators have learned how to increase targeted web site traffic the pages could get lost in the ether, so to say.

Driving traffic to a site involves learning how to increase targeted web site traffic. There are four major things any web site can do to increase targeted web site traffic and hits without spending a fortune on graphics and designs. Lets look at each.

Keywords

Search engines are often the mode most people use to find new web sites. Getting good placement in most search engines involves the use of keywords and key phrases. When these are used correctly, its possible to increase targeted web site traffic. Keywords are nothing more than the words a person might use to find a site like yours. When these are used in the titles of articles, in the articles themselves and on the pages, its possible to increase targeted web site traffic.

Link trading

Another great way to increase targeted web site traffic is to trade links with other similar or complementary sites. This can be achieved by simply e-mailing the owner or manager of another site or by getting involved with services that exchange links. This way to increase targeted web site traffic generally doesnt cost anything other than dedicating a small space to the exchange site for its own link.

Keep content fresh

One of the things that helps increase targeted web site traffic is to keep a site fresh and interesting. The more its updated, the better. This can help keep the same users coming back to learn and read more and it can assist in better search engine placements and link exchanges, too. Dont discount this for helping to increase targeted web site traffic.

Learning to increase targeted web site traffic isnt very difficult and it doesnt have to cost a lot of money. With some careful planning, almost anyone can have a site that gets a fair amount of hits on a daily basis.

Milos Pesic is a Marketing and Adsense expert and runs a highly popular and comprehensive Adsense Secrets web site. For more articles and resources on Adsense related topics, Adsense tips and tricks, Adsense arbitrage, Adsense templates, Adsense traffic, Adsense alternatives and much more visit his site at:

=>http://adsense.need-to-know.net/

Finding Real Estate In Wichita KS

Wichita is largest city in the state of Kansas and, as may not be known by many people, is also known as the Air Capital of the World. This epithet was given because this city is a hub of aircraft manufacturing and is home to six major aircraft manufacturing companies. Wichita is also home to the McConnell Air Force Base. A recent estimate shows that Wichita has a population of about 360,000 and is ranked as the 51st largest city in the United States.

The 2000 census suggests that there were 139,087 households and 87,763 families residing in the Wichita. The median household income in the city was $39,939 and the median family income is $49,247.

Wichita is vulnerable to extremes in weather, with the average low temperature being 17.6F in January and the average high temperature being 94F in the month of July. The city also witnesses violent thunderstorms and occasional hail and lightning.

The Wichita school district and parts of the Haysville and Derby school districts bolster the education system in the city. Public schools include Wichita Heights High School and Wichita Southeast High School. A number of colleges and universities like Butler Community College and Newman University have been prominent members of the educational fabric of Wichita.

This city has always been a favorite point of reference for filmmakers and this phenomenon may be found in films like Twister, Firewall, A League of their Own, and Arlington Road. The city has various attractions of which Botanica and The Wichita Gardens are most famous. Every May, the Downtown and Old Town areas of Wichita play host to the Wichita River Festival.

Wichita is rather active in sports and this as evidenced by the fact that the city has its own baseball, indoor soccer, arena football, rugby and ice hockey teams.

A pioneer in the Wichita aviation industry was a company named TravelAir that employed over 600 workers in the 1920s. It ran well, employing hundreds, until the stock market crash in 1929 when a large part of the workforce had to be laid off. In the pre and post war periods, Wichita has always been a significant hub for entrepreneurial business activity with companies like Mentholatum, Pizza Hut and White Castle all being founded in the city. To ensure that the entrepreneurial spirit continues to flourish, Wichita State University formed a Center for Entrepreneurship.

Like much of the Midwest, Kansas, and especially Wichita, is slowly growing and in terms of real estate. Housing is affordable and there are plenty of bargains available for both savvy and novice investors.

The first step when looking for real estate in Wichita is to speak with a mortgage professional. It is important to know exactly how much you can afford before you begin to start seriously looking to purchase a new property. You should also take the time to speak to speak with a number of real estate agents. It is important that you work with an agent that you are comfortable with and that you trust.

MyRefi.com offers an extensive amount of Wichita KS Real Estate information and resources. Search for Sedgwick County KS Real Estate or get pre-approved for a Kansas Mortgage today!

Currency Trading or Stock Trading, The Choice Is Yours

Stock trading has been a sought after resource for hundreds of years.

Companies undertake stock trading to increase finance for growth and new projects, with each percentage of the stock representing a part ownership or share in the business. When the business does prosper and makes a surplus, the value of its stocks increase. Stock owners can dispose of their shares for a gain or keep the stock with a view to even greater profit in the future. On occasion, companies will issue dividends with the proceeds being distributed to share holders.

Stock are traded on stock exchanges, with most transactions being handled by means of brokers who charge a commission or fee for this service.

American stock exchanges embrace the New York Stock Exchange (NYSE) and the National Association of Securities Dealers Automated Quotation System (NASDAQ). Most stocks are exclusively listed on one exchange, though big companies may have listings on a number of exchanges.

Stock trades were traditionally viewed as long term investments. So called 'blue chip' stock trading, ( those having proven value over numerous years ) will often form the basis of an investment portfolio. Short term trading is a comparatively new experience made plausible with the arrival of Internet marketing. These short term or "Day Traders" try to gain a trading edge arising from large daily fluctuations in the market, by buying and trading numerous times in one trading spell. It is somewhat risky, and any proceeds realized are reduced by broker commissions charged on each deal.

Stocks may occasionally be bought on margin, meaning that the investor borrows currency to buy the stock. Margin rates are commonly about 50% with the investor able to borrow as much as half the value of the stock.

Currency or FOREX Trading

The Foreign Exchange Market is entirely different to the stock exchange. By comparison to the stock exchange, currency trading is essentially a short term market. Most traders open and close deals within a 24 hour spell and at times within a few minutes.

Numerous currency trading trades can be made in one day without building up a big brokerage fee because currency trading trades are commission exempt. Brokers earn payment by setting a spread percentage of the difference between asking and selling prices.

Foreign Currency Exchange Trading is the largest monetary market in the planet. It handles transactions worth $1.5 trillion every day. in contrast, all the American stock exchanges together handle transactions worth around $100 billion every day . The vast quantity of currency trading means that it is one of the most liquid markets in the world.

There is always a buyer and seller for any type of currency because the world economy relies on the movement of goods between countries. The stock market offers less liquidity than the FOREX market as participants may elect to retain their investments, or alternatively, shift on to alternate markets.

It is worth noting that foreign currency trading is not located in any one place. Trading markets are located world wide and because of diversity in time-zones trades can be made 24 hours a day, 5 days a week, while stock exchanges have more restricted trading hours. While it is feasible to trade on exchanges world-wide, each exchange is an independent entity and operates for just 7 hours a day. There is no way to buy or sell a particvular stock that is only traded on one stock exchange when that exchange is not open.

Additional advantages of currency trading that should be noted are that it is more predictable than stock trading.

It follows well determined trends; and allows high leverage when compared to the stock market and it does not command a large investment, as small accounts can get you started with much less than $500

Antony Wilton has been a long term investor in both stocks and currencies. His web site is considered an Authority Site on this topic, with hundreds of currency trading related articles and valuable advice. See for yourself at =>http://www.currencytradingdiscovery.com

Real Estate Investment 2005 - The Hottest Countries for Investment in 2005

Whether you are a real estate investor looking for a steady and safe investment in a proven market or a real estate speculator willing to gamble on the unknown and undiscovered in the hopes of gaining a significant ROI (return on investment), this article covers the real estate investment hotspots for 2005.

A recent UK government report discovered that there was a 250% increase between 2000 and 2004 in the number of Britons buying property abroad solely for investment purposes, and this trend does not seem to be limited to the UK nor does it seem to be slowing down!

The global stock markets seem to be in decline, there is a worldwide pension crisis looming and we have uncertainty in the Middle East, in the UK the housing market is unaffordable, possibly over inflated and unlikely to bring significant returns for investors late in on the game and so more and more of us are looking further a field for our investment opportunities. This has led us to look around the world for the next big thing - the next real estate boom.

So whats hot for 2005?

The latest EU entrants are proving of continued interest to the property investor as are those countries in line for EU ascension in 2007.

The likes of Malta, Poland, the Czech Republic and Cyprus who joined the EU in 2004 were hot before they joined and have proved solid for investors already in the market and are looking like safe bets for 2005 as well. Growth is set to be steady, the economies of these countries are improving and investor confidence is strong.

Hungary, Slovakia, Bulgaria, Croatia, Turkey and even North Cyprus who are lining up for ascension consideration in 2007 have solid emerging real estate markets which are proving of interest to the property speculator. Clearly the risk involved in investing in countries not already in line with EU fiscal and legal legislation is greater, however, so are potential returns.

The attraction of such markets to property speculators is quite simple these countries are working hard to improve infrastructure, attract inward investment, stabilise their economies and promote tourism, and ultimately they are hoping for EU ascension as this brings with it vast potential for economic advancement. In the meantime these countries often have deflated real estate markets offering incredible property bargains and undiscovered and under exposed tourism potential all of which adds up to potentially significant returns for anyone in on the real estate investment game.

Eastern Europe is opening up thanks to the budget airlines carving swathes of routes into all corners from Ljubljana to Salzburg, from Krakow to Riga and also thanks to overseas property investment clubs. It is now possible to invest in overseas property funds meaning your money can go far further than you ever have to!

Its possible to invest in funds which purchase and manage real estate in Spain, Slovenia, Poland, Bulgaria, Croatia etc., etc. These funds work just like any other general investment fund. The investors money is pooled and the fund managers then purchase a range of investments in this case a range of properties in various locations and manage them.

Anyone looking to invest in such a property fund should expect a minimum investment of around $10,000 - $20,000 with a 1% upfront fee, a 1% management fee and a performance fee. Obviously charges and investment rates vary from fund to fund and returns are not guaranteed.

There is still room for expansion in the popular property hotspots of Spain, France, Italy and Portugal. The markets in these countries are proven, strong and ever popular, and if you head off the beaten track, away from the main tourist destinations and airports you are still likely to find significant real estate investment opportunities.

New flight routes and new areas of interest in these European destinations are attracting more real estate investors month on month and the word in the market is that if you are interested in these countries you should consider the northern parts of Costa Almeria or Costa Calida in Spain for example, the Costa de Prata in Portugal or Languedoc, the Cote dAzur and surprisingly, Paris in France.

Further a field Dubai and Florida are established, proven markets with room for growth, Bahrain and Canada are countries worth considering, as are New Zealand and South Africa. The latter is of particular interest to speculators as it is set to host the world cup in 2010, the Rand is weak, the political situation is stable, it is possible to buy yourself out of crime hotspots and the scenery is diverse, breath taking and stunning and the property market is definitely hot!

If you are considering real estate investment for the first time or are keen to increase your presence in the real estate investment market place, make sure you are comfortable with any investment before you go ahead and sign on the dotted line. Read around and do plenty of research - the internet is a great place to start research the country you are considering investing in, and any investment, real estate or legal company you are considering getting involved with. Seek independent advice and always keep in mind that the value of any investment can go down as well as up.

To your success cheers!

Rhiannon Williamson is an experienced publisher who has produced articles for leading travel and tourism guides and financial magazines. Her specialist knowledge about both travel and finance gives her site Shelter Offshore the unique ability to literally cover every single aspect of moving & living abroad - including the often less discussed offshore tax advantages that can be available when leaving our homeland.

Forex Trading Software

If you are looking to get started trading the Forex, you will find that there are numerous software programs available (both web based and desktop based) for you to use in your trading. In fact, most brokers offer clients a software package for free or as part of their trading account. Usually the software that comes with your trading account is a very basic "bare bones" model. Sometimes, more features are available for a price. The software packages your broker provides can be an important consideration in choosing a broker. You may want to download and try some different packages using a demo account. This will give you a better idea of which software package you find most suitable to your unique style of trading.

Forex trading software comes in two basic flavors - desktop software, and web based software. Which one you choose to work with depends on your preference and other more technical factors. Obviously, the Forex market is very dynamic and you need to have the most reliable up to date connection to the data as possible. Your internet connection speed is a factor here, and if you can afford it, you really should be connecting via broadband.

Your internet connection speed is just one of the factors you should consider when selecting forex trading software. The biggest consideration should be one of security.

Generally speaking, web based forex software is more secure than a desktop based software package. Why is that? Well, with a desktop software, your information and data is stored on your hard drive thus making it vulnerable to numerous security issues. If your computer became infected by a virus, your personal data and the integrity of your trading system can become compromised. Likewise, in the event of hard drive failure, your important data can be lost. Then there is the threat of prying eyes accessing your trading systems.

Luckily, if you choose to go with a desktop based software for your forex trading, you can do some things to limit the risks. For starters, a dedicated computer just for trading the forex would be a wise investment. Due to the popularity of forex trading, there are computers made specifically with a forex traders needs in mind. Even if you cant afford a dedicated machine, you should still apply the following tips to your trading computer:

* Password protect your trading software and personal data
* Make regular backups of your trading data
* Use a anti virus program and keep it up to date
* Update your trading software regularly

If you choose to go with a web based trading software, allot of the security and maintenance issues are handled by the provider. Online based forex systems are hosted on secure servers, the same type of servers credit card processing is handled on. This gives you a great deal of protection, as your data is encrypted. Also, backups and mirrors of your account data are made by your software provider to protect you from data loss.

Aside from the security considerations, you may find that an online based trading software is simply more convenient. There is no software to download as the software runs in your regular web browser. This means that you always will have access to the latest versions and features. Also, if you travel you will certainly appreciate the ability to log in and trade from any computer with an internet connection.

As you can see, there are many options in forex trading software. You ultimately should choose to work with the software that you personally find easiest and most intuitive to use.

For more information on Forex Trading Software and Forex trading systems, visit our sites, Forex Investing, and Forex Today

Vimax Penis Enlargement Pill Explored

A recent study conducted has shown that 85% of men polled wish that their penises were larger. Of that 85%, the research concluded, 99.9% of the men could actually increase the length and girth of their penises by taking herbal supplements. The numbers dont lie, and if you are part of the 85% of men that wish that could do something about their penis size, keep reading. Vimax is also backed by an Independent Consumer Health Report.

There are many different penis enlargement products out on the market today, but the one that has consistently won the hearts of men and women everywhere is Vimax. Vimax penis enlargement patches and pills are proven to be safe and effective in numerous customer trials. This system doesn't require expensive surgeries or painful pumps or procedures. In fact, you can stop taking Vimax at any time, and you will not lose any of the length or girth that you gained during your time on Vimax.

Unlike other penis enlargement pills or patches, Vimax penis enlargement was created by a team of doctors, whose sole job was to find a safe alternative to enlargement surgery and devices. What's even more impressive is that the Vimax system actually works in two ways. It not only increases the size of your penis, but also increases your sex drive! Because, what good is one without the other? After a few doses of Vimax, you will start to notice more intense orgasms and prolonged sexual stamina. Many men have even seen an improvement in premature ejaculation problems and even erectile dysfunction issues.

The true test of Vimax penis enlargement pills is the physical change that you will notice after a few weeks of using the system. You can expect to see up to 3-4 inches extra in length, and 20-25% increase in the girth of your penis. The changes will even happen while your penis is flaccid, which is much more than other penis enlargement pills can say.

The trick to getting the most out of your Vimax experience is to remember to take your pills each and every day. The more consistent you are, the better your results will be. It is also important to note that Vimax isn't available in stores, so you must always keep extra in stock to continue with the dosing instructions. It is suggested that you buy two bottles the first time around, so that you always have a spare bottle in the medicine cabinet.

Vimax is 100% natural, and made up of herbal ingredients. As with any medication or supplement, you should check with your health care provider to see if the medication is right for you. People with certain health ailments, such as high blood pressure or heart disease problems should be especially careful before taking any supplements by checking first with their doctor to see if there is any unfavorable interaction.

However, if you are part of the 85% of men that wishes there was a way to improve what nature has given you, there is a solution for you. Vimax penis enlargement pills and patches can give you a whole new outlook on life, and help you and your partner connect in ways that you have only imagined. There is nothing to lose and only inches to gain, so why wait another day.

Don't wait another minute to see if Vimax is right for you! Save $124.00 today by visiting http://www.vimax-penis-enlargement-pill.com

House Flipping - 5 Tips Every Investor Should Know Before It's Too Late

Here are some tips on how to flip real estate the right way and pitfalls to watch out for.

Flipping takes time. Most people allot as much time and input as possible to ensure their dreams are realized, when choosing to attempt to do house flipping.

Alternatively, they naively believe that the real estate business is just merely a hobby or something that takes very little time to do.However, these are completely unrealistic perceptions.

It is imperative to buy a deep, twenty-five percent or above discount because such discounted properties supply is small, and the time investment and need to work exceptionally hard are high.

When investing using the "Buy and Flip" approach, most beginner investors anticipate a minimal time for property hunting. Contrary to the television show portrayals that show abundant "fix-em up" properties and investor time spent doing property repairs and sales preparations, the reality is quite the opposite.

To make a profit with an investment, a lengthy property search is essential to get the best deep discount. Once achieved, you can make the needed repairs and get the property back on the market.

Costs can get out of control. Theres a reason why large discounted properties are discounted. This is mainly because extensive repairs are needed before making a profitable sale, and many misinformed beginner investors envision the fruition of major changes as seen on television.

They fail to see their primary goal as creating a comparable property to others nearby, trying to make theirs even better. Needed repairs are different to property remodeling. When calculating property improvement and repair costs, always do this in regards to upgrading to the equivalent of the areas other properties.

Most flipped houses seen on television have undergone exterior, kitchen and other additional changes. Made for TV investors are not investing large monetary amounts in "real life" changes. Such extra improvement and repair costs eat away at profits.

Putting in a swimming pool to increase the property value is unnecessary compared to fixing a leaking roof or broken window. Ask yourself: what improvement or repair will create a profitable property sale?

The house flipping business is stressful. Profits disappear each day that the property remains on the market because profits are calculated post-sale. Selling a property quickly can give you a headache.

The three common stressors include:
1. Using a real estate agent to help find more interested property buyers reduces overall profits.
2. Holding costs (mortgage payments, advertising costs, utilities, etc.) rise each day the property remains unsold, further reducing profits.
3. Choosing the appropriate time to lower the asking amount or use a real estate agent to market the property some profits will be lost to the agents commission.

Beginner flippers can find this stress overwhelming, but by knowing the expectations of real estate success, they can plan ahead.

Some properties are difficult to sell. Sometimes a discounted property needs more complex repairs or has repairs that are not fixable. Factors such as a bad neighborhood, proximity to a busy road, or being on a steep slope can result in finding a discounted property, but make the property sale harder.

Avoid properties that are hard to sell. "You need to make sure that you understand the issues and get enough of a discount when you buy, so that you can address the problems and still profit when you sell. If that just isn't the case, it may be in your best interests to move on to the next property."

Unexpected costs destroy profits. To avoid unnecessary property purchase surprises, hire an inspector during the contract finalization process. The inspection will outline both known and unknown problems, helping you to prepare for repair costs and hire needed workers to do the jobs, but more importantly, the opportunity arises for further negotiations to possibly secure more discounts to deal with these additional costs.

However, when these problems are put to a seller, they may not agree to fixing them, giving a better property discount, or giving you additional compensation. Under these circumstances, if there is no maneuverability within your top purchase price (most you can pay to make a profit) for these costs, you may need to abandon the property purchase.

Its okay if you still want to try house flipping. Just understand what is expected and how to: calculate an investor discount (minimum); recognize a good property; locate them; determine the top purchase prices; make proper offers; and be a master negotiator.

No television program can portray these vital skills to success in a more understandable fashion than this. Remember: dont start house flipping because of glamorous television portrayals.

That guarantees possible problems very expensive problems.

By educating yourself, realistically speaking, you can also find success by investing in real estate.

Copyright 2007 Jimmy Warren. All rights reserved.

Profitable house flipping opportunities exist everywhere as long as you know what to look for and understand how to make prudent deals that transform property into profits. Jimmy Warren, Editor of http://www.houseflippingnews.blogspot.com shows how to make safe and sane investments that ensure a good nights sleep as your real-estate portfolio grows, your properties appreciate and your income increases.

Hi-Yo, Silver Fund!

"Stay long precious metals" ...

I'm beginning to think that's Graeme Irvine's mantra.

He's the business columnist on Longer Life's Bourse page, and I'll leave it to you to discover his reasons for this four-word chant. Amidst Graeme's siren calls, I've taken notice of his recent daily listings of silver transfers. It seems that HSBC-Hong Kong is in the process of accumulating a substantially high percentage of the current market inventory. The range is something like 60%, an achievement I find as breathtaking as it is intriguing.

Why would that much of the world's investment-grade silver be moved to one depository? So far, I've not been able to find anyone willing to provide an answer. The accumulation is public knowledge, so I'm not suspecting a conspiracy.

I think most investors recall the Hunt brothers' clumsy attempt to corner the silver market three decades ago --- driving their Texan empire from billionaire to bankrupt within eight years --- and wouldn't think of trying to duplicate that stunt.

Super-investor Warren Buffet is, of course, much more sophisticated. His acquisition of 130million ounces of silver approximately nine years ago was made in tranches calculated to coincide with the market rather than drive it. All outward appearances indicate that he has no clandestine intentions; instead, he's simply substantiating his confidence in the metal and possible lack thereof in the long-term strength of the dollar.

Perhaps the HSBC-Hong Kong hoarding is a result of an announcement made in June 2005 by the United Kingdom's Barclay's Bank in which they filed their intent with the USA's Securities & Exchange Commission to establish an Exchange Trading Fund ('ETF') for silver. Specifically, the applicant is a Barclay's subsidiary, iShares Silver Trust, and the process gained momentum in January 2006 when the SEC approved their listing on the American Stock Exchange.

The Silver ETF is meeting with strong resistance, most notably by the Silver Users Association (SUA), who represent entities who make, sell and distribute products related to silver. Their complaint is that in order to support the ETF, so much silver would have to be taken out of the marketplace and held in reserve that its membership would be burdened by the metal's higher cost. As the SUA membership processes 80% of all silver produced in the USA, they represent a significant voice in this matter.

Ted Butler is one of the most respected silver analysts in the world. His opinion is that, no matter what the outcome of the Barclay's application, the entire episode is a positive development for silver investors.

First, let him explain how Exchange Trading Funds for commodities operate, and then describe how the Barclay's proposal is being positioned:

"In order to establish a commodity ETF, a financial institution buys and stores a quantity of the commodity in question and then issues shares of common stock at a fixed unit of conversion to represent fractional ownership of that commodity. In the case of silver, Barclays would buy the metal, in industry standard 1000oz bars, have them stored in London and elsewhere, and issue common stock shares in a ratio of one share of stock for every ten ounces of silver. The shares would then be traded on a recognized stock exchange, hence the name, exchange traded fund. In the case of the Barclay's Silver ETF ... theyve even decided on the stock symbol, SLV. The amount of silver bought and stored would increase and decrease depending upon the investment demand for the shares, similar to how the gold ETFs currently function."

The practicalities of a silver ETF include:

- Stock certificates are certainly easier for the investor to store than the metal itself, and

- The 'common stock' format allows more categories of investors the eligibility to participate.

What is interesting about the Barclay's proposal is that its goal is to put 130million ounces of silver into reserve, the exact level of Warren Buffet's holdings. Could they be using that precedent as a model? Burton notes that even though Buffet was careful not to disrupt the market, the price of silver still doubled during that accumulation. Furthermore, Burton says, "I see nothing in the Barclays prospectus suggesting such buying restraint, either in time or price."

So, Butler reasons, this makes the situation most favorable for involved investors:

"This silver ETF announcement is a true win-win for silver investors. (If) their silver ETF becomes effective, the impact on the price of silver will be great. Thats win number one, obvious and straightforward.

"But if ... this ETF never sees the light of day, that will be a big win as well for silver investors. Why? Because it will prove for all to see just how critical the supply/demand and inventory situation is in silver. If the government says no way to this ETF, it will be for one reason only there is not enough real silver in the world to fund it."

Either way, it's a development worth watching. Graeme lists the Comex figures daily at the end of his column and always mentions when another allotment of silver moves to HSBC-Hong Kong. The growth of those figures could well be the 'tracer' of things to come.

Stay long precious metals.

Copyright 2006 The Longer Life Group

J Square Humboldt is the featured columnist at the Longer Life website, which is dedicated to providing information, strategies, analysis and commentary designed to improve the quality of living. His page can be found at http://longerlifegroup.com/cyberiter.html and his observations are published three times per week.

Put Your Money in a Foreign Bank Account at 10% Interest - No Don't

Many foreign banks have deals for those with American Dollars to put their money in accounts with a guaranteed interest of ten percent, even backed by Lloyds of London. Is this a good idea? Where else can you earn 10% on your money leaving it in a bank?

Well, it sound like a good idea at first and some banks really need US Dollars because they are a trusted currency and used to secure International Shipment Guarantees; so they are willing to give ten percent because the shippers only trust the US Dollar. Meanwhile, your money sits in the foreign bank tied to the local currency exchange.

In my personal opinion that sounds scary. If the currency is stable that is one thing, but I have watched people lose money doing that. If you make 10% great, but they could have a huge devaluation, nationalize all bank accounts, anything like that. What if you make 10% but if the devaluation is 22% less? So you have ten percent more money but that money is worth 22% less - see why it is risky?

In my personal observation; I have watched huge US or World Bank Investments in nations, running things up until all that money was siphoned out quickly, crashing the currency; temporary inflation and zapped. I have seen year over year strong growth only to watch huge market adjustments and currency swings in many of the foreign nations offering these deals.

As a small-time investor you can get hammered playing currencies or even using such a bank account scheme, although in some cases money has been made as promised and the foreign currency has even gone up during the time period, thus interest plus increased valuation.

Now then, let's say you are going to put US Dollars into an El Salvador Bank at guaranteed interest of 10%, but during the time period the currency devaluates? Well, you have 10% more money minus the devaluation, and you still took a huge risk outside the safer US Banks paying a lower interest rate.

On the other hand investing in El Salvador Bank shares might be different as stock, but I have no clue, what they are loaning on or how they operate. If you have first hand knowledge then that makes sense or if you are traveling and wish to have some money already there as you travel it also makes sense. Indeed, one has to consider what the money is being used for while the bank has it. Such as Guerrilla War financing, drugs or some thing sinister?

In my personal opinion - Investing in Emerging Market Debt can be a good play from all I read. Even larger multi-national banks are invested in these places; I like some of the "micro-loan" programs that are going on out in the world. There is a lot of risk investing in one particular bank stock or play of course.

My thoughts and in my personal opinion; would be I guess to find a Mutual Fund that specialized in emerging debt markets, that was diversified with some top managers and decent track records.

San Salvador has Earthquakes, weather issues, all sorts of things, guerillas, drugs, it is a third world country. In my personal opinion - I worry about Central Banks really. I like the Central Banks in Chile, Malaysia, South Africa, but of course the interest they are paying is not close to what you have quoted. Well I guess those are my personal opinions on the Bank Account Scheme.

L. Winslow is an Economic Advisor to the Online Think Tank, a Futurist and retired entrepreneur http://www.worldthinktank.net . Currently he is planning a bicycle ride across the US to raise money for charity and is sponsored by http://www.Calling-Plans.com and all the proceeds will go to various charities who sign up.

A Look at Forex Market Makers

The investor in the currency market takes for granted that a pair of currencies can be bought or sold at a moments notice. Once an order is placed with a broker, the trade is executed within seconds. It is, of course, not as easy as that.

Whenever a pair of currencies is bought or sold, there must be someone at the other end of the transaction. It is very unlikely that the investor will always find someone who is interested in buying and selling the same two currencies at the same amount, and at the same time. Hence, the question remains, How is it possible that the forex investor can buy or sell at any time? This is where the forex market makers come in.

The forex market maker is a bank or brokerage company that stands ready, every second of the trading day with a firm bid and ask price. This is good for the investor because when the investor chooses to buy and sell a pair of currencies, the market maker will purchase from and sell to the investor, even if they do not have a buyer and seller lined up. In doing so, they are literally making a market for the currencies.

Forex market makers ensure that the market is always functional and that the currencies in it will always fetch the market rate. Forex market makers do so by updating their prices at intervals of at least 30 seconds and undertaking to trade if this is requested. Forex market makers must fulfill their obligations irrespective of whether the economic situation is favorable or unfavorable, or whether they lose or profit by doing so.

Typical forex market makers include Gain Capital, CMS Forex, Forex Capital Markets (FXCM), and Global Forex Trading, all of which are regulated by the Commodity Futures Trading Commission (CFTC) of the USA. Another prominent forex market maker is Saxo Bank, which is regulated by the Financial Services Authority (FSA) of Denmark.

Until recently, central banks, commercial banks and investment banks dominated the forex market. Due to the entry of forex market makers, other market players like international money brokers, large multinational companies, registered dealers, global money managers, and private speculators have entered the market in large numbers.

Forex Brokers Info provides detailed information on forex brokers, forex trading and market makers, and other forex-related topics. Forex Brokers Info is the sister site of Incorporating in Florida Web.

Do What The Hell I Tell You-Guide To Portfolio Building

The First Step In Portfolio Building

Greetings everyone and welcome to the most complete business program on radio. Thats how I begin every program as I attempt to provide education to the masses. Hosting a radio program that discusses income tax, estate tax planning, and a whole host of other financial issues, is a definite challenge. Trying to be entertaining and holding the attention of a public that desires a get rich quick strategy that will bring fame and fortune with little effort or knowledge proves to be a never-ending challenge. The truth of the matter is, building a portfolio requires understanding of at least some basic principals and it requires discipline as well as diligence. With a world of financial products and strategies being marched in front of our faces every minute of every day, it becomes necessary to decide which products will best suit a given set of financial goals. This of course assumes that there are goals established in the first place. I would like to make one serious warning at his time before we get started. Those offering a variety of products and strategies for investing are not all knowing and do not always have the best interest of their patrons at heart.

Lets begin by introducing the two fundamental elements of building any portfolio. These fundamental elements are really a basic strategy broken down into two parts: inside of a retirement plan and outside of a retirement plan. That really all there is to it in the big scheme of things. Understanding the nature of each strategy and the investments that should be under the umbrella of each is really the true foundation of the entire portfolio building process. When we are thinking of an inside the retirement plan strategy, we are considering investments that should be a little safer in nature and we should be realizing that any income generated by this strategy is protected from income tax by its very nature. This means that capital gains, interest income, dividend income, and the like are all exempt from income tax by nature of being inside a qualified retirement plan. This promotes a balanced approach in building a retirement portfolio in the sense of having income producing investments along with growth-oriented investments made up of small and large cap stocks (1). On the outside of the retirement plan (or taxable accounts), we form a different strategy for handling our investments.

Here, it makes sense for us to have in our portfolios tax-exempt bonds (typically municipal bonds), along with growth-oriented securities made up of a mixture of small and large cap companies. It is important to point out here that it makes more sense to sell and take gains off of the table more frequently on the retirement side of the portfolio as gains will escape income tax consequences. Conversely, it makes sense to hold positions for a longer period outside of the retirement plan side of our portfolio in order to take advantage of long-term capital gain rates and reduced taxes on dividends received (2). I hope that you are getting the picture of the point I am trying to make. If not, please re-read the above information and feel free to contact me for help (3).

The college tuition funding vehicles, or 529 plans, are important mentions in this first step toward portfolio building. As we have been told, the 529 plan is a tax-exempt trust or vehicle for our investments as long as we use the funds for the educating of our children. The claim that I will make to you here is that the 529 plan will be duplicating the same investment strategy that is maintained in the retirement part of ones portfolio. My belief is that the average American cant afford to duplicate investment strategies. Why not build a portfolio outside of the retirement plan with the thought that help can be given to a child on an as need basis. If the child gets a scholarship or is able to obtain a loan, there will be no need for the plan in the first place and we are able to move on with our investments intact. There are other ways to provide for the education of our children and I would recommend the reading of my article Educating Your Children (4). In addition, I will submit to you that it is possible to sell part of our taxable portfolio with limited or no income tax consequences. Please read my article on Capital Gains and Losses (5). We can accomplish the goals of a 529 plan without being subject to duplicating investment strategies.

The final discussion for this first step in portfolio building should include the following points. Believe it or not, there can be too much money built-up in qualified retirement plans and traditional IRAs. Funds that are in qualified retirement plans and traditional IRAs are ordinary income and will be taxed at ordinary rates upon taking retirement distributions. In addition, these retirement funds are what as know as income in respect of a decedent (IRD). This is an estate planning term that essentially means that there will two tiers of tax to pay by heirs upon inheriting a qualified plan or traditional IRA. They will be subject to estate taxes and income taxes as the qualified plan or traditional IRA must be distributed over time to beneficiaries. Careful planning from the beginning can prevent or lesson the affects of IRD such as contributing to Roth IRAs or making sure that IRD has at least one tier of tax removed from the equation. This is done by making certain that IRD income does not exceed the estate tax exemption of $2,000,000 and that the estate in general is not over this limit. In addition, the beneficiaries can take distributions over their life expectancies and can even pass the IRA ownership to another generation thus lowering exposure to income tax.

The alpha rim will end our discussion of the first step in portfolio building. What is the alpha rim? It is a group of investments that have no relationship to investments associated with the stock market. Two classic examples would include real estate and commodities trading. Where should these investments be in our portfolios? I like real estate on the outside. This is because it has limited exposure to income taxes and the growth potential is already tax deferred until the property is sold. When it is sold, it will likely be subject to long-term capital gains rates and any losses from real estate can be used to help build a tax efficient portfolio on the outside of the retirement plan side of the ledger. See my article on real estate transactions (6). Those who want their real estate owned by their IRA accounts should be careful as they could be converting long-term capital gain property into ordinary income property. In addition, they could be subject to the application of unrelated business taxes or UBT causing their real estate transaction to be subject to much higher tax rates.

The commodities might be better served inside the retirement plan but should be done on a limited basis due to risk factors. If the commodities are done through a fund their will be more chance for success. Commodities trading usually carry with it a mark to market accounting method that will create gains and losses with out selling positions. This is why it might be best positioned on the retirement plan side of the portfolio. Typically, the alpha rim should not be more than 20% of the total portfolio and its characteristics should be examined to determine whether it belongs inside the retirement plan or outside.

Please take whatever time you need to understand what has been told to you through this article. It is very important that you understand this most basic concept. Stay tuned for information regarding portfolio building including a discussion regarding time horizons and how this will impact asset allocation over time.

1.Small cap stocks are companies with market capitalization of $500 million or less. They are less well established and are more volatile in nature but provide a larger potential for growth. Large cap stocks are companies with market capitalization exceeding $500 million and are more established and normally volatile by nature.
2.Long-term capital gains and qualified dividends are taxed at a maximum of 15% as tax law stands today. It is possible that the rates could be a low as 5% if a given taxpayer is in a 10% to 15% marginal income tax bracket.
3.taxguy9@hotmail.com
4.www.mwibonline.com
5.www.mwibonline.com
6.www.mwibonline.com

Ron Piner, CPA
http://www.mwibonline.com
Tune in Saturday mornings at 10
To WBIS am 1190
http://www.wbis1190.com
1-877-424-7119

The MWIB Series
My Way Is Better
Ron Piner, CPA
Better Business
Saturday mornings at 10
WBIS am 1190

Day Trading Futures Contracts - How To Win

The successful futures day trader knows that trading is a form of betting. It is a numbers game based on probabilities. The traders task is to adopt a strategy with favourable odds and execute the strategy as perfectly as possible.

To be successful, the trader identifies one or more setups which signal high expectancy trades. The setups are most often related to some kind of chart pattern, or a signal given by one or more technical indicators. I look at some ideas for setups in other articles. For now it is sufficient to understand that a setup should be measurable. It is a clear, unambiguous signal to enter a trade, and each trade should be managed in exactly the same way so that the results of the trade can be accurately determined in a theoretical test situation.

The expectancy of a trade cannot be estimated without testing the strategy. You test by either trying out the strategy on historical data (back-testing), or paper trading the strategy for a period of time. In either case you are unlikely to get a decent estimate unless the sample includes a minimum of 20 trades, preferably more.

You should observe the results for the trades in your test sample and calculate the Probability of Winning - P(W), the Probability of Losing - P(L), the Average Win in dollars - A(W), and the Average Loss in dollars - A(L). Use the following formula to estimate the Expectancy for your strategy:

E = P(W) x A(W) - P(L) x A(L)

For example, you test 50 trades resulting in 30 wins (60%) and 20 losses (40%), with an average win of $300 and average loss of $200.

E = (60% x 300) - (40% x 200) = 180 - 80 = $100

This means that in the long run you expect to make $100 per trade using this strategy.

Many people examine historical data to determine a good trading strategy. After this, you cannot use the same data to estimate Expectancy, because the strategy is optimised for this particular set of data. To estimate Expectancy, back-test data from a different period or run an independent paper trading trial. Ignoring this principle results in curve fitting and you delude yourself into thinking your strategy is better than it really is.

No strategy can be profitable unless it has a positive expectation, but higher expectation does not necessarily lead to higher profit. You must also consider the opportunities to trade generated by your strategy. A strategy averaging 10 trades per day with an Expectancy of $50/trade is better than a strategy providing 2 trades per year with an Expectancy of $1,000/trade.

You can see from the formula that Expectancy is a function of both the Probability of Winning and the Average Win to Average Loss ratio. If you only win 1 in 4 trades, but the average win is $400 versus an average loss of $80.

E = (1/4 x 400) - (3/4 x 80) = 100 - 60 = 40

This is a situation where a strategy with a low probability of winning has a positive Expectancy because wins are much bigger than losses. In contrast, suppose you win 8 out of 10 trades with an average win of $80 and an average loss of $300:

E = (0.8 x 80) - (0.2 x 300) = 56 - 60 = -4

This strategy wins much more often than it loses, but has a negative Expectancy because losses are substantially bigger than wins.

There is no right answer for the balance of these parameters, other than that the Expectancy for your trading strategy must be positive. Often, improving your average win to average loss ratio will decrease the probability of winning, and vice-versa.

However, for a small trader there is an advantage in gaining positive Expectancy by having a high probability of winning. Sticking to a strategy that generates a lot of winners is less strain on the trader!

A positive Expectancy is no guarantee against a run of losses. Indeed, with most strategies it is almost certain that there will be significant strings of losses at some time. However, a positive Expectancy should lead to profits in the long run, providing the trader uses proper money management and can survive losing sequences.

In summary, the trader needs to specify clearly defined strategies which can be traded in a mechanical manner whenever their setup occurs. The strategy should be tested (avoiding the trap of curve fitting) to ensure that it has a positive Expectancy. Thereafter, the trader should execute the strategy at every possible opportunity.

That is how to win.

David Bennett trades US commodity futures from his home on the Gold Coast in Australia. He provides coaching and mentoring services for people wanting to start trading for themselves. Visit http://www.12oclocktrades.com to read more futures trading articles.

Forex Trading Tool - Which Calendar?

A calendar of economic reports is an indispensable Forex trading tool!

Experienced traders begin preparation for each trading session by consulting an economic calendar so they can avoid trading at times when the market is likely to be volatile and unpredictable.

At the same time, if an intra-day trade is in progress with a potentially volatile economic report soon to be announced, a decision can be made as to whether to take the trade out, or at least move the stop to protect profits or minimize losses.

Seeing this is such an important Forex trading tool, it pays to look around and select the best from the free resources available online.

Listed below are three good calendars you may wish to add to your Forex trading tool collection. (For links to each of these calendars go to the resource box at the end of this article and click on the link for free resources.)

FXCM

The FXCM web site has an associated web site called dailyfx.com which provides a comprehensive daily calendar of fundamental announcements which can either be viewed online or downloaded as a PDF file.

Economic reports likely to have a major impact on the market are displayed in bold to make them stand out.

This downloadable report is useful if you wish to print out the daily calendar and have it on your desk or displayed beside your computer.

ForexFactory

This web site is very popular with thousands of visitors to the Forums each day. However, in my opinion, the best Forex trading tool it offers is the calendar.

You can customize the time to your own time zone so the calendar displays in local time when the fundamental announcements will be made. This is a great help in avoiding confusion from having to add or subtract from GMT or having to take into account daylight saving time.

The main benefit of this calendar is the color coding feature. Economic reports likely to have a major impact on the market are shown in red, medium impact reports in orange, and minor impact reports in yellow.

At a glance you can identify the times during the day when you need to exercise caution.

Econoday

The paid subscription version of the Econoday calendar is an essential Forex trading tool for many professional Forex traders and fund managers.

For the average day trader the free version available from Barrons will no doubt suffice. One very helpful feature of this web site is the link to why the economic report matters. A detailed explanation is given on all the major economic reports as to why the market cares and the effect it can have.

Economic Reports - Market Movers

Not all economic reports are market movers. However, there are about 15 economic reports that have a medium to high impact on the US Dollar and up to 10 or 11 economic reports that have a medium to high impact on the British Pound, Euro, Swiss Franc, Australian Dollar and Canadian Dollar.

Navigating your way through a trading day without using a calendar would be like attempting to cross a minefield without a mine detector!

Be sure you take advantage of this major Forex trading tool - the economic report calendar. Use the online resources available for free and make them part of your daily Forex trading session preparation routine.

For a free pivot point calculator, Fibonacci calculator and the best free economic calendars click here:

http://www.vitalstop.com/Forex/tools.html

For a free candle & chart pattern recognition reference tool click here:

http://www.vitalstop.com/Forex/Candle-Chart-Patterns

The powerful 200 EMA strategy - easy for newer traders:

http://www.vitalstop.com/Forex/Advisor/200EMA-forex-strategy.htm