Skip to main content

Effective Investing: How to minimize fees and maximize potential return

We coined the term "Effective Investing" to reflect a style of investing that does several things. First, it minimizes fees and costs. Your money should go toward your future, not to a broker or mutual fund company. There are only two ways to accomplish this, one in stock investing and the other in bond investing. Your money should be safe and effective investing means being able to sleep at night.











This means managing and minimizing risk. There are a limited number of ways to accomplish this, too. Risk is a feature of investing. It is how you get to return. Still, you can rationally minimize risk by taking a few constructive steps. 
In the bond or fixed income world, investing in US Government securities is the only way to accomplish this. 
In the stock market, the strategy is the polar opposite and can be summarized as "don't put all of your eggs in one basket," in fact, put them in the biggest basket you can find. This means investing in an Index Fund comprised of shares of stock in 500 or more companies. The S&P 500 Index is the tool we suggest (although we have had issues with S&P, their Index is solid.)
Finally, effective investing means being at peace with your conscience. This means not investing in companies that are, or may do bad things with your money. (Now, we understand that this may be difficult for some investing in US Government securities or investing in an Index, but we show you a way around this, in fact the ONLY way around this...) This means looking for and investing in responsible companies. In summary, Effective Investing:
  1. Minimizes fees.
  2. Minimizes risk.
  3. Maximizes potential financial AND social return.


We tell you how to do this online in: Stock, Bond and Mutual Fund Investing We cover the following topics:
  • What is Investing?
  • Why Invest?
  • How to minimize fees and maximize potential returns.
  • Risk and Reward
  • What Is a Stock?
  • What Is a Bond?
  • What Is a Mutual Fund?
  • What is a return?
  • What is Ethical/Socially Responsible/Environmental Social and Governance and Corporate Social Responsibility Investing?
  • What is screening? exclusion? shareholder activism? positive investing?
  • How can you invest effectively, meaning with minimum fees and maximum potential for return?
  • For a preview, see: https://youtu.be/ImgORmdCCkg
Labels:

Popular posts from this blog

Kamalanomics: Home and Health

Vice President Kamala Harris recently unveiled her economic plan, which builds upon and expands several initiatives from the Biden administration while adding new elements aimed at addressing economic challenges faced by American families. Her plan, dubbed the "Opportunity Economy" agenda, focuses on lowering costs for essential goods and services, particularly targeting housing, healthcare, and groceries. Key Components: 1. Housing: Harris proposes constructing three million new homes to address the housing supply crunch, which is more ambitious than Biden's two-million-home plan. She also advocates for a $40 billion "innovation fund" to encourage local governments to find solutions to housing shortages and make it harder for investment companies to buy up large numbers of rental properties, which has driven up rent prices. (See: Comments to the CalPERS Board of Administration, July 15, 2024 on Housing and Environmental Investing.) 2. Healthcare: Expanding on B...
Read more

Maternal Health Financing Facility for Black Women: A Solution to an Urgent Problem

Maternal mortality is a significant issue in the United States, with Black women disproportionately affected. Research conducted by the Centers for Disease Control and Prevention (CDC) has shown that Black women are more likely to die from pregnancy-related causes than their white counterparts. However, the issue is not new, and despite the increasing amount of data available, the disparities have remained unaddressed for far too long.  Creative Investment Research (CIR) is among the organizations that believe there is a solution to the problem. Through our proposed impact investing vehicle , the Maternal Health Financing Facility for Black Women (MHFFBW), we aim to tackle the mortality gap and support Black women during childbirth, which will, in turn, benefit their communities. The Facility, based on legally binding financing agreements containing terms and conditions that direct resources to individuals and institutions capable of addressing supply-side conditions at the heart...
Read more

William Michael Cunningham on Impact Investing, Blockchain, and Crowdfunding

September 2018 - 10 Questions William Michael Cunningham on Impact Investing, Blockchain, and Crowdfunding Interview by Carly Schulaka WHO: William Michael Cunningham WHAT: Economist, impact investing specialist, founder of Creative Investment Research WHAT'S ON HIS MIND: “Any finance professional in the U.S. should learn how to create a blockchain.” 1. You are an economist, an inventor, and an impact investing specialist. I’ve heard you say: “True innovation happens in a way that is independent of monetary returns.” How does this statement influence your work? It’s really about finding an interesting problem and applying financial technology to solving that problem or to dealing with that problem. You know, the people who invented the alphabet didn’t do so to make money. They had an interesting problem—communication on both a local and a grand scale—and if you were to calculate the social return for the invention of that technology or technique, it’s almost infinit...
Read more