Margin trading is when you take out a loan to buy stock. Learn how it works and the pros and cons to see if this strategy is right for you.
Investing Strategies
Finding Safety and Yield Out of 581 Preferred Stocks
Nearly every day, I hear from my newsletter subscribers expressing concern about a possible stock market “crash.” The crash prediction gig is a good one, with excellent compensation and no accountability. Still, whether or not the markets are due for a tumble, we should be aware of the risks in our portfolios and have some […]
Protecting Your Downside Exposure with Options
It’s never a bad idea to know how to minimize your equity exposure, especially right now, as the market is showing some cracks in its armor lately. The S&P 500 was down roughly 5% in September, the first down month in 2021 since January, and the largest since the pandemic hit in March 2020. Granted, […]
Are You a Gambler, Guesser, or Investor? The Answer May Surprise You
Recent articles, such as this one from the Wall Street Journal, highlight the explosion in options trading by individual investors. As the article notes: “By one measure, options trading by individual investors has risen roughly fourfold over the past five years, according to Cboe data.” I believe we live in a culture with a lot […]
Social Security COLA for 2022 Projected to Be Highest Since 1983
The Senior Citizens League reports, “Social Security COLA (Cost of living adjustment) For Next Year Could Be 6.2%.” Mary Johnson, a Social Security policy analyst tells us: “With one third of the data needed to calculate the COLA already in, it increasingly appears that the COLA for 2022 will be the highest paid since 1983 when […]
Bristol-Myers Squibb Shares Oversold: Time to Buy?
A common warning you’ll hear on Wall Street when a stock is in a major downtrend with no end in sight is not to “catch a falling knife.” This popular investing idiom is often used to describe a risky investment strategy, even if it applies to a bellwether stock. The danger in trying to catch […]
Beginner’s Guide: How to Become an Investor in 5 Steps
Want to learn how to become an investor? Read on to learn more about investment risks and the steps you can take to start investing.
How Much Can You Make in Three Years From Just One Dividend Stock?
If you buy stocks for capital gains, it is currently a difficult market in which to invest and earn acceptable returns. Today’s hot stock is very likely to crash tomorrow. The winners of 2020 are falling in 2021. And despite the big daily gains you see on the financial news and tremendous price volatility, the […]
Covered Call ETFs: What They Are and a DIY Alternative
Are covered call ETFs the best way to write options? We’ll explain how these ETFs work and compare it to writing calls on individual stocks.
A Guide to Cash-Secured Puts: Get Income or Buy Stocks Cheap
Cash-secured puts are an advanced options trading strategy. We explain how they work for sellers and buyers, and how you can make a profit.