Reply #10: My plan [View All]

[Broadslidin]

Hello Ringmastery, Good Luck, whatever you do.

My plan since entering the work force has been:

1.) Always paid cash for cars.
2.) Never carry a balance on a credit card.
3.) Thirty year fixed rate mortgage,
paid off in ten years.
4.) With the U.S. government debt approaching $7.2 Trillion,
government and corporations competing in the debt markets,
increasing energy costs and inflation,
weakness in the U.S. dollar and trade deficits,
weakness in home values when interest rates begin to rise,
Just a few reasons, I am accumulating cash at this time.
The current Dow Jones P/E is 19.22
5.) Have bought only common stocks and preferred
that are rated "A" by Standard and Poor and were experiencing
a lull in earnings. Drug companies are always closely watched.
A) Always look at the balance sheet.
As an example, Never get sucked into a company like
Ford Motor Co. which is currently $120 Billion in debt.
($155 Billion including Ford Motor Credit)
6.) Take a Look at no load, low expense ratio mutual funds such
as Vanguard and American Century.
7.) And probably most important, I have always had my attornies
draw up iron clad pre-neptual agreements.
If you like playing the odds, be aware in Oakland County, Michigan, the divorce rate is 63%.
The state of Nebraska has a divorce rate of 71%