Investment Articles

Today’s topic is a bit more 201 then 101 for subject matter, but good nonetheless for real estate investors of any experience level. You see, there are two basic types of private money investments: deal specific and what I call time period specific. And each has its own thorns to avoid. Some private money you bring in will be tied to a specific deal. You raise money to flip a house, the house sells, and it’s time to pay the investor back. Other deals involve money being invested for a set period of time (whether loans or equity investments). The return is paid on a monthly, quarterly or annual basis.

A lot of times, when you first get started raising money, you’ll tend to go the ‘deal specific’ route. You may find it easier to have someone commit funds for the time period of a deal, which could be a few weeks to a few months or possible (such as with an apartment building) a few years. It’s important to build the investors expectation the right way from the beginning. You should avoid investors who want to place funds with you as some sort of a high yield holding tank for their money. I’ve seen it happen before (it’s happened to me) where a potential investor wants to place funds for 3 or 6 months but then has an immediate home for that money after their investment with you cashes out. This is what I call “temporary” private money and it can really put you in a tough situation. It does beat hard money or not doing the deal at all, so keep than in mind – but they type of investor who cannot place funds for more than a few months isn’t one you can work with long term. So…back to our main question, which was: when is the best time to roll private investors back into the fold? What I mean is – as an investment is about to cash out or the time period for an investment is about to expire, how can you work to get the investor to roll their money back in?

First, you have to be proactive. Find a home for the money before it comes time to start talking to the investor about what they want to do with it. A lot of your private money investors will want to “keep a good thing going” and just roll the money back in. I suggest beginning discussions with investors at least 4-5 months before their investment matures. For deal specific investments, it helps to broach the subject at the beginning of the first deal. Make sure they are open to future investments if they are happy with this deal.

One big thing you have to pick up from all of this is what I call THE PROPER CARE AND FEEDING OF INVESTORS. I’m borrowing this from a Dr. Laura book my wife has, but it applies to private money investors. You have to make doing business with you an absolute joy the whole way through. You can get a lot of money re-invested and also get a lot of referrals to other investors this way too. Don’t automatically expect your investors to just roll their money back in. Actively work for it the entire time it’s invested. It sure beats going back to the well again (especially when you don’t have to).

Why not go back to the well for MORE money instead of just replacing existing funds?

Adam Davis is a real estate investor, author and speaker. He teaches real estate investors how to raise capital. Adam has completed hundreds of deals- from single family house flips to apartment buildings. He has raised millions of dollars from private individuals. For a FREE audio program on how to get private money go to: http://www.UltimatePrivateMoney.com.

In investing, it is always the safest to invest in something that is tangible. All types of investments carry with them a certain level of risk but those with less are investments on items that can be touched. Take for instance trust deeds. A trust deeds loan is very safe because it is backed by real properties. And there is a possibility of greater yields in trust deed investments. So if I were you, I would invest in your first deed of trust.

Frankly speaking, a borrower’s probability of fulfilling his payments is ultimately high because if he fails, his properties – land and home or other building structure that was used as collateral may be lawfully taken away. That is the reason why lately, wise investors are turning to deed of trust investments. The stock market, once a bastion of safety financial investments, has become so volatile lately that many do not want to risk it anymore. Even blue chips investments are turning some heavy investors blue, due to very irresponsible investing procedures.

So how does go about investing in his first deed of trust? First off, one has to secure himself a TDIC or a trust deed investment company. Finding one would be easy, however you might want to research further on a TDIC’s credential before hiring immediately. Why? Because the trust deed investment company is the entity that performs detailed analysis and scrutiny on the value of a particular property that is being used as collateral. Second, the trust deed investment company’s task is to make sure that whatever transactions being made are in conjunction with the local state laws. So they have to very well-versed with the United States real estate laws and the local state laws, otherwise, you might end up with no investment and no property at all.

This means that the TDIC you will choose should be able to give you precise, unadulterated, and unbiased information on the value and marketability of a certain real estate or project. They should be able to furnish and explain all legal documents pertinent to transactions between the investor and the borrower. The trust deed investment company should also be able to provide you with exact monetary figures as to how much your investment would earn at certain period of time, say perhaps on a monthly basis, and as to how much you would be able to get from the property in the event the borrower was unable to fulfill his financial obligations. When you have ascertained as to who is the right TDIC, everything would be a cinch.

So, good luck on your investment on your first deed of trust.

For those who wish to discover more about trust deeds why not do some research here: deeds of trust

Buying or selling gold coins is directly or indirectly a process for financial investment as well as aesthetic pleasure. Some coins attain hefty premium due to their rarity and quality. The worthiness of gold coin can be measured by the wear and tear and handling of the coin that is present on the coin. Rarity of the coin plays the most important role in increasing the valuation.

Original gold coins were minted as legal tenders by the country governments throughout the world. Before 1930’s when the governments were off the gold standards including United States, the production of gold coin was started. Though the gold coins are stated with the value on them, they cost more than the stated value as it contains real gold in it. Gold coins also convey history and arts; all the coins have its own historical values.
$20.00 Gold coin is of size about half dollar coin and weighs one ounce which is standard. It weighs more than the real $20 coin. There are some lesser denominations minted such as $1, $3, $5 and $10. Some foreign coins are also available that are very popular such as British Sovereign that weighs about quarter ounce gold and Franc that is one fifth ounce of gold.

Gold Sovereigns are the most popular amongst the series of gold coins in the world. It weighs about.2354 ounces of gold and size is about same as U.S. nickel. It is being minted since 1489 by the British and it was issued with the portrait of Henry VII. These coins were replaced by Unites and Guineas from 1604 to 1816 but came into existence again in 1817. This time it was issued with the portrait of George III. When United States won its independence George III was the King of England. The era from George III until the present age is considered as Modern Sovereign.

Gold Sovereigns always features the portrait of the ruling king or queen. The coins can be collected with a basic way by considering the monarch. The portraits of George III, George IV, George V, George VI, William IV, Victoria, Edward VII, and Elizabeth are commonly seen on the coins of modern sovereigns. No sovereigns were made with the portraits of Edward VIII as he was ruling King for less than a year.

A special sovereign was designed and made in 1989 to commemorate the 500th anniversary of gold coins. It has the impression of Queen Elizabeth II sitting on her throne. Many gold sovereigns have the reverse design of St George slaying the dragon. Collecting gold sovereigns with the reverse designs can be done easily as these coins do not cost much. There is a mark that indicates the country of manufacture of the sovereign. This mark is a small letter that is embossed beneath the portrait or on the reverse side of the coin such as ‘S’ stands for Sydney, ‘M’ for Melbourne, ‘C’ for Canada, ‘I’ for India, ‘SA’ for South Africa. If a coin is without any mint mark then it states that it is manufactured in London. Since 1932 all the sovereigns are manufactured in London.

Collecting these gold sovereigns by the dates is a very ambitious way to make a collection. There are only multiple gaps during reigns of George V, George VI and Elizabeth II. The coins that are much older are more expensive. Buying the sovereigns every year can be very expensive. Some coins are so rare that they may prove impossible to be bought at any cost. Buying and selling of these coins can be done through internet, make sure you consult some coin books or internet to determine the actual pricing of them. Knowledge of current price can prove helpful to know the rise and fall in the rates. Make sure you are dealing with the right person and reputed seller and ensure all the handling and shipments.

For more information about 20 Dollar Gold Coins and Gold Investing visit http://americancoinnj.com

In terms of economics, gold bullion refers to precious metals like gold and silver. It is available in forms of bars and coins. There are several reasons behind why people invest in them. Though it is psychological in nature, a significant chunk of investors around the world believe that price of these precious metals will rise for ever. Hence they invest in hope of a better return on investment. There were price fall in several occasions. But, the luster of investment in gold bullion market has not faded away. People have made profit and investment in these metals synonymous.

Gold and silver are ideal investment options if the investor is worried about the political situation of the country he/she is residing in. Bullion market has universal approach and gold can be sold with less hassle. Hence, people worried about socio-economic, political and currency-based crises related to other financial investment tools find gold as a safe option. The demand for gold bullion garnered further momentum after the global economic crisis. With almost all leading stock exchanges trembling like houses of cards, global economic crisis rang the alarm for several financial products. Real estate, till considered as a safe investment option lost its profit making potential. Mutual funds and FDI also failed to ensure their earlier profitability. But at such a juncture, price of gold increased significantly. Hence, people are showing more inclination towards bullion investment.

Stability is witnessed in bullion market. It is less volatile to political factors affecting general economy. Easy liquefaction is also associated with gold and silver bars and coins. You can liquefy it any time at the hour of need. Hoarding cash offers you nothing. In several economies it is a punishable crime too. But, preserving cash through gold bullion coins and bars will open several doors of profitable investment. Investors interested in maintaining a diversified portfolio also find bullion market as a safe option. Return from this investment is capable of covering the loss occurred at other financial tools like bonds, stocks and mutual funds. Gold and silver are also suitable long term investment options too.

Dealing with numbers and making a sense of it can be a grueling task. Not to mention unnecessary since you already have a lot on your plate. With the ton of concerns that you need to deal with everyday, a headache computation is the last thing you need. The good news is you don’t have to tear yourself apart, just deal with placing your money on the right investment.

The present value annuity calculator is an online tool that helps you assess an investment by laying it on a series of payments that will be paid over a period of time. In addition, it calculates using today’s present dollar value so it will be easier for you to assess a particular investment’s worth. It can compute the numbers to determine the current worth, the expected value and the future worth of a financial investment.

Step 1: The first thing you need to do is to key in the numbers for the following items:

1. Annual payment or the dollar amount that is to be paid on a yearly basis
2. Annual interest rate or the percentage obtained from the annual payment, what is expected to be collected from the investment
3. Payment period or the number of years when the annuity is expected to be collected

Step 2: Go to the present value annuity calculator, a link is usually available to click on.

Step 3: Decide. Given the numbers, the present worth and an investments expected future worth, you are then equipped with the knowledge to decide where to put your money on.

Learn more about present value annuity, please visiting http://www.gsyywz.com/financial/present-value-annuity-calculator-how-easy/

Securities are a financial investment regulated by the government. Examples include: government securities, stocks, bonds, and mutual funds. As a general guide to investing, to avoid heavy losses and investor fraud steer clear of more complicated securities and schemes. Here’s a guide to investing for beginners to help you start investing and avoid being fleeced.

The new investor is often nervous about making a financial investment because you don’t see or get anything tangible when you write out your check. It’s not like buying real estate or silver bars. On top of that, just the other day another financial scam was uncovered in Florida. A lawyer and associates bilked $1 billion from unsuspecting investors, selling a financial investment that didn’t even exist.

No wonder investing for beginners is scary business. You can get cheated through fraud, scams and schemes. Or you can lose your nest egg in legal securities where the new investor does not belong. Here are some tips for self defense… where not to invest when you start investing.

As a general guide to investing, walk away from anyone who gives you the HARD SELL promising high returns with little risk. Run if they pressure you to make a decision on the spot. Do not buy a financial investment from anyone who is not licensed through the National Association of Securities Dealers (NASD). The smoothest operators lead you to believe that their investment opportunity is not available to just anyone, and that you need to act now. They often lack a securities license, and are not offering a registered security.

Some legal securities are complicated and involve a high degree of risk. Examples include stock options, futures contracts, leveraged and inverse ETFs, and derivatives in general. The new investor should stick with listed stocks and bonds that are publicly traded on exchanges; and money market or government securities.

In fact, I’ll take that last statement one step further. Investing for beginners should focus on mutual funds that invest in stocks, bonds, and the money market. That’s the best way to start investing and avoid being fleeced. Mutual funds are a financial investment that is heavily regulated, and anyone who sells them directly to the public needs a license to do so.

A registered rep with a license might sell you a poor performing fund, but if he cheats you and gets caught he’s in a world of hurt. The NASD frowns on investor fraud; they are there to protect you.

A retired financial planner, James Leitz has an MBA (finance) and 35 years of investing experience. For 20 years he advised individual investors, working directly with them helping them to reach their financial goals. Jim is the author of a complete investor guide, Invest Informed, designed for average investors or would-be investors of all levels of financial background and experience. To learn more about investments and investing and his new financial guide go to http://www.investinformed.com.

As a new investor you probably wonder what a securities investment really is. There are basically three investment securities every investor absolutely needs to understand before deciding on a financial investment. Here’s your basic investment guide. Corporations issue equity securities to raise money in the form of common stock; and debt securities to borrow money in the form of bonds. The U.S. government issues debt securities to borrow money from investors in the form of Treasury bills, notes, and bonds. And then there are complicated and risky investment securities like derivatives, where the new investor does not belong.

As a basic investment guide I suggest that the new investor view the world of investments as three distinct and separate segments: savings alternatives, tangible assets, and investment securities. A bank savings account or CD is a savings alternative, not a security. Physical real estate property is a tangible investment or “hard” asset, not a securities investment. Stocks, bonds, and mutual funds are each a financial investment and they are the investment securities that all investors need to understand. Stocks and bonds are originally issued (sold) to the public. Then they trade in the secondary market on exchanges, as in the stock market. Since there is investment risk and the public is involved, these securities are regulated by the government.

Since they trade in organized markets or exchanges, investors have liquidity and can easily buy and sell stocks and bonds. A securities investment can offer higher returns and/or more interest income than money in the bank. Along with this comes higher risk. Common stocks are a financial investment that offers the potential for growth and higher returns. Bonds are investment securities that offer higher interest income. The average investor needs growth and/or higher income to get ahead financially. The question is: how should the new investor approach the subject of making a securities investment? Here’s a basic investment guide. First, learn the investment basics in regard to stocks and bonds. Then start investing in mutual funds.

When you invest in these funds professional money managers pick the stocks and bonds for you and a large pool of other investors. They manage the money. You just pick the fund(s) you want to invest in. The new investor belongs in stock funds, bond funds, money market funds, and/or balanced funds; and not in the likes of complicated and risky derivatives like stock options, swaps, and leveraged or inverse ETFs that invest in derivatives. The mutual fund industry is regulated to protect investors against fraud. Some of the more exotic securities are more difficult to regulate, as proven in the financial crisis of 2008.

A retired financial planner, James Leitz has an MBA (finance) and 35 years of investing experience. For 20 years he advised individual investors, working directly with them helping them to reach their financial goals. Jim is the author of a complete investor guide, Invest Informed, designed for average investors or would-be investors of all levels of financial background and experience. To learn more about investments and investing and his new financial guide go to http://www.investinformed.com.

To make it business of whatever kind you have in mind you must take a bold step of making an investment.

What Is Investing?

To invest simply means buying an earning asset. Assets that can produce an income stream for you and put money in your pocket. It is a process of being proactive about where your money works and how much it earns. Investing is not a way to get rich overnight but a way to sleep while your money grows.

There are certain questions that needed to be asked such as:

What type of investment is better-Physical or Financial?

What can be considered as the best investment?

What obstacles are preventing investment?

What type of investor are you?

How do you handle risk?

To determine the kind of investment that is good for you there is the need for proper assessment of who you are in terms of your capacity and God-given abilities. If you know You have the drive for trading on physical goods (tangible commodities) then, you can settle for physical investment in commodity market. On the other hand if you are a busy fellow that can not sit in a spot for business activities it is better you go for financial investment; investment in financial instrument like bonds, shares and stocks of viable companies and the likes.

What an individual considered as best investment is a thing of the mind .It depends on your initiatives and experience over the years. For you to always come out successful in a Business you have to re-invest or plough back profit into a profitable business. A business you can bank on anytime any day as a cash cow. Never leave this kind of business amputated for a new, never tried, kind of a business in the name of diversification of portfolio when you have not realized a reasonable profit that is more than enough to cater for at least three new projects. I mean make it a 3:1 before diversifying your portfolio. You have to know that experience is the only teacher. It is better you might have made 300% profit in your first line of business before you try another with a fraction of your profit. Let that business fend for others.

Your nature has an important role to play in your investment decision. According to experts there are three types of investors viz:

1. Risk lover

2. Risk averse

3. Risk indifferent

You have to know where you belong to determine the kind of risk you are going to take. Remember the higher the risk the higher the returns on investment.

Handling of risk depends on your goal, the purpose of investment and your personality.

Watch out for obstacles preventing investment and a detailed write up on each problem.

He is an Economist, Internet Marketer and a Business consultant he loves creating wealth, building Businesses and Investing in a profitable ventures. Visit my site http://www.dollarfloodgate.blogspot.com to discover the amazing secrets to a profitable online ventures.

Investing your money can be quite scary, but so is letting it stay stagnant in a bank. Choose the right investment with the person you trust most, yourself. Discover many real estate investment opportunities by going on a real estate investment tour.

Pattaya. Thailand – Thousands of people have been reported to file bankruptcy each year because of bad investments. 78 percent of them claim that this predicament happened because they were sweet talked into an investment by a so-called expert, and 57 percent of them also admitted that they didn’t clearly knew what they were investing in.

Greg Sanders, a New York Investment advisor, said, “This is the major problem. If you can’t take an active role in your investments, then you may as well say goodbye to your hard earned money, not that you have to always keep a tab on it, especially on the property market, but you need to know what you are getting into, just like how it works on most everything in life.”

Real estate have been receiving a lot of flack through the past years, the global economic problems that the world has been experiencing for the past year now has made a major dent on the market. But there are still some areas in the planet that has been considered as key hotspots in real estate investment.

Knowing What to Invest In

Many persons could be easily swayed to believe that such a property is a worthwhile investment. Gifted with a golden tongue, many of these so called experts can be easily sway any potential investor to invest money on their seminars on what they claim to be premier properties without the benefit of actually seeing or inspecting what they would be investing their money in. Because these seminars require a fee, people are already losing their money before they even get the chance to get the possibility of earning a profit.

This is where a real estate investment tour would make the big difference.

Real estate investment tours provide the opportunity for an investor to see what they are actually investing in, and not just a fancy slideshow or computer presentation that has been glorified aimed to take your money. By allowing yourself the chance to actually gauge your chance of making a huge profit from your venture, you will have a better understanding of what you are getting into.

If anyone is interested in real estate investment, then going on a real investment tour first is the best decision. Why be blindsided with sweet talk when you will be able to see what you are getting into by yourself?

Guided by a real estate investment expert, a tour would give you more than information than a dozen financial investment seminars would ever provide. And without any obligation to invest, any real estate investment tourist would more than likely laos have the chance to enjoy the trip and regard it as a vacation.

With Pattaya, Thailand as one of the hottest regarded real property investment, this tropical paradise would definitely make your time worthwhile.

Robert Tracey Loves Real Estate and loves Thailand and Loves talking about it he takes investors to Thailand to look for property for investment and life style he will show you everything you need to know about investing in Thailand find out more by going to http://buyrealestateat.com/tours/

When you work for a company, you do what the boss says. When you’re told this is how to make a living, you do it. When you’re shown how the top earners made it big, you go for it. Who can knock success, right? But your financial success depends on your attention here, because your financial advisor’s best interest may not be what is best for you.

I want to give you an idea of the type of money that changes hands between fund family companies and financial advisors. Fund companies spend billions of dollars on financial advisors in the form of straight pay outs, fees, commissions, entertainment, trips, 12B-1 fees, direct brokerage fees, pay-to-play fees and supermarket funds fees. These companies would not spend billions of dollars if it weren’t effective.

Financial advisors take these payments because it’s just how most of them make a living in this industry. Financial advisors aren’t dummies; they sell what pays the most, and not necessarily what is best for their client.

I am going to give an example of a financial advising company, just to show this point. There are many publicly traded financial advising companies. You shouldn’t work with any of them, just like you should only buy actively managed mutual funds. The exemplar company is called Edward Jones. They sell mutual funds to their investors. They’re not publicly traded, so they rank OK on that score. But the same forces are at work, and the general partners who are senior investment reps and other owners of the company take the place of the stockholders in a publicly traded company. Most people know them as financial planners or financial advisors. But what they may not know about this company is that they have a preferred list of the fund families that they promote. To be on that preferred list, the fund families have to pay dearly in fees and commissions.

When their employees go through training, they’re only introduced to these seven preferred mutual fund groups. This company even goes so far as to discourage their employees from contacting other fund companies from outside the preferred list. In fact, employee bonuses are linked to the selling of the preferred list.

In 2004, this firm got caught, along with other financial investment companies. They had collected $300 million in secret payments. And 95 % of the time, they sold mutual funds on their preferred list. Because the company didn’t disclose relationships with the preferred list, they had to pay upwards of $75 million in fines to reimburse investors. However, they got paid much more than what was given back to their investors. To put this in perspective, in 2005 alone, after the settlement of $75 million, Edward Jones received $172 million in revenue sharing fees from their preferred seven fund families. That was one-third of their pretax income. A third of their income comes from these fees.

That isn’t objective or unbiased. It’s not proper behavior for a fiduciary. All these years after the litigation, on their website they state, "We focus on the individual investor, not big corporations." In fact, this seems even worse, because their reps are right there in the communities they sell to. Even with these small offices based in local communities, profits were more important than their clients, which would demonstrate that the focus is on their owners and on profitability.

If you’re planning to work with a financial planner, work with one who does not work for a publicly traded company – or a company that acts like one – because there’s less likelihood of getting unbiased, objective advice. Also important to know is the kind of research that financial advisors do, because it, too, is presented as objective evidence that will make you more money. But for whom does this really make more money?

RC Peck, CFP®
Registered Investment Advisor, Founder of Fearless Wealth Investment Education for Successful Professionals.
http://www.fearlesswealth.com

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