Book Review: Guide to Financial Independence – Simple Solutions for Busy People

I just finished reading an older book written by Charles Schwab called Guide to Financial Independence: Simple Solutions for Busy People. (aff) While the book is a bit dated, originally published in 2000 and then revised in 2004. It does provide some basic tenets of personal finance and investing that many investors will still appreciate. My favorite chapter in the book is Chapter 4 which discusses investment in individual stocks.  In

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Compound Your Human Capital To Financial Independence

Like many personal finance enthusiasts, I’ve been working hard toward the goal of financial independence and an early retirement.  That said, I’ve tried to balance out this goal with enjoying the process along the way. One can spend countless hours and an enormous amount of life energy trying to optimize investments in an, all-to-often futile, attempt to ‘build a better mousetrap’.  The thing with trying to ‘beat the market’ and

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5 Essential Investing Ideas

Here’s an essential reading list to help us keep our “eyes on the prize”! 1.) Be sure to thoroughly analyze the company’s cash flow. 2.)Be on the lookout for companies who continue to buy back stock. 3.) Use a company’s Z-Score as a broad screen to begin looking for stocks. 4.) Make sure the company’s Return On Invested Capital (ROIC) is greater than the P/E ratio. 5.) Most importantly, you

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Dividend Growth Model

The Dividend Growth Model, also known as the Gordon Model, is a fundamental analysis methodology for determining the value of a stock or business. This model is used as a strategy for investment based on the dividend yield. It values a company based on the dividends currently paid as well as the pattern of dividend growth that the company has displayed over time.  Although not all investors are comfortable with this

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