Thread: Investing 102
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Old 02-26-2013, 07:00 AM
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GregWeld GregWeld is offline
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I read all articles like this with a bit of "jaundice".... because most writers have an axe to grind or an agenda of some kind. But if you read stuff like this and figure that some of it is actually CORRECT... it's just generally beneficial and particularly if you're NEW TO INVESTING. Because you haven't had the TIME to actually live through the ups and downs of a market -- and you may begin your investing life with many pre-concieved notions.

We have talked about rising interest rates and there direct correlation to the stock market. The generally accepted rule is that when rates rise - money comes out of the market - and goes in to interest bearing investments.

The problem with that is that it doesn't GROW your money... yeah you get the interest - but you lose the growth... and high rates are also when we generally have high INFLATION... so while 10% looks good on paper... it actually isn't.

Anyway -- Here's a "myth busting" article that has facts. Remember please -- the market rarely ever does what you think it will/should.... and all we can really do is ATTEMPT to have a better understanding of "things".


http://seekingalpha.com/article/1223...g_income&ifp=0
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