In the end Smart Decisions about Money actually come down to common sense. Simply, silly incredibly effective common sense. I will give you the complete due diligence necessary to make very common sense decisions about your investing focus. My definition of due diligence is as follows: Full disclosure, complete compliance and Clear Transparency. These factors create a full due diligence in any investment decision regardless of sophistication level. In fact let me say the more sophisticated something appears the greater the chance of being a scam. Now please don't become jaded because everything isn't a scam, sometimes great things come in small packages and wonderful investment opportunities show up in all types of disguises.
I would like to help educate my audience on the world commonly referred to as ALTERNATIVE INVESTMENTS. This usually includes Hedge Funds, Small Cap Companies (including Micro cap or so called Penny stocks) Pre-public private placements, private placements and PIPEs. This world is for the investor who has a strong risk adverse profile. How do you measure this risk adverse profile? Real simple, if you can stand suffering a COMPLETE LOSS of dollars invested then you are risk adverse. For the most part you are a speculator and not an investor in these types of investments. The difference being a spectulator is looking for absolute return while an investor is seeking return through long term ownership (stockholder).
In the coming days and weeks we will explore the types of Alternative Investments and help identify how to participate. As with all your smart decisions about money, there is a time, place and percentage of your overall portfolio that should be considered in these areas. As the investment climate is changing rather rapidly and the economy is shifting dramatically you need to stay up on all the investment areas open to you. The days of Buy and Hold and simply no longer effective, being a day treade isn't the alternative either. There is a happy and healthy medium in all your investment decisions. Diversification is still a major obligation for your long term Financial Health.
Stay with us and follow closely and we will make the complicated seem very simple and help you understand how to maximize your financial welfare both now and in the future.