Month: July 2025
-
How to invest in stocks
What I do: I buy low-cost, diversified passive ETFs. Stocks are a small fraction of a company. Buying a company’s stock is buying a tiny bit of ownership in that company. If the company makes money, so do the owners. Which makes sense, but isn’t completely right. We buy stocks because we hope to share…
-
How to choose an asset allocation
What I do: Cash for short-term goals (3 years or less), 100% equities otherwise. Choosing an asset allocation is like choosing ingredients for a meal. There are three main classes of assets: We have to balance our asset allocation to match our ability, willingness, and need to take risk. Cash We keep our cash in…
-
How to construct an investment portfolio
What I do: My portfolio is 100% equity ETFs. Just like you wouldn’t copy someone’s shopping list, I wouldn’t recommend copying my portfolio. You’re here because someone told you to invest your money. But no one tells you how, unless they’re trying to sell you something. Here are three principles to know when constructing your…
-
How do I invest my savings?
What I do: My long term savings are in equities. My emergency fund is in a high-yield savings account. My short-term savings are in a separate high-yield savings account. People ask this question a lot. They jump to it before they know how much they spend and how much they save. The short answer is:…