I want to give you my most up-to-date strategy on how I invest my money.
In particular, I'm going to share with you how I've been investing thus far in the stock market, and what I plan on doing moving forward.
In addition, I'm also going to talk about what I'm doing with the cash that I already have.
While we cannot predict what will happen to the stock market, we can make moves to take control of the money that we already have and make it work for us.
If you're ready to invest in your financial future, you'll want to keep reading…
Watch the video below:
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Should you be investing amidst the Coronavirus pandemic?
This is a great time to build your investment portfolio. I've been taking advantage of the volatility in the stock market due to the COVID-19 outbreak. In the investment world, the word, ‘volatility' is used a lot.
It acts as a barometer of financial risk or uncertainty surrounding investments in financial assets. If you strategically diversify your investments, volatility can play to your advantage and help you build a successful portfolio over the long-term. A huge part of being a smart investor is knowing what your tolerance for risk is.
If you're a beginner to the investing world, I want to show you what is possible and how you can grow your money the smart way. First and foremost, let's talk about cash flow. I have an online business that provides me with a lot of cash flow which is great. It allows me to have a lot of cash that I can hold and deploy over time into the stock market.
I like to spread that money out over time. When it comes to cash, I buy bond ETFs on the stock exchanges. These are fixed-income investments, meaning that they don't go up and down that much.
I like to buy U.S. government and corporate bonds because they are the safest.
My main purpose for buying and owning bonds is that I can get some money back from my investments. There are also junk bonds, which I stay away from. These are companies that have more debt or uncertainty. Hence, they aren't as secure.
I am a long-term investor, meaning that I make conservative investment decisions. I'm patient when it comes to taking advantage of buying opportunities. For me, this is usually during a dip in the market. When companies dip, I go in and buy stocks at a cheaper price.
When it comes to my investment strategy, I focus on exchange-traded funds (ETFs). ETFs are a basket of great, blue-chip companies that help to broaden my diversification. Indexing is more passive investing, meaning that you don't have to actively manage your portfolio. I build those stocks up the most because they are the ones that I want to hold, long-term.
Below is a list of the safest stocks that I currently buy that provide dividends for me.
- iShares 1-3 Year Treasury Bond ETF (SHY)
- Vanguard Total Bond Market Index Fund ETF Shares (BND)
- iShares Core U.S. Aggregate Bond ETF (AGG)
- iShares iBoxx $ Investment Grade Corporate Bond ETF (LQD)
- Vanguard Canadian Short-Term Bond Index ETF (VSB.TO)
- Vanguard Canadian Aggregate Bond Index ETF (VAB.TO)
- Vanguard S&P 500 ETF (VOO)
- Vanguard Real Estate Index Fund ETF Shares (VNQ)
- Vanguard Dividend Appreciation Index Fund ETF Shares (VIG)
- Vanguard High Dividend Yield Index Fund ETF Shares (VYM)
- Vanguard Energy Index Fund ETF Shares (VDE)
- Bitcoin USD (BTC-USD)
Watch the video above where I do a screen share of my computer and talk about each bond in greater detail!
When it comes to buying individual companies, I like to buy a variety of different stocks. However, I only do this once I've built up the ETFs. Some of the individual stocks that I like are in the tech sector, some of which include Apple, Amazon, Google, Facebook, Microsoft, Shopify, & Tesla.
I also invest in SalesForce, Oracle, IBM, and Intel. These four companies were hit harder and have dipped, which is why I got in early and bought more of those stocks. I've benefitted massively from the growth of all of these companies.
I invest in financial stocks as well, in particular the big banks in Canada and the U.S. When it comes to dividend-paying stocks, my brokerage account is on a drip, which is a dividend reinvestment plan.
Every dividend that gets paid out repurchases shares of that company so that I can accumulate more shares. In turn, this increases the dividends. Over time, that money compounds.
I'm a big fan of investing in real estate, but I don't buy a lot of these stocks right now.
One of the greatest benefits of buying real estate is being able to borrow money from the bank, especially when interest rates are low. You can leverage the bank's money to buy some great properties and have those grow and appreciate over time.
However, keep in mind that investing in real estate is a longer-term investment. If you are just trying to buy and sell in one year you won't make much money. There are a lot of fees and expenses involved in closing a real estate deal.
When it comes to cryptocurrency, I own some Bitcoin Cash, Etherium, and Litecoin. However, I haven't bought any as of late. I believe that there are better investment opportunities available. The money that I invest in cryptocurrency is money that I'm not afraid to lose. I call it my vegas money.
INVESTING RESOURCES FOR BEGINNERS:
- Investing Advice For Beginners
- My $3.5 Million Stock Investment Portfolio
- How To Buy Stocks For Beginners (Watch Me Invest $10,000)
- How I’m Investing In Stocks Amid The Coronavirus Panic: The Stock Market Is Crashing!
- Yahoo Finance
This is how I invest my money, and how you can do it too!
One of the best ways to achieve financial freedom is through investing. If you're a beginner investor, do your due diligence, know your tolerance for risk, and be smart with your money. When you adopt a long-term investing mindset, there is no limit to how much wealth you can accumulate.
Are you ready to open a stock brokerage account and make your money accumulate? CLICK HERE to get 3 FREE stocks on WeBull when you deposit $100!