Actively Managed Funds vs Passively Managed Funds

Comparison: Actively Managed Funds vs Passively Managed Funds

Howdy Wall St. Willy! Sometime ago we talked about Actively Managed Funds and Passively Managed Funds. But can you tell me some of the differences between them? The main difference between actively managed funds and passively managed funds is their investment philosophy. Which means that the actively managed funds believe that getting returns better than …

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Diversification

What is Diversification and Why Should You Diversify?

Howdy Wall St. Willy! In the newspaper I read about diversification, but what is diversification anyway? Diversification is investing money in different things instead of investing all of your money in just one or two things. Why would I need diversification? You need diversification to reduce the risk of losing money or getting negative returns Well, …

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Sectors Industry and Diversification

What are Sectors? Industry vs Sector for Diversification

Howdy Wall St. Willy! When we talked about investing in stocks, you talked about diversifying among large cap, mid cap and small cap stocks. But, is there any other way of diversifying while investing in stocks? That’s a great question, Sooper Cooper! Another great way to diversify is to invest in different sectors. Sectors?? I …

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Portfolio Rebalancing

What is Portfolio Rebalancing?

Howdy Wall St. Willy! Sometime ago, we talked about asset classes, and when we talked about that, you said something about portfolio rebalancing. But what is portfolio rebalancing anyway? Portfolio rebalancing (or portfolio re-balancing) is buying and selling securities from different asset classes to maintain the asset allocation that’s right for you. Well, when should …

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What is Foreclosure

What is Foreclosure and How Can You Prevent It?

What is Foreclosure? Foreclosure is a legal process where your home is put up for sale by the lender. It happens when your home is used as a collateral for a mortgage, but you default and aren’t able to pay back. Then the lender can foreclose your home to recoup the remaining loan amount with …

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