![]() | You should not invest your money without a plan. An investment plan should at the very least answer three | |
| questions: |
![]() | You should diversify your investments. Investment returns are unpredictable from year to year. By | |
| purchasing different types of investments (stocks, bonds, etc.), you will decrease the volatility of your returns. |
![]() | You should select investments with low fees. Some people believe that you have to pay higher fees to get | |
| higher returns, but in reality the opposite is true. Investors are better served by investing in low-cost mutual funds and trading less frequently. I recommend investing in low-cost index funds. Most other mutual funds are unable to keep pace over longer time periods because of their high expenses. |
![]() | You should periodically rebalance your investment portfolio. Rebalancing is a discipline that forces you to | |
| sell a portion your strong performing investments and reinvest the money with your investments that have not performed as well. You sell high and buy low. Many investors do the opposite and buy investments when they are doing really well and sell them when they are doing poorly. They lose money by buying high and selling low. |

| Investment Philosophy |