Is a variable annuity a good choice for retirement or your investment portfolio?

With all the craziness in the stock market (bailouts and rate cuts just aren’t doing the job), I thought I’d toss up this poll:
{democracy:11}
Let me know what you think — whether it’s for your passive income or your retirement account, what, if anything, are you doing about your investment portfolio?

Yes, things are looking serious.
No, the bailout plan isn’t some magic cure-all.
This is stuff we’ve seen coming for weeks now.
So now is not the time to start panicking.
Nor is it time to give in to fear-mongering. (I’m talking to you, CNN! Compare these two photos — thanks markzero — and see that far from being in a panic, the guy is just talking into his microphone: CNN cropped photo vs. Yahoo! full photo.)
Take a look at your investment portfolio and at your personal finances. Do what you can to get things in order.
Investment portfolio
Look at your allocation. Is it weighted …read more

Right now, the big news is that inflation is at its highest levels in 17 years. There are a couple of ways to look at inflation:

As a rise in prices.
As a decline in the value of your money.

Either way, inflation has a very real effect on your personal finances. And it’s not just “regular folks” feeling the pinch. Millionaires are feeling the pains of inflation as well.
Here are 5 ways that inflation can affect you:

Cost increases. This is the most obvious way that inflation can affect your personal finances. Your food, energy and other products increase in price. Additionally, you …read more

Earlier in today’s Blog Off, I mentioned investing as a personal finance tip. This one is related to it:
Diversify your investments.
You don’t want all your eggs in one basket. Indeed, it is very important for you to have a reasonably diverse investment portfolio so that you can better handle things when one of your investments is down.
image credit: US government
This post is part of the b5media Business Channel Great Blog Off! Find out more about the Blog Off here: http://www.b5media.com/b5media-blogs-for-a-cause-and-raises-money-in-support-of-charity/

The Business Channel is supporting Accion International for the Great Blog Off. You can make a donation directly to Accion …read more

One of the things I am constantly asked is whether it is time to get out of the stock market. Since, over the long haul, the stock market usually manages to come out ahead, I say. “No.”
But there is a qualification. Look at your investment portfolio and make sure that you are investing in companies with strong fundamentals. You can get some good deals right now while there is some turmoil in the market. Buy more stock when the prices are low (but choose your stocks wisely), so that when the market recovers you will be in better shape.
Here is …read more

Yesterday, Ben Bernanke testified before Congress about economic stimulus and the possibility of more rate cuts. He did stop short of saying that the US would enter a recession. Instead, he pointed out that while economic growth will slow, negative growth was not a foregone conclusion.
The stock market wasn’t overly impressed by his testimony, and that means that it could be a good time to evaluate your investment portfolio for fundamentally strong stocks, buying those (while they are low) that are likely to recover.

With the stock market as it is, investing may seem like a risky proposition. And this is especially true for the real estate sector, and related sectors. However, if you have the risk tolerance for it, and if you choose carefully, you might find some winners in bargain-priced real estate investment trusts.
What are real estate investment trusts?
Real estate investment trusts (REITs) are specific companies. These companies are comprised of a variety of real estate related properties and concerns, such as mortgage lenders, warehouses, residential property and/or commercial properties. They are traded on the stock market like equities, which makes them …read more

One of the steadiest ways to build your investment portfolio is through Dividend Reinvestment Plans (DRIPs). DRIPs take investing dividends and then reinvest them. The other cool thing about DRIPs is that you are buying them direct from the company. So, you get dividend paying stocks, those dividends are reinvested in the company, and since you are investing direct, you don’t have to pay fees or commissions to a broker. Brilliant!
Other advantages include such things as the small amount needed to get started (some DRIPs will allow you to start with as little  $10), the fact that you automatically investing, …read more

One of the trends sweeping the investment world is green investing. From ETFs to mutual funds to alternative energy companies, green investing is as hot as global warming. And right now, there could be some good bargains in it for you. With stock market trying to recover, there are some deals, especially in terms of solar stocks and biofuels. But watch out! In order to invest in these types of vehicles, you need to have adequate risk tolerance.
The idea is to figure out how much risk your investment portfolio can handle. Even though many green investing vehicles are offering great …read more