Because when it comes to investing, Warren Buffett’s the freakin’ man! Why start from scratch analyzing and trying to pick the very best stocks out there when I know absolutely *nothing* about the industry?
Don’t get me wrong, I’ll still be doing my best to learn and see why, exactly, he picks what he picks, but when it comes down to it I trust his opinions over anyone else’s out there – obviously including my own ;) After all, it was Buffett himself who said he doesn’t invest in anything he’s not familiar with! And since I’m not familiar yet, I shall copy him :) haha…
Actually, I should say I’ll be copying his stock choices minus some financial ones that have been causing him trouble lately. I wish I could remember which personal finance mag I got this idea from [got it: May,09 ed. SmartMoney – “Buffett, Half Off” by Jack Hough], but either way it’s genius. Especially while everything’s so freaking LOW! We’ll never be able to compete w/ Warren in getting the absolute *best* rates of going stocks, but while things are 1/2 off right now we can get damn close. In fact, I’d venture to say that now is the only time we can beat him if we pick up the same ones he did last year when they were much higher!
Okay, so now that you know what i’m up to over here, WHICH stocks do I plan on getting? Well, I’ve already picked up 3 of the 6 recommended by that same pf mag that I can’t recall, and all 6 are owned by his Berkshire Hathaway company. In an effort to keep things simple for me, and not go TOO overboard, I’ve decided to invest $500 in each stock over time:
So far so good! Another way to “be like him” would be to just invest in one of his Berkshire funds, but considering one goes for $92,000+, and the other for $3,000+, I figured this is the better way to go ;) Again, mainly because how cheap they are at the moment.
And if you missed it, these new friends of mine will be living in my Brokerage Roth IRA. I’ll continue to max out my 401(k) every year with a handful of diversified mutual funds and all, but this is my “play account”. Even IF it’s a bit excessive – I’d much rather spend my extra money investing & learning a bit over material stuff I don’t need at all.
I don’t recommend this game plan for everyone, but for me it’s on like Donkey Kong!
UPDATE: Here’s how it’s going so far!
Bonus tip: Find a good "balance transfer" offer to help pay off debt faster!
If you’ve been making payment after payment (on time) and still haven't been able to get your debt under control, snatching up a good balance transfer credit card offer may be the ticket to try. That’s where in order to gain your business - credit card companies will let you transfer your existing debt to a new card and let you pay ZERO PERCENT interest on it. Saving you tons every month!
What's the catch? Usually balance transfer cards charge a fee (around 3% of your debt balance) to let you transfer your balance to their 0% interest offer. But we've found a great credit card that will let you do a balance transfer absolutely free. Click here to learn more and see if you qualify!
PS: If you don't trust yourself with another credit card, ignore this! This strategy is to help you get out of debt quicker, not risk adding more to it.