I really appreciate this financial education resource provided by the State of Hawaii. This resource is called “Financial Literacy” and it is basically designed to help adults prepare for financial responsibilities and responsibilities of life. It doesn’t take away from the “shoulds” or “can do” part of learning, it just helps you to recognize what you can do to help yourself.
Financial literacy is one of those things that is really a personal choice that is best left up to each individual and their own unique needs. We do have a large number of financial books, websites, and courses, but there are some that, though they don’t take away from the shoulds and can do part of learning, are really geared towards helping you to make the decision of where to put your money and how to handle it.
With the advent of online financial services, there are now a lot of things for which financial education is a must. You can make a personal financial planning, budgeting, and investing plan. You can also create an online savings account that you can deposit your money into as much as you want. So, in order to learn more about financial education, we recommend that you check out www.dummies.com and www.moneymama.com (and www.financial.com).
If you want your finances in order, you need to invest some money. The best way to do this is to open an online savings account. If you have to go into debt to start saving, you might as well save up more than you have going for the year. That way you can pay off the interest on your student loans, pay down your credit card bill, and then start saving again.
We asked Dr. MoneyMama, a financial educator, to teach us what money can do for us. She told us that people who use money to save and invest it grow their wealth, while people who use their wealth to meet their needs grow their wealth. She also pointed out that it’s important to keep your wealth in a savings account to be able to invest it for the long run.
Dr. MoneyMama also says that it’s important to have a diversified portfolio of assets and that you should focus on stocks that are liquid and diversified. When you have a portfolio of stocks that are liquid, you can invest in an ETF which means you can invest in shares of the stock and it will hold the same value all the way through the next day.
If you have a large amount of savings, you can do this. It has been proven that by investing in diversified ETFs you can outperform index funds. Just because the ETFs are liquid doesn’t mean that they don’t hold the same value the one day they were sold. If you want to invest in high-yield stocks you could invest in an ETF rather than buying individual shares.