Should you Invest Or Reduce Debt?

This is always a difficult question to resolve, especially during these hard economic times.  Natural instincts tell you to respond from emotion rather than from logic.

As I mentioned in a prior blog post, I have subscribed to a site called Investopedia.  They come out with some interesting articles specific to investing and finance.  Some of the articles are basic Finance/Investment 101 stuff, but others are geared at a higher level and are very educational.  Every day they send a “definition of the day”, which I find very informational and have learned a few terms that I didn’t know in the past or I had heard of the term but didn’t know quite what it meant.

The article posted for today is geared toward the basic question that every one comes across one time or another, and that is, should you invest or reduce debt.  Click on the article and learn more…I sure did….

Retirement Income

In light of the economy today, I thought this was spot on…enjoy!!

If you had purchased $1,000 of AIG stock one year ago, you would have $42 left.

With Lehman, you would have $6.60 left.

With Fannie or Freddie, you would have less than $5 left.

But if you had purchased $1,000 worth of beer one year ago, drank all of the beer, then turned in the cans for the aluminum recycling REFUND, you would have had $214.

Based on the above, the best current investment advice is to drink heavily and recycle.

It’s called the 401-Keg…..

What is your investment strategy?

So what is your investment strategy based on today’s economy?

Per the CNNMoney.com poll here are the results of what America is voting to do:

1. What is your current investment strategy?

Looking for safety	26%
Holding steady	55%
Buying stocks	19%