During a finance seminar last August  I took notes on the topic of myths of investing. Hope they will be of interest.

–          Average American can save their way to retirement.

–          Wall Street Journal article: retirees take high stock price and low bond yields.

–          -rule of 72. Means that your current fund times 72 gives you the amount of time that that fund will double. Example 100×72 = 72 years (I believe).

–          Liens earn double their rate every four years. This is how you can get 18%

–          Real estate investments can double every 2 1/2 years.

–          CDs will take 35 years to double.

–          Money market has a return it starts at .7, which is bad.

–          Five-year treasury. Offers 1.49×72 equals to double.

–          People invest because they feel comforted by the label. FDIC.

–          DIC once would have $1.25 protection for every $100 in the bank.

$100 in the bank has $.25 coverage in 2009

It got worse with Bush and now is bankrupt under Obama.

–          The Dodd and Frank act was supposed to help with the Federal Reserve, but it didn’t.

–          I need more degrees to make more money.

–          If I do what my parents did I’ll be set

–          Get out of your comfort zone:

–          Book: awakened the great within by Anthony Robbins

–          Investing follows an 18 year cycle.

–          Quote: if I can’t, I must

–          Book: think and grow Rich by Napoleon Hill. The book is about a study of Oxford students. 3% of the students had goals written out, planned for their lives and careers. At the time of graduation. 20 years later at the Oxford reunion. The author interviewed the class and the 3% had a marketing plan made more money than the 97% of students who didn’t have a plan.

–          10% of households declared bankruptcy in the last 5 to 6 years.

–          You need to diversify your sources of income by doing the following.

–          A: Asset protection.

–          B. Cash flow in such things as commercial real estate

–          C: instant equity such an as in residential property.

–          D. Hedge investing, tax liens and deeds.

–          10K lease option.

–          Article: the greatest retirement crisis in American history.

Have something to add to the list, please put it in the comment section of this blog. Thanks