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So, I'm sure you guys remember how I was slashing my monthly bills down to its bare minimum. This included my home internet access. After some feedback from you dear readers, I've reconsidered and had it re-activated. So here I am blogging with it.

Sadly, there was also an activation fee, so this bill actually costed me more than if I had just left it alone. Oh, and I also had to inform everyone of my new telephone number (which isn't an entirely bad thing since I was getting mostly solicitors).

Ultimately, this turned out to be exercise in unnecessary hassles and expenses. So, perhaps there is such a thing as trying too hard. Perhaps sometimes, it's better to just leave a "good thing" alone.

On a separate note, I'm also starting to use more coupons. I don't have it down to an art form like some of you, but I do collect a few here and there when I see something that I know I will likely use in the future. It's kind of a strange feeling really, being a Dude and using coupons. But hey, why pay more for the same thing when you don't have to?

Hey gang, I'm hoping you can help me out on this one.

As you all know, Mother's Day is coming up. I've offered to cook for her.... Um, yeah, maybe not the greatest idea ever, but you see, she's very used to being the one cooking! So, for some reason, she wants to cook instead.

I've thought about offering to take her out somewhere, but again, she prefers cooking on her own. That and I agree that it'd be more crowded and expensive eating out....

Yes, my mother is the frugal one in the family. And because of her frugality, she also doesn't want any material presents either.

So, uh, I'm wondering if there's anything else I can do besides a hug and a "Happy Mother's Day"?

Update:
Finally settled on this bottle of scented oil with reeds that you can stick into it. Actually, my son picked that one, insisting that grandma would really like it. Hehe. Well, grandma was happy enough with it so I'm satisfied with it as well.... (I gave it to her early. Just worked out that way....)

Anyway, thanks for the great suggestions in this thread! Although I didn't end up with them, I definitely appreciated them all.

Soooo yeah.... I guess I'm going to re-activate my home internet because they have fairly limited internet access here. In fact, there's a handy dandy timer here that's showing that I have precisely 29 minutes left. For free, I really can't complain, but....

That's not what I wanted to report though. It turns out that the local library has free access to, get this, the Value Line, Standard & Poor's, as well as MorningStar!

Of course, to access, you'll also need a library card, which I am now a proud, card-carrying member of my local library.

Value Line
The Value Line tome hurts my eyes. Thin pages that read like a telephone book, complete with text from the other side showing through, muddling the pages. Unless it's a resource bordering on the psychic and divine... I don't think I'll be using this.

It's too bad that the library doesn't have an online subscription instead. I'm sure that would have been much more readable.

Standard & Poor
Standard & Poor's online PDF reports are clear, well-formatted, and has plenty of numbers crunched for your reading pleasure. Of course, it's still up to you, the investor, to make sense of the numbers, but honestly, I could easily cozy up to that pretty quick.

The only downside is the fact that it's only available as a local database. So, every time I want to see it, I have to come to the library. If I want to print it out to take home, the cost is $0.20 per page.

That's not a bad thing but it's not as convenient as....

MorningStar
Finally, they also have MorningStar available, in both text and online! I didn't bother to look at the text, but I like the online version the most. Best of all, MorningStar is available remotely from anywhere on the internet, but it will still require library membership to access....

Conclusion
While these are all excellent resources, I think MorningStar is enough. To me, there's no need for all 3, and sticking to just one will help me "cut my teeth" and gain greater intuitiveness with it.

Again, these resources won't tell you what to buy... well, actually it does, but I wouldn't follow any of them blindly. However, they should help you gain the better perspective needed to make an informed decision.

I want to thank Paulette Goddard for pointing me towards this route. As I have said before, anything to be a better investor, and I think this will help a lot. Best of all, it's free!

I better proof-read fast. I only have 14 minutes left.

I just found out that a friend of mine's father has passed away over the weekend.... The cause is supposed to be an aneurysm. Poor man was only 57 years young.

I remember him well too. Real cool guy. Back in high school, he used to let my friend and I stay up so we can tinker on the computer.... Soft-spoken, but strong. LOVED his wife dearly. She had cataract surgery earlier, and... I know she has other medical conditions as well that I don't know the details to... except that it also required a series of surgery. The man never left her side, and tended to her throughout the years.

His passing is shocking enough but... what really worries me is the mother. You see, they were Joneses. Real good people but... used to having a certain lifestyle I guess. He was once a high salary executive who worked in one of those dot com companies I think. Then they ran into financial trouble when he was laid off. Never quite recovered since then... and now this.

The mother, due to her medical conditions, merely stayed home.... From the conversations I've had with my friend, I know they don't have much saved... mostly due to medical expenses and just living it up. Hopefully, they have life insurance at least.

Still, it worries me, about how she's taking all of this. And where she's going to go and what she's going to do now....

But yeah, I guess you just never know... so it pays to be prepared, and at the same time, to enjoy the time that you have while you still have it.

Oh my goodness, talk about a "rough" weekend! Remember how I mentioned earlier that I cut off the home internet? I never realized how much I actually use it. From little things like making updates to this blog to more important things like paying off my water bill, none of it was possible!

You know, it's amazing how trying to save $500 a year can cause such a lifestyle change. But I guess I should be getting out more on the weekends anyway, rather than being online so much.

Of course, I also went ahead and cut my landline (because I used DSL for internet) and switched to a pre-pay cellphone. That cut my phone bill from $18 a month to $8, and put me back on a cellphone even.

Oh a separate note, I am reading a book called "Fire your Stock Analyst!" by Harry Domash. I've never heard of him before, but it's a really, really good book on analyzing stocks! I'm going to start a new page on it soon....

There's this guy at work who is going through a divorce right now. To complicate things, they have a small child as well. But anyways, he was telling me how this woman is cheating on him with another man, flat out lied about it, but to add insult to injury, she also secretly opened credit cards in his name and paid off all of her credit card debts with it. The debts totaled more than 16k....

Geez, that's just insane. At least my ex-wife only cheated on me.

Granted, that's also only his side of the story (as is mine), so who knows? Still, regardless of what the issues are, having an affair and forging credit cards certainly isn't the answer.

It's a shame my ex and I don't talk anymore. In an ideal world, we'd still be friend. I would've like that.

Unfortunately, the only time I hear from her is when she wants money or some kind of favor. The last time we talked, she wanted to move into a new townhouse, but didn't want to wait 6 months until our son is done with high school. My son refused to change high school. Then she tried to blame me for being a heartless father because I didn't have the money to buy our son a car so he can commute to his old school. All this and the only reason is because she had to have that townhouse right then and there.

Excuse me, irony much? Anyways, please forgive me. I am just venting. This co-worker just reminded me of a lot of my own bad stuff.

I KNOW not all women are crazy like this. But some are just really... well, scary. But there's hope. I'm in a better place in my life, and hopefully soon, so will he.

My $56 per month deal for landline and high-speed internet is set to expire this month.... Truth be told, I don't think it's a bad deal for the flawless premium service that I've enjoyed. Still, I started to wonder if there was any way to cut that bill out entirely? I rarely ever use the landline, and most of the messages I get are pre-recorded business solicitations.

So, then it got me thinking: What if I ended that service, went on a pre-pay cellphone, and use the library's free internet access instead? It'd also get me out of the house more often... something I should probably be doing anyway.

It'd be nice to have a cellphone again. Plus, because I use the phone so rarely, going pre-pay can save me quite a bit of money!

With that in mind, I just canceled my phone/internet service. I'll have to look into getting a pre-paid service this afternoon. Although I don't think it was too bad to begin with, it'll be nice to one less bill to worry about....

I wish there are more bills I could cut, but the only ones left right now are gas, electricity, and water/sewer.

* I'm still at work. I LOVE overtime! I know it sounds crazy, but I wish I could work 12 hours a day, six days a week. With overtime pay of course.

* Today is also suppose to be the day when my pistol permit expires.... I had mentioned that I was going to renew it but when it came down to actually do it, well, I just couldn't stand the thought of actually putting forth the money (much less the time) to do so.

This is a strange conflict I am feeling. Once upon a time, I wouldn't even have blinked an eye. A part of me still wants to get back into it, and I guess it'll always be there if and when I change my mind.... Again.

* Ever heard of Peter Lynch's advice, "Don't invest in anything you can't explain with a paper and crayon"? Well, in a twist to that, the basic advice is also not to invest in anything you can't explain to a small child using one or two simple sentences.

While I have known that lesson, I don't think I quite realized the depth of its importance until recently. For example, let's try this hypothetical conversation with Boeing:

Child: What is Boeing?
Me: They make airplanes.
Child: Are they a good company?
Me: Yes. They're making tomorrow's passenger airplane, the Dreamliner.
Child: Is the company expensive?
Me: Actually no. The airplanes are delayed right now, and the company is being unfairly blamed for it. So, they're kind of "on sale" right now.
Child: Will they grow to an even bigger company?
Me: Oh yes. Once the Dreamliner is finally out the door, I'm quite sure the company will grow even more.

Of course, security analysis is far more complicated than a simple, hypothetical conversation with a small child. But then, that's also the point: If you don't have AT LEAST that basic information down, then you may have a problem on your hands.

Plus, if you reword the child's questions, you'll see that it's asking some very important fundamental questions regarding every stock buy:

1. Do you know what you're investing into?
2. Is the company defensible/survivable?
3. Is the company under or over-valued?
4. Does the company have reasonable growth potential?

Now let's try this with Citigroup (which is what I bought):

Child: What is Citigroup?
Me: It's a financial institute. Large company with four main parts. They let you bank money, lend money, help you invest, and more.
Child: Are they a good company?
Me: Yes, they are. But they're hurting a lot right now from something called subprime mortgage lending. I'll uh explain that one later.
Child: Are they expensive?
Me: Not at all! They're very cheap right now because the subprime is hurting financial institutions so badly. The only catch is that they are going to be hurting like this for a long while... and nobody knows for sure just how long.
Child: Will they grow to an even bigger company?
Me: Well, I hope so. I think they will recover from subprime in time, but I don't know how much bigger beyond that. They're already a very big company.

So, what do you think of my Citigroup conversation? In all honesty, I don't think it's that bad, but it's not that good either. I think it's still a good investment in the end, but clearly, it wasn't as good as I would've liked. It struggles even in a hypothetical conversation with a small child.

But as they say: Live and learn.

I need to stop doing this.

Found yet another Buble version of a song that I thought was really neat (although some purists may prefer to see me hang for this ).

If you didn't like the last one, I most definitely don't recommend hearing this one, because it once again forces me to struggle at a range that I am just not comfortable in (as well as being a different style from the original).

But as always, it's all in good fun so... what the heck.

Here's my rendition of Eric Clapton's Wonderful Tonight.

So, did you know that Amazon sells unrestricted MP3 music? I just found out recently and I'm lovin' it!

I even found the Michael Buble version of the song, "The Way You Look Tonight" for karaoke! I couldn't resist buying that and playing with it.

So, here's my version of that song.... Enjoy (if you can).

I know. It's past my bedtime. I'm heading off now.

I was at the grocery store earlier, and right before I left, I double checked my receipt and even asked the cashier why things seemed so much higher than I had anticipated.

One item, I simply calculated wrong: I didn't realize that bananas are $0.65 per pound... not per bunch. Another staple item simply went up.... The economy and gas prices, she said.

But hey, at least I'm checking receipts and even asking questions now! Not bad for a hard-headed guy who normally don't even stop to ask for directions, right?

Just... don't tell the guys ok? They think I'm weird enough as it is.

Since I don't expect any more paychecks or big expenses for the rest of the month, I've decided to go ahead and do my monthly update early.

If you've been skimming here, you can see that it's been rather eventful for me: I finally started a Roth IRA and even made my first stock buy!

But now that's done with, I should be focusing more on my regular savings from here on out. You see, earlier today, there was a surprise wave of lay-offs at work. My job is fairly stable for what it is, so luckily, I wasn't on the axe list.... Plus, my car is becoming more raggity as we speak. And if that isn't enough, cost of living in general has also increased....

So, short of another big stock buying opportunity, the upcoming months should be pretty quiet as I plan on throwing the rest of my pennies into regular savings.

But anyways, April has been a very productive month for me. I guess all the excitement around the Roth and the stock motivated me to be extra frugal so I can get it done already!

I once read that the first stock buy is kind of like high school proms: Most investors will still remember it like it was yesterday. And hopefully, many will also look back and smile wistfully at the fond memories.

With any luck, I too will look back and smile, reminiscing how I bought big C at $26 per share. Yes, I just locked in Citigroup at $26 per share.

Why Citigroup? I've said a while back that I think it's still a good company, but like many others in the banking industry, Citigroup is suffering from the subprime mess. Yes, what's going on out there is rather scary, but if this subprime mess didn't happen, Citigroup would not have been available at such a low price.

As far as market trends go (and yes, we should all be weary of that like gossip around the campfire), it seems that perhaps the worst is behind us, bottoming out with the collapse of Bear Stearns.

Now, even though I missed out on that bottom, I think $26 is still a very good price for Citigroup. Over the long haul. So much so in fact that I decided to just go ahead and invest my 2k into it....

Oh, but please don't take any of this as investing advice! I'm by no means a "guru" of any sort, and for all I know, I could be on my way to losing a bunch of money!

So anyways, what was your first investment, and why? Doesn't have to be stocks.

Edit: Oh yeah, forgot to mention that I've also made an equivalent buy into Vanguard's Target Retirement 2040 fund in a simulated portfolio. I think that's a more realistic standard to compare to because that's the fund I would be buying if I was investing passively.

For months, I've been staring at the stock market... but the stock market is kind of a bland visual. So, let's try envisioning a real marketplace instead... like this one for example.

Ok, so for months, I've been going to the market on a very regular basis, just soaking in the figurative sun and fresh air, and enjoying all the sights and sounds of the hustle and bustle.

And of course, along the way, I've also spotted many items that I would just love to buy.

Ah, but being thrifty fruggies that we are, we don't just buy things at full price, do we? No, we keep enjoying our window shopping until we finally spy something that's on sale. THEN we snap it up!

(Technically, Scottrade will alert me via email. Then, I will give it a final go through, and if everything still looks good, then I will either make the buy manually or set a "buy to cover".)

And yes, even in this down market, if you look around long enough, you can still find some gems here and there....

Of course, there are lots of things I'd like to buy, so it's hard to keep track of them all.... That's where my brokerage comes in. I'm sure Scottrade isn't the only one that can do this, but I've set mine up so that it will alert me when a stock I am interested in hits a certain price point....

A word about the price point (or Fair Market Values): I don't really put too much stock into arbitrary percentages or dollar amounts. If a company is available at a good price, then it's good enough for me. I'm not going to quibble over a few cents per share, especially since I'm only working with 1k at a time.

Of course, you can't tell the computer that. You've got to give it some kind of number anyways, so it'll know when to email an alert to you. With that, I've come up with a price I'd like to be alerted for each of the following stocks:

AMAT (Applied Materials) price hits $ 17
ARG (AirGas) price hits $ 41
AUO (AU Optronics) price hits $ 15
AXP (American Express) price hits $ 41
BA (Boeing) price hits $ 75
BBBY (Bed Bath Beyond) price hits $ 26
BUD (Anheuser-Busch) price hits $ 45
CL (Colgate-Palmolive)price hits $ 66
CVS (CVS Caremark) price hits $ 36
JNJ (Johnson & Johnson) price hits $ 61
KO (Coca-Cola) price hits $ 50
MAT (Mattel) price hits $ 17
PEP (PepsiCo) price hits $ 61
PG (Proctor & Gamble) price hits $ 62
RAD (Rite-Aid) price hits $ 2
SIAL (Sigma-Aldrich) price hits $ 50
TMO (Thermo Fischer) price hits $ 51
YUM (YUM!) price hits $ 30

I'm sure there are many more good companies out there are, but these are the ones from my watch-list anyway.

It's also very possible that, given my set limits, I may never end up buying most of these. But that's OK. All I need is just One Good Deal at a time. That and I can always fine-tune the list as I go along.

But for now, I am willing to sit and wait patiently. It's important to buy these things at a good price. After all, even with great companies, there is still such a thing as paying too much.

So, what do you think of my basic buying strategy? Quite different from passive investing and dollar cost averaging, eh? What is your buying strategy?

* Lost my dear old pocket knife. Maybe in the little boating excursion over the weekend. That trusty blade was the first pocket knife that I have ever owned. For more than 10 years, and it's been a faithful companion through thick and thin. In fact, while many flashier blades have come into my life, this little feller never let me down. Truly, I can give it no higher compliment than to have it at my side....

And now, he's gone. Hopefully, my eulogy is premature and I simply lost it in the closet somewhere. However, I fear the worst. I've never lost a blade before. Not like this.

Fortunately, even if I do lose it, um, I have so many other replacements (from my last life) that it won't cost me anything to replace it.

* Had a flat tire this morning. Got in a little late for work, but not too badly. So, I spent part of my morning changing tires....

A note about my "spare tire". A couple of years ago, when I replaced my tires at a shop, I asked for 5 tires and an extra rim. However, the shop only had those fancy aluminum rims, not the boring steel ones. So, I bought the cheapest rim available, and there it... sat, in the garage... doing nothing but collecting cob webs and dust. Even though this spare tire is nicer than any of the regular steel rims that's on the car.

I never thought I'd ever even use it... until this morning. But boy let me tell you that I am glad I bought that spare tire years ago... because in less than half an hour, I was back on the road. Better yet, this setback won't cost me anything (now).

* Speaking of car trouble, my lights on the dashboard also gave out not too long ago... and it's not something simple like a blown fuse. While it could be as simple as replacing a dashboard bulb, doing so requirement taking down the entire dashboard. The quote I got was at least $300 for the labor.

So, I asked an acquaintance who was a mechanic to take a look at it. He rigged up a little external light on top of the steering wheel and charged only $20. He even rigged it so it'll come on along with the headlights. Very sweet.

So, yeah, I've been beset by some setbacks recently. However, whether it's through luck and maybe cleverness somewhere, the cost of time, money, and frustation has been kept to a minimum. As an added bonus, my car should now serve nicely as a gold-digger repellent.

Hope you have a better Monday!

Ben Graham's book made me realize something: That according to his standards, I am really a speculator, not a true active investor. That's because I am willing to risk losing money in order to chase after above normal returns, and preferably doing so in a fairly short period of time....

So, for the entire weekend, I had to mull over the idea of whether that's something I really wanted to be: A speculator. Because, either way, it's always best to walk into something without any illusions about who you are and what you are doing.

After MUCH thought, I've decided to go ahead and be a *shudder* speculator. Here's why:

Some of my money is already in low-risk, conservative investment that is my checking account. And actually, earning 5% is rather enviable right now.

The vast majority of my investments is and will still be in my 401k, where the asset allocation has been dialed down to moderately aggressive for someone my age and risk tolerance.

Only a very small amount of my money will be allocated to speculating on the stock market. In fact, after nearly 5 months, I've finally gotten the 2k together to execute this step. 1k to make a buy, and the other 1k standing by to take advantage of this or other buying opportunities.

So, within the context of my entire portfolio, the risk isn't as high as it may seem.

Another way to look at this is that, rather than going to strip clubs or even buying video games-- where once the money is spent, it's essentially gone-- I'm engaging in a hobby where the goal is to try to make more money! And even if I don't quite succeed, it's extremely unlikely that I'll lose it all. Regardless of what happens, at least it'll be a great learning experience.

Or am I trying too hard to rationalize all this?

No matter how we cut this, I know what I am: I am a guy is not above speculating in the stock market. And I'm OK with that.

My first buy should be some time next week. I'll elaborate on my first pick later....

I spent a little more than $50 hanging out with a buddy today. Finally went to this expensive restaurant that we've been talking about forever. Then went to see the movie, "Forbidden Kingdom". Great fun for those who likes chop-socky Kung Fu flicks.

I admit that was very unfrugal of me. In my defense, I wouldn't have done it if I thought it would compromise the budget. Still, I realize that's no excuse. Will go back to sobriety soon.

But there's something wrong with this picture. He's acting "happier" somehow. And he wants to hang out more too. Very odd. I've been friends with this guy for more than a decade now, so I know when something is a little off with him. It's just not like him, but I can't put my finger on exactly what it is, and why....

Not surprisingly, he wants to hang out tomorrow as well. I will oblige, but mostly to find out exactly what is going on. I'm actually a little concerned... even though he acting happier.

It also impacts me as well. After all, I almost always end up spending more money when I am hanging out. But yeah, something's not quite right here....

On a brighter note, because I signed up with Scottrade, they threw in a free year's subscription to SmartMoney magazine.

I meant that sarcastically by the way, because this is yet another article about investing. So, if that doesn't interest you, then you may want to skip this.

I've been practicing on the stock simulator, and would you believe that I'm up roughly 20%? In this market? And did so in less than a month at that?

I wish I could claim superhuman investing savvy, but the truth is, it was more dumb luck than anything. Here's what happened:

I bought Citigroup when they had all those write-downs, and I think when Bear was taking a dive. So, Citi was super cheap then and may have even bottomed out....

Fast forward to yesterday, when first quarter earnings was announced. The night before, I postulated that the write-downs is going to send the financials down even further, so I entered a sell (trailing stop) to stave off the loss.

Well guess what? If you follow the market news, you'll know that while I was correct about the write-downs... it turns out that it wasn't as severe as expected. And what happens? The market rallied around Citigroup!

I would've never figured that in a million years. Well, when my sell finally went through, I profited off that rally. And that's how I ended up the with 20% profit.

So what did I learn from this little exercise? Mr. Market is smarter than you! No really, forget trying to read his next move. And the sooner we accept this, the sooner we will be better investors. But I'll bet you guys already knew that, didn't you?

But that's what bothers me right now. Even though I'm learning as much as I can-- and even knew not to try to predict the future-- I'm still making rookie mistakes. And that frustrates me. I don't like not really knowing what I am doing.

So, I'm pledging to step up by reading as many books about it as I can. And I am starting with the Intelligent Investor by Ben Graham (updated with Jason Zweig). Thanks all, for the recommendation by the way.

Not only that, but I know I'm going to come across a lot of details that I probably won't remember right away, so I may write it down on this blog as a hybrid book review/cliff notes. Not sure yet.

All of this fever and activity is not without a reason though. My preparations to enter active investing is finally reaching critical mass. I could enter as early as next week. That's why I'm scrambling to be as ready as I can be when the time comes.

Oh, and finally, I also realize that this is still SavingAdvice, not InvestingAdvice. So, I'll try my best not to dwell too long into the investing stuff, and focus on the saving and personal aspect more. I guess I'm just kind of caught up in it right now, but afterwards, it should settle down some.

Thank you for your patience.

Visited my mom yesterday, and had an interesting talk with her.

My father is still holding Home Depot and Citigroup stocks. However, it turns out that he has not made another buy yet... perhaps because his current two buys are both losing money right now....

Of course, these losses are still paper only, and does not become real until it is sold so... over the long haul, I agree that they're decent companies to have, and that they should just hold it.

My mom much prefers CDs... almost believes in them religiously. I can't talk her out of it, even with the interest rates being this low.

I tried to suggest Vanguard index funds instead.... I mean, between stock picking and CDs... what's up with that? That's like trying to throw fire and ice together just to get some water.

No dice though. My dad still wants stocks and my mom wants CDs. Can you tell that the entire family is hard-headed?

The good news is that my mom and dad are still on the same page regarding the necessity to save and invest, even as they near retirement. This is probably the most important thing.

My mom also seems very interested in learning more about stock picking. In fact, she's almost insisting that I show her how, even when I had to qualify that I am not at all an expert in the subject matter.

Oh well, I guess I'll do what I can.... I'm suppose to help her set up a computer some time soon, and show her how I invest. We'll see how that goes....

Ok, I've had plenty of long, boring posts recently. I've finally found my memory card reader, and now, it's time for some fun.



This is a picture of my local Scottrade. Yes, I'm that nerdy. I have yet to go inside, believe it or not.... (It was closed by the time I got there.)



This is a picture of spice racks I took while I was at Bed Bath & Beyond. Why did I do that? Not sure now.



This is a picture of the first baking dish I've ever done in my life. The picture isn't much to look at and I now feel like I need to watch Die Hard a few times just to wash out this uncomfortably girly vibe.



This here is the result of that first baked dish. The results were edible though again, not much to look at. And if that isn't bad enough, I now feel itchy from all this Betty Crockering.



Fast forward to today, and here I am prepping yet another Italian chicken dish. Can you tell that I love onions? The Vidalia green onions are halved length ways. Bam! Now that's how we do it in the 'burbs! What?



Finally, here's another shot of my recently adopted freebie plants. Now, sitting next to the window to get the shaded light that it needs. The pothos is there too, but kind of being overshadowed by the Diffenbachia in the picture.

By the way, thanks for the important plant care tips, Lux and all. I don't want these to die if I can help it, but they're looking well enough this time, especially the pothos.

While I'm here, what does it mean when certain leaves are turning yellow? Also, some of the Diffenbachia leaves are green but are looking wrinkly. Is that normal? Finally, it is most likely in need of repotting and probably stakes for the pothos right? Any particular suggestions for pots, soil, and so forth?

Hope you enjoyed the pics!

A few bits and pieces as I am going along....

Google's portfolio tracker can set multiple portfolios as well as track its values very quickly. So, I've decided to use this instead of my PDA. I've made one for my Roth, even though it's empty right now, but I've also made one for what would have been my Vanguard Target retirement fund if I decided not to invest on my own. And that's what I am comparing my Roth performance to. So, every time I make a move with the Roth, I will mirror it with a buy into this hypothetical Target fund.

I've also decided to create yet another portfolio and let Google to store the stocks on my watch list. This is actually working out nicely....

Google also has a new stock screener, and lemme tell you, it is sweet!

Just for fun, I'm staring into the microcaps... in the 5 million to the 10 million range! Amazing how quickly the search results come up. I even went so far as to check out one company's 10-K!

But that range is scary though. Some betas are at 3, some are there because their business have bombed over the years, but most of all, I just don't really understand many of the businesses.

And the last point is the biggest thing to me. Peter Lynch once said, "Don't buy what you don't understand." Well, in so many words. I think it was more like, "Don't buy businesses you can't explain with a paper and a crayon." For example, do I really know anything about Heart Arrhythmia research and disposable sensors? I wish I did. And this is something you don't want to mess with when it comes to companies this small with volatilities this high. Yeah, I don't think I'm ready to speculate microcaps....

Oh, and Baselle brought up a couple of important issues last time, and I was about to answer them... but decided that it may be better to do it here. More space.

Assigning a Fair Market Value.... I know it's very useful, especially if you want to do technical buys at a certain price and so forth. Or is it? I can't quite articulate exactly what I think of it yet. ...

When you're going long like me, you can also say, "Well, now is as good as any, so I'm just gonna buy it right now!" Better yet, I'm also playing with the idea of a "buy to cover". Essentially, you make an order to buy, but the computer won't actually execute it so long as the stock price keeps dropping. If it stops dropping and actually rises a little bit, then the buy is automatically triggered. That way, I get the best price possible of... whenever I'm ready to buy.

As for keeping track of the company, I fully agree. Although I'm a fundamentalist, I'll still be... well, not so much as staring at it every waking moment, but will still keep my eyes on it from the time I buy to the time I sell. Perhaps like choosing a room mate or a pet, I better really like the company. This is part of that realization that it's not so much as buying a piece of stock or a number on the computer screen, but actually thinking of it in terms of buying a real piece of the entire company itself.

Finally, even though I keep calling myself a fundamentalist, I'm really not above doing just about anything under the sun. Technical strategies, fundamental strategies, growth strategies, dividend strategies, contrarian, momentum. Whatever works! I don't know why some people devote so much time debating one way being better than another.... Sure, I have my preferences, but in the end, all of these things are more like tools in the toolbox to me, and I would rather do whatever makes sense at the time rather than limiting myself only to a certain way.... About the only rule I have is to invest safely....

Mindless rambling tonight, so feel free to skip this if you don't feel up for it.

I try my best to be frugal, but there are a few things that I don't need, and yet, I don't really want to let go either....

As I have mentioned in the past, my conceal permit is expiring soon. I took another look at the cost again.

Renewing is actually $75! (Good for 4 years.) I thought it was $100.

However, if I let it lapse and change my mind down the road, re-registering is roughly $200 ($100 to take the classes over again, $80 to apply for a new permit, and $20 for new sets of fingerprints required for the application).

So, I started thinking.... Even if I were to renew it twice for the next 8 years(!), I'll still be "saving money" compared to re-applying it again.

So the question really comes down to whether or not I'll be getting back into shooting again....

Well, a buddy of mine was telling me how he went shooting earlier at a friend's house for free (in the country, with acres of private land) and that he could probably hook me up....

WELL IN THAT CASE....

I don't expect anyone here to understand or agree with me, but... it's just hard to let go. And perhaps that's sign that maybe I shouldn't. At the risk of rationalizing, is it so bad to have this one hobby?

I just can't help it. I am who I am, and I'm thinking of renewing it later this week....

If you do not wish to be bored out of your skull with investment talk, please skip this post.

So, I'm gearing up to make my first stock buy soon. Therefore, I thought it would be wise to talk about my stock picking process, as it is critical to have these things worked out before jumping into the wild.

Perhaps I should start at the very beginning, with Google.

There are several ways to look for and track stocks, but iGoogle is my preference. It's not the only way, and all of them have their pros and cons, but whatever system you decide to use, it's best to just stick with one.

iGoogle also serves as my window into the investment world, by having all the major financial headline links made available to me on a single page.

I typically run across stock recommendations when reading these articles (both directly and indirectly), but very few that I am actually interested in.

When I do find one that I am interested in, I would check out the company's basic technicals and fundamentals, searching their ticker with Google. I would also go to their website and "look around", especially if they have an investor section.

If I still like what I see (and few very pass this point), I would place it on my "watch-list" using iGoogle's portfolio tracker. There's probably a better way, and I'm open to suggestions, but for now, it serves me well enough.

While my watch-list helps me keep track of companies that I am interested in, when it comes time for an actual buy, I like to narrow the choices down some more.

This is when things get down to the nitty gritty, and I head to SEC's EDGAR filings to get the 10-K and 8-K. You can sometimes find these things straight off of the company's own website, but if you're serious about your research, you'll want to learn to wade through the SEC website.

It's not hard once you have it ironed out. Just save this link, I use the ticker symbol for my searches, and to narrow down the search results, I type in "10-K" in the "Form Type" field, for example, to find the 10-K filings.

To me, wrapping my head around the 10-Ks and the 8-Ks (along with whatever other filings you may be interested in reading) is the toughest part. But again, as a fundamentalist, it's important to understand the company that you are buying.

Remember, you're not just buying pieces of paper or numbers on the computer screen. You're buying a piece of that actual company, and it really helps to understand that company as much as you can. (The more I study, the more I realize how influential this point can be towards your buying and selling decisions.)

In a nutshell, that's how I pick stocks.... Again, I'm open to any suggestions to improve the process. To recap:

1. Set up a window to the investment world.
2. When I come across a company that I like, I would look at the company's ticker for basic technicals and fundamentals, as well as visit the company's website.
3. If I really like it, I'll put it into my watch-list.
4. If I am serious about buying it, I will read the company's SEC filings, especially the 10-K and the 8-K's.

So... anybody still awake?

I treat my fellow bloggers like the way I treat my children. I don't play favorites. In my mind, everyone is equally important, and believe me when I say that I like a great, great many of you.

Still, I feel that this is compelling enough for me to make an exception, just this once. You see, LuckyRobin have had a much harder time than I have, and is in a lot of debt through no fault of her own (medical bills from illness I think).

And yet, she still took the time to comfort me through my divorce, even though I wasn't experiencing anything near the kind of hardship that she was going through.

I also think there may have been a misunderstanding over a comment one time, that she wasn't too old. Perhaps text being a subjective medium, was misinterpreted as something hurtful, even though I had meant it as a compliment. Knowing my luck with women, why does that not surprise me?

And then when she was gone for a while, I really did think, "I wonder if Robin is OK?" This is really is an awkward territory for me. You know all this... mushy stuff. But it did cross my mind!

And seriously, what do you tell someone who is struggling through that kind of situation? "Cheer up, buckaroo. The sun will always come up, and tomorrow is a brand new day to attack that debt!" I'm male, not comatose (no matter how small the gap between the two may be ).

So, all I can say is... well, I'm sorry. But thank you. Thank you for having been there for me.

I'll spare you my rendition of "The Sun Will Come Up Tomorrow".

I'm sort of riding off of Carolina Bound's lovely list from her divorce. Many of her points resonated with me and my own experiences. It certainly is very difficult to get through a divorce. Even now, I can still feel its effects on me....

So, in a twist on the theme, I'm actually going to TRY to name off 10 POSITIVE things that has happened since my divorce. And even as I type right now, I don't even know if I can pull this off.... Won't this be interesting!

1. I wish I had known that my kids are going to turn out just fine. I was, above all else, concerned about how they were going to handle the divorce. Children tend to get hit the hardest by these things. I'm just happy to report that they appear to be adjusting well.

2. I wish I had known that I would end up here, at SavingAdvice. It sounds crazy, but before coming here, I was completely alone. Nobody, not even I, understood why I felt so stressed about money. If I had known back then that there is an entire community out there that not only understands me, but would be so supportive about it, I think I would've slept a lot better at night.

3. I wish I had known that my family would ultimately support me as well. Typically, it's the other way around, with the guy who ends up running off with some cocktail waitress using credit cards he maxed out to buy a motorcycle he can't afford. So, when my ex and I started having troubles, my mother's first instinct was, "What did you do, BA?"

It took a little while, but when she realized that it wasn't me, then she threw her full support behind me. My relatives too. They also knew the financial difficulty I was having due to the divorce, and that's how I ended up er... "housesitting" for my aunt right now. Thank you, family!

4. I wish I had known that my financial life isn't hopeless. I can't tell you how horrible it is to feel... financially hopeless. You know what I mean? That heavy, awful feeling that, no matter what you do, you're always going to struggle just to scrape by.

But now, I actually feel hope! Sure, it may not be in as big a stride as some of you guys, but in a little more than 2 years, my net worth flipped from -40k to a debt-free +20k. For a regular guy like me, that's a big deal!

5. I wish I had known that my new job would work out. Believe it or not, but my divorce also happened at a time when I was switching jobs! As if the divorce alone wasn't bad enough....

6. I wish I had known that I would latch onto the simple living lifestyle.... I didn't start out as a fruggie. I was as spendy as any other guy out there. But after the divorce, I found relief and merit in having a simple lifestyle, which also happened to be a boon in pushing my personal finances!

7. I wish I had known that being single would turn out to be a blessing in disguise. Naturally, I felt very lonely throughout my divorce, and I guess even now sometimes....

Yeah, it'd be nice to meet a special (frugal) someone, but the upside to being single right now means that I can focus all my money and energy towards my personal finances.

8. I wish I had known that I was going to learn to cook. Seriously, if I had known that, I would've tried harder to keep some of the kitchenware from our marriage. Although I still make a mess, I think it's headed in a good direction.

9. I wish I had known that my ex would be happier where she is. At least, I believe she's happier.... We don't really talk anymore. While it's easy to malign your ex, the truth is, I very much wanted her to be happy. So, if the divorce makes her happy, then as bizarre as it may sound, perhaps I wasn't entirely a failure as a husband.

10. Last but not least, I wish I had known that *I* was going to be happier! Maybe it seems obvious now, but back then, I really had no idea what was going to become of me. All I knew up to that point was an awful knot in the pit of my stomach. But I am happy to say that all is working out well so far!

Well, I hope you enjoyed the list. So much has happened in a span of just two years, it makes me wonder what the next two will bring? Whatever it is, I am hoping to go in even happier and more prepared!

I guess my mind is stuck on my Roth lately.

In case you haven't noticed already, the Roth is set up (with Scottrade) for the express purpose of stock picking....

Stock picking... can be dangerous. Most of the time, even I recommend against it. That's because it opens up so many pitfalls that individual investors can easily make. With that in mind, I just want to add this quick tidbit about my risk in context:

The Roth will only constitute, at the very most, about 20% of all my savings.... That's because the bulk of my savings is still in 401k (actively managed mutual funds), as well as my pledge to beef up regular savings. I've also dialed down the aggressiveness on my 401k in order to accommodate the Roth, so the level of risk I am taking, in my mind, hasn't changed.

Another risk is that I may end up with is trading too much. Not that I have anything against active trading per se. Some are quite skilled at it... but I'm not one of them. But hey, at least I recognize the hazard right? And because I know I am a novice, I am trying to limit my trading activities... to protect myself... from myself. That's another reason why I went with Scottrade (instead of Zecco) because I know that having to pay a commission fee would dampen my urge to over-trade.

Instead, I view my Roth as more of a backyard garden. When I save up at least $1,000 at a time (in my checking, earning 5% interest the entire time), and when the situation is appropriate, I will buy some stocks to plant, and watch it grow over the years. Maybe when they reach a certain maturity, I may harvest it, but I also wouldn't mind just leaving it alone to let it keep growing. (I also want to add that I'm not above trading within spans months, weeks, or perhaps even days. The trade just has to make sense to me.)

It's important to me to take it nice and slow, because the active investment world is still a dark and foggy world to me. There is still much to learn. I read somewhere that most individual investors get clobbered on their first few years out, mostly because of all the amateur mistakes they make.

That's another thing: Some individual investors dream of huge, wild returns, and to chase after that, they take risks that are just plain reckless. I am here to make money, not lose them. Sure, I don't mind taking risks, but there's calculated risk and there's... crazy.

But if I do my homework, don't chase after over-night get rich schemes or get greedy, and am willing to wait patiently for my garden to grow, I think it should be OK. Any other advices for me before I venture forth?

I thought Scottrade had a $500 minimum balance requirement, but for Roths, it turns out that it's something they "encourage" not "enforce". Now they tell me, after I've already transferred the money.... Oh well, at least it's being counted as a 2007 contribution.

Also, I didn't realize that $500 would stay... well, intact! I thought it'd be taxed before it is available in the account. I double checked with the service rep, and he said that Roth contributions are already taxed at income, so it wouldn't be taxed again when you put the money in there. Duh, BA. This is correct, right? Sounds right to me, but I figure it wouldn't hurt to double check with you guys....

Anyways, for those of you that already have a Roth, I hope that it brought some amusement. And for those of you who don't have a Roth yet... well, if I can fumble my way this far, you can do it with ease!

I guess I'm feeling chatty so... multiple posts today. Anyways, here's where I stand so far on my roadmap....

My 401k is set to be maxed out this year, because again, my employer will match every dollar that I put in there! So, I contribute to the IRS limit of 15.5k.

I've also been slowly but surely building up my savings. Again, I have a 5% checking, and honestly, that rate will beat almost any other low-risk options out there while keeping my money liquid at the same time.

Finally, I also just opened a (better late than never) Roth and am going to try to max that while still try to grow my regular savings....

That's the plan so far, and oh boy, won't this be interesting. Let's just say there won't be any problems finding some use for my stimulus check.

Anyway, that's my updated roadmap for the year: Max 401k, max Roth, absolutely save everything I can into my high interest checking. It's not going to be easy (for me)... but what's life without a good challenge eh?

Exciting day! I just opened my Roth IRA account with Scottrade! Either that, or I'm just easily amused. Actually, it's more like, "Well, it's about time, BA!" Erg.

Anyway, I've decided to go ahead and get it done so that it can be considered a 2007 account (and shave a year off of the 5 year condition they have for certain withdraws).

I went with Scottrade because they have no annual fees for IRAs, and trades are just $7 per buy, and $7 per sell (for stocks). Believe it or not, but that's better than even some discount brokerages out there! There are also cheaper but... I need something reliable, and I've heard nothing but good things about Scottrade.

About the only downside is that they are a no-frills outfit without a lot of bells and whistles. But then, I don't really need a brokerage to hold my hands or anything so....

As an added bonus, there's a retail Scottrade outlet within driving distance from me. I've already spoken to a rep from there twice to help me get the Roth set up.

What's more, I'll also be tracking this account (with my PDA!) because I'd like to see how I perform against the market index.... So... kind of neat to see a brand new account listed.

Nothing new under the sun, but.... while hanging out with a buddy, he asked me what is a mutual fund and even the technical differences between an actively managed fund versus an index fund.

Well, I mentioned the main difference, but emphasized that it's a minor matter compared to just saving and investing in the first place....

His response was, "It's not easy to save money!"

I took a short sigh and responded, "I know. Saving is not easy, that's true. However, it's still a necessary skill, really, to just get by in life.... That it is not easy does not change its importance...."

His response to that was, "I want to go back to school...."

I understood what that meant. He didn't want to talk about it anymore. I shrugged and said, "Yeah."

I think that's what wrong with a lot of guys out there. When faced with financial difficulties, their answer is to find some way to make more money. In my friend's case, he believes it's a matter of going back to school to get a better career. That isn't a bad idea per se... but even if one accomplishes that, it still doesn't change the need to manage your finances responsibly... and learn to save.

It's amazingly strange to me, that such a simple and innocent little idea of... saving money... would be met with such resistance. I even mentioned that, with as little as $50 a month, a whole lot of financial doors can be open to him....

No dice. The crazy thing is I know how much he makes. It's not a huge amount, but he can do it. Easily. If he wanted to.

And that's just it. People don't want to. Nothing new under the sun.