You have probably heard of the Standard & Poor’s 500 (S&P 500) index. But do you know exactly what it is? Many people actually believe it is a fund. But it is only a stock market index. And there are many funds available that track the performance of this index. There are many interesting facts about this index. If you have chosen to invest in this stock market index, you may want to learn more about it.
For instance, did you know that it does not really track the 500 largest companies in the United States? It tracks 500 large companies from the U.S. stock market, not necessarily the largest. This is due to the fact that the index is not managed by a single formula and a computer. In fact, a committee of humans is taking the decisions of including or removing a company from the index.
In this post, we are going to see exactly what is inside the S&P 500 index. We are also going to see how the committee manages the index and updates it over the years. Finally, I am also going to describe how to invest in this index.
Continue reading “S&P 500 Index – Invest in 500 Companies At Once!”
There is no denying that ski is a very expensive hobby. And this is especially true in Switzerland, one of the most expensive countries in the world. First of all, you will have to spend a lot in order to get your ski equipment. But then, you will have to pay at each ski stations to use their ski lifts. And this is not cheap as well.
However, there are a few things you can do to ski for less in Switzerland. The ski season is almost over. But these tips can be very useful for next year. This is especially true if you are a beginner or you are teaching to a beginner. For instance, we have been able to ski for free with Mrs. The Poor Swiss at the beginning.
In this post, we are going to see 9 techniques that will help you ski for less in Switzerland. If you know other tips, I would love to hear about them!
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If you have decided to invest in a precise stock market index, you first have to choose the stock market index. And once you have chosen an index to invest in, you will have to decide through which index fund you are going to invest in this index. For this, you can choose either a mutual fund or an Exchange Traded Fund (ETF). For popular indexes, there will be a large choice of index funds replicating the performance of this index.
Even if you only choose popular funds for a precise index, it will still be difficult to choose. As you will see in this article, there are many things you can take into account when you compare two index funds. The most important remains the price as most people know. But there are other points you can use to compare two index funds. And some of these points are definitely not obvious.
In this post, we are going to see all the things you can look at when you need to choose an index fund, whether it is a mutual fund or an Exchange Traded Fund (ETF).
Continue reading “How to Choose an ETF or an Index Fund”
Neither Mrs. The Poor Swiss nor me are in bad health. We are very lucky in that matter. However, being a computer scientist and not going out a lot is not a good long-term prospect for my health. These last few years, I have felt that my health decreased. I am not as much in shape as I was 10 years ago. And my back has been painful a few times recently.
Even though we do not have big problems, health is really important. These days, we focus too much on our finances. I want to retire early and I also want to retire healthy! For this, it is important to try to work on our health as we are working on our finances.
In this post, I am going to discuss the things we want to do in order to improve our health in 2019. Do not expect any fancy cure that will solve all health issues. There is no such thing. We focused on simple things for 2019 to ensure that we stay in good health.
Continue reading “Health Plan for 2019 – Retire Healthy And Early”
I had the opportunity of interviewing Patrik Schär, the CEO of Selma Finance. For those of you that do not know, Selma Finance (Selma) is a Swiss-Finnish Robo-Advisor company. It is a young company. Patrik founded it, with three other people, in 2016.
I have not yet talked about robo-advisors on this blog. However, they are getting more and more popular. The idea is that you can get smaller fees by automating most tasks, hence the robo-name. And it is much simpler than investing by yourself. It provides a good entry point into the investment. And Selma is a great option for those that would choose that route!
First, Selma is different from a bank in that it is almost entirely automated. It has lower fees than a bank. It gives you a personal investment assistant that can assist you all the time. Another cool thing with Selma robo-advisor is that they follow passive investing philosophy, reducing the fees and following the market performance.
But enough from me, Patrik Schär, the CEO, will tell you everything there is to know about Selma!
Continue reading “Interview of Patrik Schär – CEO of Selma, Robo-Advisor”
The Konmari method is a tidying method developed by Marie Kondo. She has been a consultant for tidying houses and offices for many years. She soon realized that she had a lot of clients and that she could consult in person for them all. So she decided to write her method in a book: The Life-Changing Magic of Tidying. I just finished reading this book on my Kindle and I wanted to share my thoughts about it.
Overall, the method is really simple. You discard all the things that do not bring joy to your life. Then, you set a place for each of your belonging. And after that, you should no need to tidy ever again. Of course, there are some subtleties. But overall, it is really simple.
Keep in mind that I never tested this technique. I just read the book and gathered my thoughts about it. If you already read this book or learned about this method, I would be glad to hear your comments.
Personally, I do not have a lot of issues with tidying. Most of the time, my apartment is very tidy. However, I have a problem with discarding and I should really improve that. In the last year, I have discarded a lot of things. And I want to continue in that path and reduce even more my belongings. I will never be a true minimalist. But tidiness is important for me.
In this post, I am going to go over the Konmari method and what this book can teach you.
Continue reading “The Life-Changing Magic of Tidying – The Konmari Method”
If you are convinced that index investing is the way to go, you need to choose the indexes you want to invest in. You can create a portfolio that contains several indexes in which you are going to invest.
We have already talked about index investing and the way indexes were replicated. But we have not looked into details how to compare stock market indexes. There are a lot of stock market indexes. In fact, there are now more indexes than stocks. So index picking may become as difficult as stock picking. There are some very special stock market indexes. In this post, we are only going to focus on broad market indexes.
I am not going to go into details into exactly the portfolio you can choose. The post is really about choosing between different indexes. For instance, what is the difference between small indexes and large indexes? Or should you choose a market-cap weighted index or an equal-weighted index? If you already know you want to invest in U.S. equities, how do you choose between all the U.S. indexes?
This post should help you choose between indexes to invest into. There are many different indexes, even for the same country.
Continue reading “How to Choose a Stock Market Index to Invest Into”
It is time for yet another post about learning money lessons from animated sitcoms! This time, we are going to learn five money lessons from The Simpsons!
I am sure I have some fans of the Simpsons among my readers! I watch many animated sitcoms myself. And while The Simpsons is not my favorite of them, I often have fun watching episodes of this show! I already found five money lessons from Family Guy and five money lessons from South Park. Now, it is time to find out if we can learn something from Homer. Compared to the other two animated sitcoms, The Simpsons is a bit more logical and down to earth, although it is often pretty stupid.
I have tried to find some interesting episodes from The Simpsons with real money lessons. Some of them are all about money. And some others have only small lessons. But I hope you will enjoy both the episodes and the lessons we can learn from them!
All the pictures from this post are the property of Fox.
Continue reading “5 Money Lessons from The Simpsons #1”
(This post was first published on StojFinance. Thanks a lot to Jasper for the opportunity of guest posting.)
We have already discussing index investing in details. There are many stock market indexes. Sometimes, it is very difficult to pick a stock market index to invest in. But we have not covered any index in particular. You have probably already heard of the S&P500 index and the Dow Jones Industrial Average (DJIA) index. But have you heard of the Russell 3000 index? It is not as widely known as other indices. But it is a very interesting index that covers a larger part of the United States stock market than more popular indexes.
The Russell 3000 Index is managed by the FTSE group that also manages many other popular indexes. It contains the 3000 largest U.S. companies in the stock market.
In this post, we are going to see exactly what is the Russell 3000 Index. We are also going to see a few related indexes from the same group, such as the Russell 2000 Index. Finally, I am going to compare the S&P 500 index with the Russell 3000 Index. They are both popular indexes and people often misunderstand the difference between both.
Continue reading “What is the Russell 3000 Index?”
Since I started my journey to a better financial state, I have read many Personal Finance books. I have mostly read books about Investing. I have also read some more general personal finance books that are going all around. I thought it would be interesting to compile the list of all the books I have read so far.
Here, you will find the list of all the best personal finance books I have read. I have put them into several different categories. I will keep this page up to date with the future books I am going to read.
If you have any suggestion of book for me, I would be glad to hear about it!
Continue reading “Best Personal Finance Books”