money dont grow on trees: how to make the best choice

Best and Worst Investment Options

By Crown Financial Ministries

 It is important to realize that investing is not an exact science. Even though some seem to make money in whatever they invest, others seem to lose whenever they invest in anything. The simplest, most straightforward method for evaluating any investment is the percentage of people who buy into it and get their money back. The next rule of thumb is how many made returns above their investments.

Generally, if investments make more money than they cost, they can be considered good investments. Most successful investors are what can be called hedged risk-takers. That means that they will take risks periodically if they can afford to, but they never take more risks than are considered necessary to accomplish their goals. Although there are investments that historically have reaped more financial rewards than financial disasters, many more are nothing more than bottomless pits that continually feed the never-quenched thirst of speculation. They seem to always promise great returns but seldom seem to deliver.

This article does not presume to give investment advice. Based on past performance, it merely points out and draws attention to what investments over the years have been most likely to produce financial gains and those that have been mostly likely to produce financial disappointments or losses. Although past performance does not necessarily guarantee the same showing for the future, it does provide a standard by which nonprofessional investors can judge whether an investment is historically financially safe or detrimental. So, based on the fact that these best and worst investments are not intended to be used as guidelines for developing investment strategies but, rather, are to be viewed as investment suggestions based on past performance, we submit the following investment options.

Best investments

Residential housing. Without question, the best overall investment for the majority of Americans has been their homes. Residential housing has kept pace with inflation; in addition, it has appreciated on the average approximately 4 percent annually. A simple investment plan to follow is to make the ownership of your home your first investment priority.

Rental properties. It is often said that the thing you know best you do best. The majority of Americans know how to evaluate rental properties, particularly residential housing. Therefore, they are a logical investment. However, rental properties are not for everybody. Unless you have a strong personality and are willing to evict some nonpaying tenants from time to time, you need to avoid becoming a landlord. However, one of the attractive aspects of rental property is that the initial investment is not excessively large in many areas. In addition, once the property is rented the tenants pay off the mortgage for you.

Mutual funds. The whole concept of mutual funds is designed to attract the average investor. The pooling of a large number of small investors’ monies to buy a broad diversity of stocks and other securities is a simple way of spreading the risks. Mutual funds are good investments because (1) most allow small incremental investments, (2) they provide professional investment management, and (3) they allow great flexibility through the shifting of funds between a variety of investment assets.

Insurance products. With the dual benefit of insurance coverage plus higher yields, insurance products such as annuities and whole-life insurance have become viable products for long-term investors.

Company retirement plans. The investments available through a company retirement plan are the same as those you might choose personally. One major advantage with company-sponsored retirement plans is that usually the funds are tax deferred. Additionally, many companies offer matching funds based on a percentage of what you elect to invest yourself.

Government backed securities. Government backed investments are considered to be absolute security. Although they may not be the best performers, they are without a doubt the most secure.

Worst investments

Commodities speculation. Commodities trading is the buying and selling of materials for future delivery. Unless you have the absolute conviction that everything you own belongs to God and can go to bed at night with the understanding that everything you have worked for most of your life can be lost while you sleep and the thought of that possibility is irrelevant to you with regard to your life and lifestyle, don’t trade commodities.

Partnerships. The most common financial partnerships are limited partnerships, meaning that the contractual arrangement specifies a general partner and one or more limited partners. The intent is to limit the liability of the limited partners to their financial investments only. But because of recaptured deferred taxes, seldom do investors recoup their initial investments in the length of time originally proposed, if ever.

Tax shelters. Tax shelters are used primarily to defer income taxes, rather than for any economic value they might have. Since the 1986 Tax Reform Act, tax shelters for the average investor have been curtailed. Generally, the only people who can be profitable in tax shelter investments are those who have a large amount of passive income, rather than earned income. So, for the average American worker, tax shelters are not recommended.

Gemstones. The diamond on your finger is not an investment; it’s a keepsake. Most novice gem speculators usually buy high and sell low. Gem investing is for those who have nerves of steel, the strong at heart, and the rich. Seldom do investors make any money in gems, unless they are one of a small group of international gem professionals of gem collectors.

Collectibles. Coins, stamps, books, porcelain, works of art, and other unique items can be good investments for knowledgeable buyers who take the time and effort to become proficient at their trade or for those who collect such items as a hobby or for leisure. However, for the average non-professional collectibles investor, the market is extremely limited and slow moving—neither worth the time nor the effort when compared to the limited financial rewards.

Stocks. Although the knowledgeable, professional investors can and do make money regularly on common stock, average investors are not equipped to accurately speculate on which stock will do well and which will not. If the average investor would invest in a common stock, leave it for 10 years, and not touch it, it probably would keep up with inflation and perhaps even gain 3 or 4 percent. But seldom do average investors do that. They generally try to move their investments from stock to stock in order to reap the maximum benefits. Since they are not professionals and their knowledge is limited, most end up making little and, in many cases, losing their initial investment.

ConclusionAlthough we are not qualified to give professional investment advice, we can present information that suggests what have been the best and worst investment options, based on past performance. We are not suggesting that you invest in the best and avoid the worst. We only propose that you consider these findings (along with prayer and seeking counsel from a trusted investment professional) before you make your investment decisions.

TOP 10 SIGNS SHE IS CHEATING ON YOU

Number 10
She detaches herself from your family
The fact that she no longer wants to attend your family's functions or hang with your friends is one of our signs she's cheating on you. This sign may be indicative of cheater's remorse on her part, which means that she likely feels guilty about cheating. The less she immerses herself in your circles (which contain people who are painful reminders of her sins), the less mental anguish she'll have to endure.

Number 9

She nags you incessantly
Gone are the days when the two of you could communicate with harmonious precision. Now, every sentiment you express sets her off and she finds any excuse to lash out at you.

If such an about-face sounds familiar, she may be subconsciously trying to justify her little tryst. Nagging you helps eliminate or at least ease her nagging guilt. So if she habitually begins to point out your every flaw, you may want to get to the bottom of what's really going on because it's one of our signs she's cheating on you.

Number 8

She has a mysterious friend
A telltale sign that your woman is cheating arises when a mysterious friend inches his way into the picture. Whether it's someone she claims is a coworker or an old friend from way back, she keeps this friendship under wraps and is hesitant to share any general details about him, much less introduce you. And it doesn't take a Ph.D. to figure out why.

Number 7

She deflects simple questions
You should be suspicious of your girlfriend when she refuses to answer the simplest and fairest of questions or answers questions only after repeating them back to you, which usually indicates a mind that's searching for a lie. Be wary of times when, rather than reveal that she got home at midnight, she begrudgingly asks, "Why do you want to know what time I left the coffee shop?" If she gets defensive about disclosing information that she used to volunteer without hesitation, she may be hiding something or someone and it's one of the surest sings she's cheating on you.

Number 6

She shifts priorities away from you
If she is involved in a hot and heavy romance with someone else, you'll definitely feel a shift in her daily priorities. Suddenly, there are no more implied Sunday dates at the movies or something always comes up on dance-lesson Thursday. There is a tendency for most philanderers to schedule meetings with their new flame as often as they can, which results in a complete disregard for previous engagements.

Number 5

She puts more effort into looking sexy
You may like her just the way she is, but that won't stop her from trying to dazzle her new fling. Just as you tried to impress each other at the beginning of your relationship, she'll try to impress her new flame with a sudden urge to improve her style, change her makeup and alter her physical appearance for the new man in her life. So, while her desire to look sexier is one thing, not caring about your opinion on the matter is quite another.

Number 4

She becomes autonomous
One of the biggest signs she's cheating on you is her breaking away from your little two-person unit to become more autonomous. She has dropped "we" from her vocabulary in favor of "I." Moreover, she does more things on her own and stops consulting you about future plans. In short, she conducts herself in ways that hint that she no longer needs you to hold her hand. Whether she's hoping you'll leave her or she's simply looking for more time to lead her "double life," it's safe to conclude that she wants you out of the picture -- she just can't build up the nerve to leave you.

Number 3

She has no interest in sex with you
When your relationship was new, the two of your were full of passion and open to spontaneous lovemaking. Now it's all a bit iffy, whereby you're rarely hitting the sheets and you're only doing so if and when she feels like it.

On a slightly more ego-bashing note, she may suddenly become bored by your performance and appear to be thinking about someone else when you do make love. Cheating may be wrong, but you can't deny that unlawful sex is usually more exhilarating. So, if you can no longer satisfy her sexually, someone else may be rubbing her the right way.
Number 2
She's secretive about her schedule
She may claim to no longer have time for any extracurricular activities with you, yet she has one foot out the door the minute one of her girlfriends calls. Either that or she has been "going away on business" one too many times. And when she does leave, her whereabouts are sketchy at best and you are somehow always the last to know.

Disclosing her itinerary to you at the last minute and overlooking your plans in the process can mean many things, one of which isn't that she's forgetting, but rather leaving you out.

Number 1

You become irrelevant
What could be worse than a girlfriend who nags you about absolutely everything? How about one who stops noticing that you're even alive? Just as No. 9 on our list of signs she's cheating on you is a possibility (she nags you incessantly), the opposite could be yet another clue of your loves cheating ways.

All at once, she doesn't care if you don't want to go to the ballet with her; she'll just find somebody else with whom to go. And whatever opinion you may have, be it about how she looks or how you're feeling, is met with a tepid response. In other words, she doesn't place the same importance on what you think and what you do as she once did, especially on things that directly affect the relationship.