Dave Hebeda is a certified personal accountant (CPA) who is an expert in finances and offers a variety of financial services. Dave Hebeda never hesitates to share his financial knowledge and expertise with others to help create a more economically savvy world.
To help you with your own personal finance questions, Dave Hebeda offers the following tips and advice.
Being a forward thinker can drastically help you with your personal finances. Whether you’re investing, saving, or spending, having some money set aside for future financial emergencies is a wise decision. It is also a common misconception that investing is a way to get rich quick. This is not true in most cases. Many people go broke trying to chase wealth with their investments and the safest way to build financial stability is to build your financial portfolio slowly and steadily with your long-term goals in mind.
Make Safe Investments
The phrase “safe investments” might be a relative term but what Dave Hebeda means by this is that it’s smart to invest in stable, well-established businesses and stocks that have long-term competitive advantages within their respective markets. But Dave Hebeda also cautions that it is important to keep an eye on these investments and make sure your initial reasons for buying still apply to those businesses.
Know the Difference Between Price and Value
The price of an investment is what you pay for it, but its value is completely different. The value of an investment comes from the intrinsic characteristics of the business you’re investing in and its stock’s projected trajectory. If a stock price drops 10 percent in a day, that doesn’t necessarily mean a company’s overall value has dropped by 10 percent. Sometimes buying a stock at its lowest price can be a great value and sometimes buying a stock when it’s thriving can mean that some regression is due.
Invest in Yourself
Knowledge is the key when it comes to personal finance and giving yourself the tools to be financially independent can go a long way. If you spend time reading about and researching personal finance advice, you’ll become better educated on how to handle your money and it will be easier for you to avoid unnecessary risks.