While I don’t talk much about my job as a lawyer here on the Dough Roller, I can tell you this–I’ve read more Form 10-Ks than I care to remember. A Form 10-K is an annual report that public companies must file with the Securities and Exchange Commission (the SEC). And if you are a stock picker or just interested in how a public company is performing, understanding how to navigate a 10-K is a must. So let’s dig in.

A Brief History of the Form 10-K

The stock market crash that ushered in the Great Depression was in October of 1929 (October 24th–Black Thursday–and October 29th–Black Tuesday–to be precise ...

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It’s been interesting to watch what companies will give away to get a new customer. Many credit cards give away cash to new card members, like the Chase Freedom $150 bonus. Banks often do the same thing when you open a new account, like the ING Direct $50 checking account bonus. And brokers are not beyond passing out some dough, like the OptionsXpress $100 bonus for new accounts. But a current OptionsHouse offer put an interesting spin on this marketing approach–they are giving away a Dell flat screen monitor when you open a new account. ...

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You’ve probably heard of the expression, “it’s better to be lucky than good.” That sums up a lot of my success as an investor. And there is no better example of this than my investments in emerging markets.

I first invested in an emerging market fund at the end of 2002. And the timing couldn’t have been better. The fund tripled in five years. But since then it has had its ups and down, with the performance of the fund ranging from a high of 76% in 2009 to a low of -53% in 2008! Emerging markets are not for the faint of heart. But because they can add much needed diversity to a portfolio and present the opportunity for excellent returns, emerging markets are worth serious consideration.

I logged into my Lending Club account the other day and was met with an unfortunate reality–I’m an underachiever. My current rate of return is 7.43%, while the average rate of return is 9.67%. Lending Club was even kind enough to provide a bar chart to showcase my less than stellar performance:

My first reaction was to hypothesize that the number of Lending Club notes I own (about 45) was too few to draw any statistically valid conclusions. While there may be some truth to that, Lending Club also compared my returns with those who have invested in a similar number and amount of notes. And I’m still falling short, with the average of this group coming in at 8.23%.

Savings bonds are debt securities issued by the U.S. Department of the Treasury (U.S. Treasury). The proceeds from the sale of these securities are used to pay for the borrowing needs of the U.S. government. They are generally considered an almost risk-free investment as they are backed by the full faith and credit of the United States government. Additionally, savings bonds are exempt from state and local taxes and the interest earned on the bonds can be tax deferred until the bond is redeemed. Currently, the government issues two types of savings bonds, Series I and Series EE. There are also Series HH bonds in the market, yet as of September 1, 2004, investors are no longer able ...

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One of the most profitable, albeit risky, investments many people don’t consider is that of local small business.  People commonly invest in the stock market or real estate, but investing in local small business can prove even more profitable than either of these more conventional areas.  To be clear, there are serious risks involved in this type of investment.  We will address those dangers, but first let’s consider why you might want to invest in a local small business.

What are the advantages?

By investing in a local small business, you are getting involved in something before it has grown into an enormous business entity.  That means you have the opportunity watch a business grow, and possibly make a large investment return.  In addition, when you invest in the stock market, it’s tough to see the positive economic impact you are having.  When you invest in a local small business, however, you can immediately see the effect you are having by providing jobs and adding to the community.  Another incentive to invest in a local small business lies in tax advantages ...

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Series I bonds are a particular type of bond issued by the federal government. The bonds are comprised of a typical interest rate, and an additional inflation rate. For this reason the bonds are often referred to as inflation-adjusted. We’ll get into I bonds’ dual interest rates momentarily, but first a look at treasury securities in general.

US treasury securities, often simply referred to as “treasuries,” are debt securities purchased by people who lend money to the federal government. Bond-based federal debt instruments began around World War I. Knowing that the cost of the war would be great, the US planned to fund the war through both higher taxes and debt. However, there were no other countries to borrow money from. This meant that US citizens would have to loan the federal government money to fund the war. The system of issuing treasury securities has evolved over the years from a somewhat problematic beginning, to the system we have in place now. Some other bonds currently issued include Series EE and Series HH.

Like many of you, I’ve been investing in mutual funds for a long time–about 19 years to be exact. For those just starting out, investing can seem overwhelming. And while there are many complicated aspects to investing, mutual funds help make investing easier for folks like you and me. A mutual fund is any investment model in which investors pool their money and invest collectively. Investors buy into the fund with cash, which fund managers then invest consistent with the fund’s objectives.

Evaluating mutual funds for investment depends a lot on your income, strategy, and goals, but here’s a quick ...

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OptionsHouse is a popular online discount brokerage house.  It also offers a virtual trading platform that allows you to practice and learn about investing in a risk-free environment.  The virtual platform looks and functions just like the real OptionsHouse platform.  Virtual trading allows potential investors to test out strategies and learn the basics of investing.  You can place virtual orders, monitor virtual stock performance, and use the tools, charts, and news features to perform research.  These features function the same as if you were using the real OptionsHouse trading platform.  To open a virtual account, go to OptionsHouse.com ...

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One of the many benefits of running Dough Roller for the past four years is that the articles act like a diary for me. It’s fun to go back and look at older articles to see what was going on in the world or my life at the time. So today I ventured back into 2008 to look specifically for investing articles. It was ugly.

There was, What to do when the stock market crashes, which noted that as of October 2008, the S&P 500 was down more than 40%. And then this one, Be a Do-Nothing Investor in a Falling Market?, which included a Washington Post quote from an investing “professional” who said,

Now is not the time to drink the “buy and hold” investment strategy Kool-Aid. Be conservative, limit your risk–and sleep well knowing your investment principal is not going to continue to decline.

...

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