Category Archive : Finance

Six Free Tools that Can Help you in Managing Your Money

Money management is missing from the school syllabus. Thus, consumers mostly learn money management from their parents or on their own. You might even consider hiring a financial advisor that will help you in managing your money. However, you should first check free money management tools before hiring a financial advisor. These online tools are user-friendly and they will help you in tracking your spending. You can also use these tools for creating your financial budget and analyzing your financial decisions. In this article, we are going to talk about the best money management tools available in the market.

1. Mint.com

Mint is a free budgeting tool that will help you in tracking every aspect of your finances. It will act as a centralized location where you can check your credit cards and bank accost. Mint is one of the best money management tools available in the market. It will provide you charts and graphs that will help you in reviewing your financial situation. Sometimes, it is very hard to review your financial situation by looking at numbers. Thus, the Mint will convert all the data into graphs and charts. This app will automatically categorize your cash flow and spending. It will suggest methods that will help you in saving your money. The only disadvantage of Mint is that you need to sync important information like card numbers and bank accounts. This app is completely secure and they will protect your data by encrypting it. 

2. Yodlee.com

Yodlee is also providing various money management services for free. You can use this tool for tracking your investments and accounts. This tool will also help you in creating your budget. You can use it for tracking your real estate value and spending.

 3. Check.me

It is very difficult to keep track of all your statements, financial documents, and bills. This tool will help you in solving this problem. It is very similar to Mint and you need to link your accounts with this tool. This tool will automatically remind you about pending bills. You can also schedule your payments for the future. It will also alert you if you have very few funds in your account. This app will ensure that you are always organized. Thus, you can use this app for avoiding overdraft charges and late fees.

4. Smartypig.com

If you want to track multiple saving goals, then Smarty Pig is the perfect tool for you. You can open free online savings account on this site. Smarty pig will provide you free savings account that you can use for reaching your savings goal. These accounts are different from the traditional bank accounts as they are fee-free. You need to deposit $25 while creating this free account. After that, you can link your main account with the Smarty Pig account.

 5. AnnualCreditReport.com

Every customer can get one credit report for free every year. You should review your yearly credit report. This will help you in finding potential lenders. You can fix errors on your report. Also, this tool will suggest you various tips that will help you in improving your credit profile. If you have a good credit profile, then you can easily get new credit cards and loans. 6. BudgetPulse.com

This tool will offer you a simple budget system. You can use this site for monitoring your savings and spending. Budget Pulse will also allow you to track finances in different currencies. This feature is very useful for frequent travelers. 

Conclusion

All the tools mentioned in this list are completely free. Thus, you should try out them and find the best tool for your needs. These tools will help you in managing your money. You can use these tools for getting a hold of your finances without ever hiring a financial expert.

How to Stabilize Your Financial Condition During the COVID-19 Crisis

The COVID-19 pandemic is hitting the economic landscape very hard. Governments had at one point, implemented lockdown measures for protecting the health of their citizens. But, this is affecting the global economy. We may enter a global economic recession due to this pandemic. Recession is also going to impact the stock markets. Thousands of businesses will shut down due to the reason and millions of people will lose their jobs. Many experts think that this recession is going to be longer when compared to the 2008 recession. 

You can make some wise moves for stabilizing your finances. Most countries have already flattened the curve of the coronavirus pandemic. You should pay all the high-interest debt for reducing some financial pressure. The lockdown period is the best time to rebalance your investment portfolio. In this article, we are going to share some tips that will help you in achieving your financial goals.

1. Maintain your emergency funds:

You should focus on boosting your emergency funds. Make sure that you have reversed some pool of cash. This cash will help you in affording necessities during the economic downturn. The global economy might enter into a recession due to this pandemic. Thus, you should focus on boosting your emergency funds first.

 2. Strict Budgeting Measures:

You need to free up your money for affording necessities during an economic recession. Thus, you should exercise strict budgeting measures during an economic downturn. Many people are already working from their home so they don’t need to worry about transportation costs. You should cut down all the non-essential spending during this economic downturn.

3. Give more priority to health insurance:

You shouldn’t compromise on insurance protection during this pandemic. If you have already taken some long term plan, then you should pay its premium on time. This plan will eventually help you during tough times. Also, make sure that you have medical insurance. This will help you in paying the COVID-19 medical bills.

 4. Don’t discontinue your important investments:

Investments are very important for your portfolio. They will help you in achieving your life goals. However, every life goal has a different value. You should try to manage your important investments. If you want to raise some cash, then you should discontinue your bad investments. You can also pause some of your investments like mutual fund SIPs.

 5. Avoid panic selling:

The global market was crashing very fast in May. However, the market is now stabilizing with time. Many investors are feeling uneasy due to the current pandemic. Your portfolio might tumble due to this pandemic. Thus, you might think that it is a good time to sell all your stocks. This is the worst choice that you can make during this pandemic. If you are selling your equities at a very low price, then you will lose a lot of money. The value of stocks will return to their normal value after this pandemic is over. The global market is already healing with time. If you are selling shares, then you will only increase your losses. You should hold your shares until the pandemic is over. 

Conclusion 

The Coronavirus pandemic has shaken the global economy. Unemployment is rising due to this pandemic. The stock market has fallen due to this pandemic. Thus, investors have already lost a lot of money. Millions of businesses are been closed due to loss of demand. Everyone is worried about their finances. The tips mentioned in this article will help you in stabilizing your financial condition. You can take these small steps for managing your financial condition. This pandemic will eventually end and life will return to normalcy. 

How to Protect Your Mutual Funds From a Financial Crisis

Many investors are still recovering from the 2008 stock market crash. The economy was growing very fast before the coronavirus pandemic. Investors were already looking for methods to protect their investment portfolios. They want to protect their portfolio from the next financial crisis which might come after the coronavirus pandemic. Mutual funds have very limited exposure to the global market. There are various methods to protect your mutual funds from the next financial crisis. In this article, we are going to talk about the key strategies that you can use for protecting your mutual funds.1. Go for Bond Funds 

Bonds are considered to be the safest investment. You will always get some interest payments every year. If you want to protect your mutual funds from the economic turmoil, then you should invest in government-issued bonds. These bonds are safer when compared to corporate bonds. The stock market might crash due to the pandemic. But, the U.S government is never going to declare bankruptcy.

You can also protect your funds from an America crash. Investors should look for bond funds that are issued by stable foreign governments. The U.S economy will also have some effect on other nation’s economies. However, it can’t completely destroy the economy of other first-world counties. 

2. Avoid Leveraged Funds 

The leveraged funds were the main reason behind the 2008 crisis. You can use these funds for generating some quick profits. However, these funds are also riskier when compared to other bonds. If you want to remove unnecessary risk, then you should get rid of leverage funds.

3. Reduce Risk

Money market funds are the most stable type of mutual funds. These funds are short-term debts that are issued by the government. Sometimes large corporations can also issue short-term debts. Thus, the risk of default is very low on these funds. You will get only limited returns on these funds. Money market funds are not going to help you in building serious wealth. However, you don’t need to worry about losing this money.

4. Check foreign bonds

You should also invest in good foreign corporate stocks. There are many good foreign bonds that will help you in earning good returns. This will also help you in limiting your risk. The foreign stocks will actually gain value if the American market crashes. Thus, you can limit your risk by investing in both American government bonds and foreign government bonds.

5. Spread the Risk 

The best thing about mutual funds is that it will increase the degree of diversification. You don’t need to worry about diversifying your funds. However, you should even protect your fund investments by investing in different types of funds. You should invest in both long-term and short-term bonds.

  6. Noncyclical Funds 

Most people think that the stock market is the riskiest investment. You can lose all of your investment during a global recession. However, there are still some stocks that you can invest in during a recession. These stocks are known as noncyclical stocks. They are more stable when compared to other stocks because the companies are providing essential goods and services. The best example of this is the utility sector. People will always need electricity, water, and gas. Also, you can consider tobacco and alcohol as an important commodity as they remain strong during an economic recession. Customers will spend money on these products even if the economy is down.

Conclusion

We might face a financial crisis after this coronavirus pandemic. However, the U.S. economy won’t stay down for a long time. The USA market has always thrived after a recession. You should use the tips mentioned in this article for protecting your mutual funds. Also, the best way to protect our mutual funds is by letting the economic storm pass.