Investing made easy


No degree in finance necessary.
I’m hoping the format of my post will hold up. It seems to vary between my tablet and phone….

Modified from advice from Dave Ramsey and my own life experience:

1. Stop any current 401k contribution and Pay off your #$% debt
(except house)- was I clear about that?

DEBT FREE? Now you’re ready…
2. Just do it (I will tell you how)
3. Stay away from bonds
4. Do not panic when the market “crashes” (it recovers, it always does)
5. Do not become a day trader (there is no need for you to do this unless you have play money or are Carmella Soprano)
6. No single stocks. Only Mutual funds. Unless #5 is true

Here’s how:
1. Create your “portfolio” or “group of investments” to be 25% of each of these kinds of mutual funds:
25% Growth and Income
25% Growth
25% Agressive Growth
25% International

What the heck are those?

1. 25% Growth and Income: Mutual funds of Big, boring stable companies

   AKA “Blue Chips”, “Dividend Income, Pays dividends (which you reinvest)
   Examples of companies: IBM, ExxonMobil, Chevron, Procter and Gamble, 3M, Johnson and Johnson
   Look for names like “Blue Chip Index” or ” Dividend fund”
   Examples of Fund names: Vanguard Growth and Income, TRowe Blue Chip Growth, American Century G&I
   Where to buy? Chances are you have a 401k at work. Find out who manages your 401k funds like UBS, Charles
    Schwab, American Century, T Rowe or Vanguard.
    CALL THEM (They have always been nice and have the heart of a teacher).
    Say “which of the funds can I choose from that is most like a Blue Chip fund? I want my portfolio to be 25% that.”

2. 25% Growth Mutual Funds of Medium or large US companies that are still growing

    AKA “Mid-Cap”, “Large-Cap”, “Equity” or “Growth”
    Examples of companies: Whole Foods, Carmax, WalMart, Microsoft, GE
    Look for names like “Mid Cap Growth Fund” or “Large Cap Index”
    Examples of these funds: Vanguard Mid-Cap, Vanguard US Growth, Amer Century Mid cap Value
    CALL your 401k managing company and Say “What fund(s) do we have that are Mid and Large Cap? I want 12.5% of               the Mid and 12.5% of the Large.”

3. 25% Aggressive Growth Mutual Funds of really wild, rollercoaster funds
     AKA “Small Cap” or some “Mid Cap” or ” Emerging Markets”
     Examples of companies: Express, NeuStar, China Mobile, Tencent Holdings Ltd.
     Look for names like “Emerging Markets” or “Small Cap Fund”
     Examples of Fund Names: Vanguard Mid-cap Growth, TRowe Mid Cap Value, Amer Century Small Cap Growth

     CALL your 401k managing company and Say ” What fund(s) do we have that are Small Cap or Emerging Markets? I
     want 12.5% of the Small and 12.5% of the Emerging.”

4. 25% International Mutual Funds– anywhere except your country (non US, non-Canadian..)
      AKA International (NOT Global or World Funds- those have US mixed in)
      Examples of companies: Amara Raja Batteries Ltd., Nsaper’s of South Africa, Novo Nordisk of Denmark
      These ARE NOT foreign currencies- DO NOT DO THOSE
      Examples of Fund names: Vanguard International Growth, TRowe Emerging Markets,

So there it is in plain English.
I used websites of the funds easiest to navigate on my phone.
I don’t use Vanguard yet but do love how easily things are to find and that the funds are named in Ramseyese.

Disclaimer- I am not a stock broker or official financial planner. I can only share what has worked for me.
Get out of debt and stay out.
Live below your means.

Image by Idea go at


8 thoughts on “Investing made easy

  1. Thank you, so do you think at,age 59 with 8000 on debt. And is small 401 from work suggest stop the 401 still?? Thank

    1. Yes, I would stop the investing aside from any match and get that mess cleaned up. Otherwise, you are juggling squirrels.
      Don’t give up, you can do this.

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