The One Awesome, Automatic Boost You Could Be Giving Your Investments
Show of (virtual) hands, folks: how many of you are takingadvantage of recurring transfers into your TradeKing account? Whether your goalis to boost long-term retirement savings, increase available trading capital,or build up an emergency fund, recurring transfers are hands-down the best wayto help yourself achieve your goals.I was reminded of this simple, yet super-important tip whenreading this article, One Bullet-Proof Way to BoostRetirement Savingsby Forbes contributor John Wasik.It’s so easy to overlook the power of automating your financial goals. But youcan do your future self a solid by taking care of this task now.Here’show to set up a recurring transfer in your TradeKing account. Login, then go toMy Accounts > TransferFunds > Deposit Funds. Set the amount you want to transfer as well as thefrequency. If you’re worried about missing the money, start with a smallamount. Anything is better than nothing, and you’ll likely be pleasantlysurprised at how little you miss the money – and how rapidly your savingsmount. Not convinced? Check out this cool tool from the New York Times, The 1% More Savings Calculator. You’ll be amazed at how incremental boosts inyour savings rates can produce a long-term positive impact. You’re just easing yourselfinto smarter financial habits.Automatedsavings offers another advantage to investors. It’s called“dollar-cost-averaging”, a fancy term for a simple concept. Rather than pickingthe optimal times to invest in the market – a nearly-impossible goal – yousimply invest regularly. Yes, some months the market will go down and take thevalue of your savings with it. Other months, the markets may go up or stayflat. Averaging out your regular investments over time, though, you’ll findthat recurring investments tend to produce a more favorable cost-basis trendthan one-off investments you attempt to time perfectly.What are you waiting for? Set up that recurring transfertoday!Be Good,Don MontanaroCEO, TradeKing Groupwww.tradeking.com
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[image: robot by Patrick Lentz on Flickr]
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