For many Americans, the last decade made a mess of their finances as your debt rose and your net worth fell. But regardless of your financial state — whether your finances have been wrecked by plummeting home prices or your income has remained stagnant — you can still develop strategies to actually create wealth.
A big debate was just settled in Congress this past week as both houses of Congress argued over the budget for the last 6 months of fiscal year 2012. Congress was able to avert a government shutdown by reaching a resolution at the last moment. Now Congress must turn it attention to a larger fight over the 2012 budget and whether or not to raise the debt ceiling. Let’s start by taking a look at exactly what the debt ceiling is and some of the ways that it can impact you.
Continuing in the whole theme of finding passive income investments, let’s take a look at another asset class that belongs in the portfolio of all investors. This asset class typically performs well when stocks are performing poorly. While blue chips stocks are a winner for dividend investing, bonds offer more price stability and a guaranteed rate of return. Let’s take a look at investment grade corporate bonds.