I was on the phone that very afternoon with one of my fellow financial writers and I was venting about this particular article. In the middle of full rant, Liz stops me and says, "Janine! These are the types of titles that get eyeballs, okay?!" Oh. Right. Sigh. Yes, I know. These are the sorts of catchy-in-your-face types of headlines that will attempt to induce folks to read.
However, what I have found in my clients is that most of them don't read the full article to see if the advice applies to them and they end up calling me and telling me how they have pulled money from their long-term savings vehicles and what gold mine should they invest in. (Truth! I lie to you not on this one. Actual phone call!)
My advice to you, frugal friend, is this. Read the articles. See if this advice really applies to your personal situation. Whatever you do, don't invest in gold mines or other such high-risk ventures unless you have money you don't mind losing. Sure you could hit it big, but you could lose it all too. You know what my grandpa used to call high-risk investmenting? Gambling. Don't gamble (a.k.a. high risk investing) until you have:
- 3-6 months of income saved
- IRA or 401(k) is maxed out
- 529 plans for kids' educations maxed out
That way if you lose all of your investment that is high risk you don't lose the house too. Make sense? Personally, I wouldn't advise ever going the high-risk investing route. I'm too conservative for that. My husband and I work way, way too hard for our money to gamble it. However, if that is your thing...go ahead, just be smart about it. End of lecture. I'll get off my soap box now. Thank you for listening.