Neville's Financial Blog

I set a goal for 2-28-2005 to have made $3,500 since January 1st 2005. The goal was not met. So far I have only made $1,942 since January 1st, that isn't good enough.

I have a new goal coming up set for 3-15-2005 which looks like a challenge, especially since I have only 15 days left to accomplish it. It states "Have a third, steady, side income." I currently have my online business and my job as steady sources of income. I will not count web design and other small projects as a steady source of income. 15 days to come out with a new business that brings in good profits month after month, can I meet the goal?

As for the February goal of making $3,500, it was made to keep me on course to making $11,000 by 4-31-2005. At the rate I am going I will only make half of that.

I'm still a full time student right now, but that is no excuse not to meet these monetary goals! Taking a look back to see why I didn't reach that goal I noticed a few things:

• I didn't fully exploit the money making power of Resumite.com
• Didn't set up a 3rd, steady income. My current online business and job put together cannot make much more than they already are.
• No shorter term stock trades. I do not claim profit on a stock unless I sell it. All my current holdings are long term. My last goals were met through big gains in stock.

On the other hand, I have another article in the Daily Texan, this time on personal finance and savings for college students. I will post the link tommorrow.

Labels: Financial

I am currently writing an article for The Daily Texan on how college students should save. The article will highlight :

• The power of compound interest and its ability to turn a small savings into a huge one over time.
• Different types of savings accounts college students can open.
• How much money should be put away per year. I am doing my calculations based on a person putting away $3,000 per year.
• How to put away $3,000 a year. This section will inform people that only $8.21 needs to be saved everyday to add up to $3,000.

The article will be running this Tuesday, pressing my schedule a bit. This will be especially hard since I have several tests and papers due this week.

On the more financial side, I have opened up another Bank of America account for paying bills. I've deposited $300 into the account, and will add to it every week. This account will grow till I graduate, then I will split it up into several different accounts for different bills (car bill, house bills etc.) at that time.

On an unrelated note, a family friend that lives right next to me just bought a Lamborghini Gallardo. He starts small businesses (like storage facilties, car washes etc.) and sells them. He also owns many rental properties and apartments. With a little persuasion and lots of begging, I may even get to drive it!!

Labels: Personal

Every so often I like to list a few business ideas I write down. Some of these ideas can actually be pretty big money makers if properly carried through with. Feel free to comment. Enjoy!

1.) Color Changing Urinal. A urinal that changes color when it comes in contact with "liquid." C'mon guys, how cool would it be to relieve yourself and draw a picture in the urinal at the same time! When you flush, the "drawing" would be erased. A fish tank urinal would also be pretty neat, and might even get some press coverage.

2.) Legal Street Racing. Around my house, people from all walks of life meet every weekend on an industrial road which is slightly longer than a 1/4 mile long. Some states have found that people will race no matter what, so they legalized it in certain areas. The racers only need a helmet to participate. This way the racers are happy and the authorities are happy they are away from street traffic. If you could legalize an operation like this in your area, you could easily sell all sorts of concession snacks and beverages every weekend. An easier idea would be to find the places racers meet, and sell chips, cokes etc. out of the back of a truck.

3.) Urinal TV Advertising. Once he is at a urinal, you have a mans' absolute, undivided attention. When a patron approches the urinal, a 20-30 second TV advertisement can play right in front of his face. This is actually a really good idea. Don't ask me why I have so many urinal ideas!

4.) Solar Power. In Austin they have started a program that allows residential homes to recieve up to a $5,000 check per year simply for having a solar system on your home (that generates a certain amount of power). You could offer free installation of solar panels on homes in exchange for these yearly checks. A lot of people would jump at the chance for "absolutely free" solar panels, especially in green-place like Austin. Outfitting a home with a solar panel system generally costs $15,000 - $20,000. For commerical buildings, the city writes checks of up to $100,000 per year. Looking out at my aparment complex, putting solar panels on each roof would be discreet and bring in 100 grand per year, plus save the complex tons of money. This was an idea I was pretty involved with for a while. The solar industry is becoming huge in the United States, take advantage of it!

Labels: business ideas

One area I have always been interested in is real estate. I have some experience, and plan to make a purchase soon.

For any of you interested in buying/selling houses, a great place to start is:
Shaun's Real Estate Adventures

I've been reading his blog for a while now and really enjoy it. He also has some great articles on how to get started.

As things start to gain speed at school and I have more and more non-academic projects to attend to, I sometimes feel like there are not enough hours in the day.

If I kept a minute-by-minute log of my daily activities, I can see there are enough hours in the day, I just don’t use them efficiently.

At a few points throughout the day I notice large time wasting periods. I’ve found a huge factor in my laziness during these times is food. If I am very full, not much gets accomplished. I work at night some days, so sometimes dinner starts cooking around 1:00am, while other times I eat at a more regular 7:30pm. My dinner is usually very heavy, as I often don’t get much time to eat lunch on campus, so I get tired after dinner and laze around. I currently don’t have a roommate for the next few weeks, therefore I have no one to make me feel self-conscious of my laziness.

The time I spend on campus is always more productive, but I can’t spend whole days there without spending a fortune on eating out. I enjoy being at my apartment, but I just don’t get a whole lot done there.

My workout times are sporadic also. Sometimes I go to the gym at 3:00pm while other times I start working out after work, at midnight till 1:00am. For now, moving closer to campus is not an option. I am only 4 miles away, but rush hour traffic (5-6:30pm) through downtown Austin makes that 4 mile bus ride an hour long.

I need to start regulating my eating times and scheduling a routine workout time. This would help me have more energy and 'pep' during the day. If I could properly utilize the time spent at my apartment after meals etc, I would get twice as much work done in a day!

Labels: Productivity

My portfolio is currently valued at $9,217 with Dynegy (DYN) and Syntel (SYNT) up today, but Fortune Brands (FO) slipped.

The amount of my money invested is $8,550, so I am currently at a 7.8% gain in my portfolio. Not bad, not great, but better than what I would get in a bank account! All of these stocks except Syntel are longterm, so I'm not going to draw any profits or cut any losses in the near future.

Labels: Financial

My 2-28-2005 goal of making $3,500 was made in order to meet my 4-30-2005 goal of making $11,000. Unless I come up with two grand in the next 6 days, it looks like I won't meet it.

I've said it before, and I'll say it again: I need more income! I realize I have school which keeps me extremely busy, but I need to form another steady stream of income that is very low maintenance like my current online business. It brings in between $500 and $1,000 per month with less than 20 minutes of maintenance per day.

Resumite.com is my other potential income stream, but takes a large time investment. Even with all the craziness of school I must still dedicate some more time to opening side businesses like in the past to meet my $11,000 goal!

Lots of money yet low maintenance...seems too perfect, but it's possible. I need to keep thinking!

Labels: Financial, Goals

'twas a crazy weekend with lots of friends, food and fun....but highly unproductive!

Next week from beginning till the end will be extremely hectic and busy, the way I like it. Dynegy and Syntel report quarterly earnings this coming week which should shake up the portfolio, and a sleu of school assignments will help keep me busy in the meantime.

I made an Ebay sale which netted $100. This money will go 20% to spending account, 40% to investment account and 40% to permanent savings. My permanent savings account is getting ready to hit the $6,000 mark, and I am worried I might try to touch it. I don't trust myself with that cash laying around, especially since I am graduating soon and will be in need of lots of it! Because of this I need to quickly open an IRA account. Recommendations?

My next published article will be on savings for college students. A common problem many college students face is spending their savings, or worse, not saving at all. I will be researching all sorts of different savings accounts for this article. It will be a challenge to make IRA's interesting and understandable, but I think I can pull it off!

Labels: Financial

I've recently got the opportunity to help a real estate developer sell 20-30 newly rennovated condos. Talk about getting a quick education in real estate!

This opportunity is perfect, as I plan to own real estate in the future. I will be on the marketing side of the operation and have several plans including: blanketing the area with flyers and signs, put up Ebay real estate listings, create a website and notify local businesses.

If anyone has had success in selling real estate, drop me some tips!

How do you make a million dollars in the stock market?
...
....
.....
......
.......
Start with two million!!

Here are two of my favorite Starbucks Liquor Recipes:


Basic Starbucks Liquor Drink:
Ingredients: Starbucks Liquor and Milk.
Equipment: Shaker, shot glass, pouring glass.

--Step 1--
Get your supplies: Starbucks Liquor, milk, ice and a shaker. You will also need a shot glass and a pouring glass.


--Step 2--
Mix 1 part milk and 1 part Starbucks Liquor into a shaker. Add ice and shake.




--Step 3--
Slowly pour into glass.



--Step 4--
Enjoy!




Starbucks Liquor Frappuccino
Ingredients: Starbucks Liquor, Milk, Ice.
Equipment: Blender, shot glass, pouring glass.

--Step 1--
Put a handful of ice into the blender.



--Step 2--
Pour 2 parts Starbucks Liquor and 1 part milk in to the ice-filled blender.




--Step 3--
Blend until ice is broken up and blended.



--Step 4--
Pour into glass.



--Step 5--
Enjoy or decorate! You can add whipped cream, caramel or chocolate like Starbucks does. I chose to add some chocolate syrup in the shape of an "N"


Enjoy your drink!
-Nev

Starbucks Liquor Starbucks Liquor Recipies Starbucks Liquor Recipe Starbucks Coffee Liquor Starbucks Coffee Liquor Recipe Starbucks Coffee Liquor Recipes Starbucks Starbucks Liquer Starbucks Liquer Recipe............Original Starbucks Post

The portfolio was up $105 today for a total of $9,234, bolstered mainly by some action in Dynegy (DYN). Their quarterly earnings will be coming soon, hopefully the reaction will be positive this time around!


I had another article published today in the Daily Texan newspaper, this time on young entrepreneurs. The article focuses on two entrepeneurial students at UT, the organization Texas Entrepreneurs, an entrepreneurial band and the founded of Alamo Drafthouse.

Labels: Blogging

I read this article in CNN about bloggers losing their jobs because they maintained blogs.

If you maintain a blog, leave your work out of it. Just a heads up for anyone with a job and blog!

Labels: Blogging

I will have spent 15 hours on campus today (Class + editing + work) with nothing to eat (I somehow forgot my wallet), and it's days like these that make me lose focus of creating new business ideas. I need to make sure and still devote a little time everyday to finding new sources of income.

Today was very busy, some noteworthy points of the day:

--I woke up very sick, but I don't let sickness slow me down. I sometimes work harder just to prove to myself I can beat the sickness. If I completely ignore the fact that I am coughing, sneezing and feel terrible...I do just fine.

--I have another article in the Daily Texan being published tommorrow. The topic will be Austin Entrepreneurs. I interviewed various UT students and organizations, and the founder of Alamo Drafthouse for the article. Spent a good amount of time writing and editing it today.

--My stock portfolio is up, with some earnings reports rolling around next week which should spice things up. The value of the portfolio was $9,129 at the end of the day.

--I saw a Mercedes CL 55 AMG sitting in a parking lot by my last class of the day. I had to stop and stare in awe. I love cars.

--Found out Texas Entrepreneurs will be doing an "Alamo Apprentice." TE will be splitting up into groups and actually running the Downtown Alamo Drafthouse. The owner of the entire chain, Tim League will be acting as The Donald and firing people as necessary! Part of the revenue we collect will be donated to our organization. As part of the Texas Entrepreneurs I am really looking forward to this!

Although my earliest class is at 11:00am, I wake up every morning at 8:00am to watch the market opening at 8:30am. The previous night I highlight some stocks that will be reporting earnnings the next morning, then track their status when the market opens.

I do this because I am trying to get a feel for the market through different economies. By the time I am 30 I will have about 11 years of experience. From what I understand, you can have 50 years of experience and the market will still surprise you everyday. I guess that's why it's so fun!

Today was somewhat financially unproductive. I really need to increase my income to meet my goal of making $11,000 by 4-31-2004. So far my income has only been from my online business and working. I most likely won't be claiming too much money in stock as I am mostly holding long-term positions (Unless Syntel (SYNT) surprises me!)

Next week I am visiting the Morgan Stanley office in Austin, and on Thursday the University Investors Assocation has Blue Sage Capital speaking to us. I will also be publishing another article in the Daily Texan about entrepreneuring very soon.

As for now, it's time to go out and have some fun in Austin!

Labels: Financial

Three days ago I had $138 in my spending account, now I have $44! Since it's my last semester here at UT, I have been going out to nicer places in Austin which also tend to cost more. I used to survive on $60 a month!

I believe in spending money, it drives the economy, but I also believe in spending within your means. Any money you bring in should first be subjected to a swipe off the top which goes straight to your savings, the rest you can spend.

My personal system for distributing income is currently:

• %40 - Permanent Savings
• %40 - Investment Account
• %20 - Spending Account

With Bank of America I have automatic transfers that put the following amounts in my accounts each week:

• Spending Account - $10
• Investment Account - $60
• Permanent Savings - $40

This all adds up to a decent amount of money every month, but it won't be near enough for the real world in a few months! I will be opening up two more accounts very soon, so I need to redistribute my incoming money plan.

Labels: Financial

Also, The Kirk Report mentioned me here today. Part of my article on business blogging features the The Kirk Report. As for now, I have to go to a Texas Entrepreneurs ice breaker in Downtown. Ciao!

Today an article I wrote on Business Blogging was published in the Daily Texan, the largest campus newspaper in the nation.

I'd like to thank Murray from Capital Ideas and Charles Kirk from The Kirk Report for their interviews. Capital Ideas was featured in the Personal Finance Blog section, and The Kirk Report (my personal favorite) was featured in the Stock Blog section.

The article was in the Focus section, highlighting the benefits of reading or maintaing a blog for financial purposes. The whole process of writing the article was extremely educational thanks to the staff at the Daily Texan, especially the Focus editor Jonathan McNamara.

Click here to see the article!

Labels: Personal

At several recent meetings I noticed some common business etiquette mistakes people make. These are a few tips I have for everyone out there:

Tip #1 : Wear nametags on your right side. Since most people shake your right hand, it is easier for people to covertly scan for your name if positioned on the right.

Tip #2 : Remember names. It looks bad on your part to repeatedly ask for a name when you have met the person over and over again. Still having trouble? Try using the their name three times during a conversation. Once when you first meet them, once during the conversation and once when you both depart.

Tip #3 : Carry business cards, everywhere. If you are still writing your phone number on used paper napkins, get some business cards made. VistaPrint.com is a great place to start. Whipping out a simple business card with your name, phone number and email looks oh-so professional.

Since I am graduating soon, I will be hit up for cash in different places when I move and start making car payments.

I need to start new accounts for car payments and general expenses. I already have 6 accounts at Bank of America, and I have never once had a single problem or unpleasant experience with them. I have been blown away at their level of customer service and I really love their online banking system.

In addition to opening up these two accounts, I am looking at acquiring some of the Bank of America (BAC) stock within the next few months. Great company and a great stock!

I am a shallow person. I fell in love with this stock based purely on looks. Only after getting to know her better did I find out that she is more than just a pretty chart, she has substance. Her name is NWSB.

Run some of your own longterm charts for Northwest Bancorp and you will see what I mean. Also take a quick glance at the financials. I like how this company has been quitely growing and not getting too much media attnetion just yet.

I am looking to make another longterm stock acquisition soon, and NWSB looks like a great buy right now.

There were lots of festivities and fun this weekend and I am ready to start a new week!

I went to the largest Brazilian Mardi Gras party outside of Brazil, and found a great money making opportunity: Scalping. There were literally hundreds of people dressed up and ready to get inside, but had no tickets. We bought ours from a scalper and paid double what they cost. Immediately we had people offering us double what WE paid for them! Obviously, you know I will be making some extra cash next year :)

Speaking of festivities...
A regular practice of mine is trying to get pizza on 6th Street for cheap as possible. After the bars let out at 2:00 am, everyone crowds the hot dog, bratwurst and pizza stands. Since these are generally independently run operations, I always haggle and get pizza for a lower price. Some people call this being cheap (which I am), but I see it as more of a challenge or game. My personal best is getting 3 slices of pizza for $3.00. That particular establishment charges $2.50 per slice. I deserve a trophy!

Labels: Financial

I got a small blurb on the side of the page linking to NevBlog.com!

Check it out!

Labels: Personal

Usually when people ask me what I want to do after I graduate I say :

"I would like to work for a large investment firm where I can really sink my teeth into the market. After two or three years of working I'd like to get my MBA."

This response generally will satisfy most people. I used to reply with my real aspirations, but saying it to someone who believes a corporate paycheck is the only way to go is futile.

If I tell you my real aspirations, it generally would go something like:

"I would like to simultaneously work and create investments
after college. By this I mean working during the day, and becoming a superhero entrepreneur by night. By 11-17-2012, my 30th birthday, I plan to have established Enwon Inc into a conglomerate company drawing income from 5 different sources in preferably different industries. These would most likely include the liquor industry, money management in stock, 2 inventions in the consumer products area and real estate."

At the rate I'm going, I don't think this is an unrealistic vision by any means. I have dabbled if not dived into everything named above (I don't post some ventures for confidentiality purposes). My idol company is Fortune Brands, whose stock I own and love.

Obviously some people give me an awkward look and dissenting opinion when I tell them my true aspirations, but I have 8 years to prove them wrong!

Labels: Personal

Today was another meeting with the University Investors Association, and the guest speaker was William Parrott of Morgan Stanley. He is head of the entire Austin branch of Morgan Stanley which has recently moved to a brand new state-of-the-art facility in downtown Austin.

He is leaving town for a week, but when he comes back I am scheduled to go meet him at the beautiful Frost Bank Tower where Morgan Stanley is located and take a tour. I'm excited to see this place!

I wake up every morning before 8:30 am to catch the opening of the market, it would be great to be around active money managers when this happens! If I am lucky, I might even get a shot at a job there!

I'd like to share a quote I recently heard:

"I've been miserable when poor, and I've been miserable when rich. Let me tell ya, it's a hell of a lot better being miserable when rich."

--Dave Liniger, Founder of RE/MAX

Labels: Quotes

Money Making Update:
For January, my online business made a total of $502

Labels: eCommerce, Financial, house of rave, Meeting CEO's

Today Dynegy (DYN) turned a profit for me. I bought this stock a few months ago and was soon riding a 25% gain, until they paid off debt which pulled from their bottom line. Since paying off debt is GOOD in the longrun, I held on.

Shorter term investors hated the news and dumped the stock. Ulitmately leaving me with a 16% loss.

You can see that Dynegy has been recovering from the announcement. I plan to hold Dynegy for a couple of years as natural gas will be a hot commodity soon.

I am back in the black with Dynegy, and hope to be for years to come!

Labels: Financial

Today I had the opportunity to hear Dave Liniger speak and meet him afterwards. He is the founder of the largest real estate company in the world, RE/MAX. He was an extremely motivating and interesting man who shows no signs of slowing down.

After dropping out of college and joining the military, he started buying small houses and selling them. By the time he was 21, he had sold 21 houses. From there on he had a successful career as a real estate agent for several large companies, then he founded RE/MAX.

He spoke of the many years of difficulty trying to start up the company and compete in the real estate market. Financial problems and death threats were the norm during the starting years, but once the company finally got on track, it soared. He also was very proud that RE/MAX was the only large real estate company who allowed women and minorities to become agents and upper management.

This is a bad picture for both of us, but here it is anyway!

Labels: Meeting CEO's

I am currently #1 in the University Investors Association Stock Competition.

This simulated $100,000 portfolio consists of $10,000 holdings in these ten companies:

RIO - COMPAN VALE DO RIO DOCE
SM - ST. MARY LAND & EXPLOR
DHI - D.R. HORTON INC
CCJ - CAMECO CORP
HDWR - HEADWATERS INC
PSYS - PSYCHIATRIC SOLUTIONS
VMSI - VENTANA MEDICAL SYSTEMS
GMR - GENERAL MARITIME CORP
ASFI - ASTA FUNDING INC
BXG - BLUEGREEN CORP

These picks come directly from The Kirk Report, and his top 15 investments for 2005 (I only used the top ten).

Anyone can get this fake $100,000 and invest for themselves at simulator.investopedia.com

Labels: Financial