Wednesday, October 3, 2007

The old “When I have time…”

Back to my friend Patrick and what to do with his extra savings…

Patrick told me that he would like to buy stocks. He’s really keen on this company that he has been working with lately. I’m not savvy enough to give him financial advice on a particular stock but I thought it was a great idea for him to open a trading account.

For example, if he opened an E*TRADE account not only can he make trades it also offers 4.15% interest on uninvested cash. That’s like a high interest savings account and investing account all in one shot. For Patrick it’s even better because he hates hassle.

When I told him about this he thought it was a good idea. Then he said he’ll look into it when he has more time.

It’s something I hear a lot. I felt like telling him….but, but if you invest that initial amount of time setting up you are all set. Even if it’s getting the higher interest rate account. That’s what passive income is all about right? So you don’t have to spend the time.