Carnival of Passive Investing #12 - November 2011 Edition Now Live at Stock Market Basics

Monday, December 5, 2011

Carnival of Passive Investing #12 - November 2011 Edition Now Live at Stock Market Basics

The 12th (November) edition of the Carnival of Passive Investing is now live on Stock Market Basics at the link below. This was Stock Market Basics' 2nd time hosting this carnival, and it's great to have dependable hosts like this to rely on with this carnival!

Carnival of Passive Investing # 12 - November 2011

Thanks to everyone for participating. Congrats to this month's top 3 picks (shown below)!
1. Ken Faulkenberry presents 3 Types of Investors – Which Type Are You? posted at AAAMP Blog. I see 3 main types of investors today; each with their own characteristics and results 
2. Ken Faulkenberry presents Five Benefits of Always Reinvesting Dividends posted at AAAMP Blog. Dividend reinvestment enhances the benefits of dividend investing. Instead of taking a dividend in cash, an investor can choose to reinvest dividends and receive additional shares of stock. Here are 5 benefits of reinvesting dividends
3. Bob presents The Cost Of Delaying Your Financial Plan posted at ChristianPF. We have all heard that “time is money,” but have you ever stopped to think about just how much your own procrastination is costing you? Here are some typical thought processes . . .


Each month, there seems to continue to be quite a bit of confusion about what constitutes passive investing and what DOES NOT (i.e. - which posts will be included in the carnival or screened out). There's really nothing wrong with this confusion, as indeed, one of the original goals of this Carnival was to help spread the word about this specific niche of investing styles. As such, we want to make sure that everyone knows what passive investing is in order to keep the articles published in the editions of The Carnival of Passive Investing focused.

Overall, passive investing involves the use of passively managed (not actively managed - so avoiding individual stock buying/selling) investing instruments, such as index ETFs or mutual funds, in order to invest with the market. By using this method and avoiding individual stock selection, we are able to beat 70% or more of the investing "professionals" out there.

Examples of passive investing include asset allocation, index investing, ETFs, portfolio rebalancing due to market fluctuations, asset class evaluation, controlling investor emotions, strategies for adding new funds to your investment portfolio (dollar cost/value averaging), etc. Passive investing does NOT include INDIVIDUAL STOCK PICKING (even if they are dividend stocks), CREATING PASSIVE INCOME, OR MARKET TIMING. A definition of passive investing can be found here as well. 


Thanks to our participants and host, John from Stock Market Basics! Boomer & Echo will be our host of the next (December 2011 - # 13) edition, scheduled to go live on January 2nd, 2012. This will mark the last Carnival of Passive Investing in 2011, and my my, what a great year it has been! I look forward to continuing organizing The Carnival in 2012 once again! Be sure to get your articles in now (see instructions below)!

Since Blog Carnival has ONCE AGAIN started to not work at all recently (most everyone that I know has had technical difficulties), you can use the Blog Carnival Workaround submission form that Canadian Finance Blog developed by clicking here. Just remember to scroll down the drop-down menu until you see "The Carnival of Passive Investing" before clicking, "submit."

Also, I am now beginning to put together the hosting schedule for 2012 since the 2011 is coming to a close. Currently, all months minus January and March (this carnival is only monthly) are open, so if you'd be interested in hosting, take a look at the hosting schedule and then send me an email to get on the schedule.