We all know of many people that are forever dumping money into high risk investments trying to beat the market. Unfortunately, most people don’t even come close, due mainly because of the investors egos. Many people feel that they can time the markets (meaning get in and out at the right time).

The problem with this strategy is that people are emotional and have a hard time selling when a stock is up. Look at Nortel for example, near $800 in stock value fell and fell as low as $1. I’ll let you guess when the most people entered this stock and when most bailed.

There must be an easier way to get a high return without playing all the stock market games. Many people in the US have credit card debt. On the average most people carry a balance of $8000. With an average rate of 14.56%! Assuming no compounding, that’s $1165 per year that you’re losing. I challenge you to find another investment with that security and return! Think about it. Pay off the debt before you start throwing money in the stock market. When you have credit card debt with a high interest rate, your personal return is still 0 if you’re investing in stock (Your stock market return 11% your credit card interest rate 11%). Pay it off then invest.