Hub Blogs

Hub Blogs contains fresh contributions written by Financial Independence Hub staff or contributors that have not appeared elsewhere first, or have been modified or customized for the Hub by the original blogger. In contrast, Top Blogs shows links to the best external financial blogs around the world.

How Video Marketing can help achieve Financial Independence in the US/Canada

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Image Unsplash

By Andre Oentoro

Special to Financial Independence Hub

Financial independence is the state of supporting oneself and achieving financial goals without relying on others for income or financial assistance. In USA and Canada, managing finances gets more challenging since living costs are expensive.

Financial independence doesn’t only refer to individuals but also businesses. Some key aspects of financial freedom include debt management, financial stability, business ownership, risk management, and financial planning.

If you run a business, financial independence is necessary to ensure company growth, revenue, and long-lastingness. Video marketing is a good option to get financial independence in USA and Canada due to its unparalleled reach and effectiveness in engaging potential customers.

Here are some reasons video marketing is essential for achieving financial independence. Keep reading!

#1. Wider Audience Reach

The main reason YouTube and TikTok become major platforms today is that video is the king of content. We can’t deny that videos have become one of the most engaging forms of social media content today. 

They can deliver messages compellingly and reach a vast audience, allowing you to connect with potential customers, clients, or investors across the US and Canada. Nearly all social media platforms encourage users to create videos to grow their online presence.

#2. Boost Engagement and Conversion Rates

Videos offer a highly engaging and interactive medium to communicate your message. They combine visuals, audio, and storytelling elements, creating a more memorable and impactful experience for viewers. 

Engaging videos can captivate your target audience, generate interest, and encourage them to take desired actions, such as purchasing products or services. High-quality explainer videos, product demos, or customer reviews can effectively showcase the benefits of your product, resulting in higher conversion rates and revenue generation.

#3. Provide SEO advantages

Video content can positively impact your search engine optimization (SEO) efforts. Search engines increasingly prioritize video content in search results, allowing you to rank higher and attract more organic traffic to your website. 

Additionally, videos tend to increase engagement rates on your page, which is a good ranking factor for search engines. Optimize your videos by incorporating keyword-friendly titles, descriptions, tags, and hashtags. Also, add subtitles using video tools to make your videos available to anyone.

#4. Build Online Presence and Brand Awareness

Video marketing helps increase the visibility and brand awareness of your products, services, or personal brands. For example, you have a store of luxury shopping in Scottsdale, US. You can leverage video marketing to promote your luxury brands through online platforms. You can check your video marketing metrics and get valuable insights into your marketing efforts. Also, you can get some suggestions and recommendations to enhance and improve your content performance. Continue Reading…

Lean FIRE (as opposed to Fat Fire)

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By Alain Guillot

Special to Financial Independence Hub

I was told on Twitter that living on less than $24k per year is very frugal. Maybe it is, but I would like to explain how I live on less than $24K and I feel that I live like a king. 

(Editor’s Note: The Twitter discussion below followed Monday’s Hub post on by Myownadvisor blogger Mark Seed: Is Fat Fire realistic?)

First of all, my net worth right now is about $500,000. If we use the 4% rule, I should be able to withdraw $20,000K/year ($1,667/month) in perpetuity.  

How I live  

Map of Alain’s neighbourhood in Montreal

I live in one of the best neighborhoods in Montreal. It’s called “Le Plateau Mont Royal.” I have a beautiful park 10 minutes walking distance to the east, and another more beautiful park 10 minutes walking distance to the west, and I have the Old Port, 20 minutes walking distance to the south. 

 

 

Alain on Duluth Street

 

The street where I live is pedestrian only; it’s a cobblestone street.

Because I have been living in the same apartment for the past 12 years, my rent is low. $815/month. 

One of my small pleasures is to go downstairs, to a little park on the corner and drink a beer with my neighbors. (beer from the convenience store $2)

My apartment is what’s called a 3 ½. One bedroom, one living room, a kitchen, and a bathroom. I live on the second floor of a two floor building. 

 

 

The local supermarket

I do my groceries at a small family-owned supermarket where I have been shopping for 12 years and where I know the cashiers and the owners by first name basis. Because I follow a plant based diet, I eat 99% of the time fresh fruit and vegetables. My grocery bill hardly exceeds $10 per day ($300/month). I buy my fruits and vegetables daily. 

 

Continue Reading…

Achieve Financial Independence with a Franchise

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By Joel Bissitt

(Sponsored Post)

Are you looking for a smart and easy way to achieve financial independence?

Investing in a franchise may be the perfect solution. Franchises offer an established system with great potential for success and are a great way to get into the world of business ownership.

With the proper support, a franchise can help you reach your financial goals and provide a secure future for you and your family. This blog post will discuss why investing in a franchise is a great way to achieve financial independence.

The Benefits of Investing in a Franchise

Investing in a franchise is a smart way to achieve financial independence because it has many benefits. Firstly, you will have a low-risk, high-reward investment. Franchisors provide an established business model that has been proven to work. You also have access to resources and support from the franchisor, including training, marketing, and ongoing assistance. Building a resilient business with a proven track record increases your chances of success. Finding franchise opportunities is relatively easy, as many franchisors are actively looking for new investors.

●     Low-Risk, High-Reward Investment

Investing in a franchise is a low-risk, high-reward investment opportunity. Franchisees benefit from a proven business model, an established customer base, and ongoing support from the franchisor. The initial investment required to start a franchise may seem high, but the risk is significantly lower compared to starting a business from scratch.

●     Established Business Model

The established business model is one of the biggest advantages of investing in a franchise. This means the franchise has already figured out what works and what doesn’t, saving you the time, money, and effort required to establish a business from scratch. Franchisors have honed their processes and systems to create a winning formula that franchisees can easily replicate. This saves you time and effort and ensures that you start your business on a solid foundation with a proven track record of success.

●     Access to Resources and Support

Investing in a franchise comes with the unique advantage of accessing a network of resources and support. Franchisors provide extensive training and support to ensure franchisees have the necessary knowledge and skills to run their businesses effectively. Continue Reading…

My 5 picks for classic books on Financial Independence and Retirement

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A book discovery service called Shepherd.com has just published a multi-book review by me about my recommendations for some of the best all-time books on Financial Independence and Retirement. You can find the full review by clicking here. Shepherd.com is a year old; an alternative to older services like Goodreads, it helps readers and authors share and discover books in various genres.

Picking just five books is of course a tricky exercise and having seen this published late in July, I soon thought of several other books I might have included as well or instead, notably David Chilton’s classic The Wealthy Barber. But it’s safe to say that with more than 2 million copies sold, that would not exactly be a ground-breaking new recommendation.

Chilton of course created a monster with the genre of the financial novel: a hybrid that combines a story and characters with an overlay of enduring financial insights and strategies for achieving financial freedom. He has spawned many imitators, such as Robert Gignac’s Rich is a State of Mind and my own Findependence Day, which is also flagged in the Shepherd reviews.

For this exercise, however, I opted to go with straight non-fiction financial books. My thinking was what books influenced me in my own journey to Semi-Retirement and Financial Independence, or the so-called FIRE movement, for Financial Independence Retire Early.

Here are the 5 books I did pick: go to the original link to get my analysis and reasons for each pick. Below I offer just a line each but each explanation is closer to 400 words so be sure to click on the original Shepherd link to get the full take on each. The five titles below each include hypertext to the Shepherd book store where you can order directly.

1.)

Your Money or Your Life: 9 Steps to Transforming Your Relationship with Money and Achieving Financial Independence

By Vicki Robin & Joe Dominguez

Probably first for most other proponents of the FIRE (Financial Independence Retire Early) movement is this classic, subtitled Transforming Your Relationship with Money and Achieving Financial Independence.

 

 

 

2.)

Enough: True Measures of Money, Business, and Life

By John C. Bogle

The late Jack Bogle, founder of Vanguard Group, published this excellent book in 2009. To me, the title speaks for itself. The sooner you realize you have “enough,” the sooner you can quit the rat race.

 

 

 

 

3.)

How to Retire Happy, Wild, and Free: Retirement Wisdom That You Won’t Get from Your Financial Advisor

By Ernie J. Zelinski

Edmonton-based author Ernie Zelinski is probably best known for this self-published international bestseller and several others, all on the theme of escaping from full-time employment as soon as possible.

 

 

 

 

 

4.)

Pensionize Your Nest Egg: How to Use Product Allocation to Create a Guaranteed Income for Life

By Moshe A. Milevsky, Alexandra C. Macqueen

This book by the famed Finance professor and a certified financial planner caters to anxious would-be retirees who do not have the luxury of having an inflation-indexed, guaranteed-for-life Defined Benefit pension plan offered by an employer.

 

 

 

 

5.)

Work Optional: Retire Early the Non-Penny-Pinching Way

By Tanja Hester

The phrase “Work Optional” describes the state of being financially independent enough that you don’t have to work for money anymore, but nevertheless choose to for reasons like having a purpose, or structure. As the subtitle suggests, it’s about retiring early without having to be a miserly penny pincher.

The great migration to Cash: Money Market and Short-Term Fixed Income

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Image from Pixabay: Alexander Lesnitsky

By Matt Montemurro, CFA, MBA, BMO ETFs

(Sponsor Content)

One of the biggest trends in the market, thus far in 2023, has been the flurry of inflows ($AUM) into money market and short-term fixed income. We have seen a “great migration to cash” as investors are literally being paid, handsomely, to park cash on the sidelines. We are now 6 months through the year and flows into the short end do not seem to be slowing down. Thus far YTD, we have seen $5.7bln flow into money market and ultra short-term fixed income ETFs, accounting for over 50% of all flows into fixed income ETFs in 2023 (Source: NBCFM ETF).

Money Market and Ultra Short-Term Fixed Income:  after years of being a forgotten segment of the market, how and why are they the leading asset gatherer?

With the accelerated path of rising rates, we have seen in the short end of the yield curve; (the overnight rate) the yield curve inverted. An inversion of the yield curve is caused when shorter-term rates rise faster than longer-term rates. Generally, this is something that occurs but reverses quite quickly.

Not this time. We are currently in a period of a prolonged yield curve inversion, which could be a leading indicator of economic weakness to come. This inversion is exactly what these money market and ultra short-term fixed income investors are looking to cash in on. Lock in higher shorter-term rates and take advantage of the inverted yield curve.

For too long, investors were forced to move outside of investment grade bonds and further out the yield curve to achieve their yield and return expectations. The market has shifted that paradigm on its head and allowed investors to truly get paid to wait on the sidelines in cash.

 Current Canadian Yield Curve

Source: Bloomberg, June 30, 2023

The short end appears to be the sweet spot for many investors, in terms of risk and reward.

Risk: by targeting the short end of the curve, investors will be minimizing their interest rate sensitivity (Duration exposure) and will generally be buying bonds that will be maturing in less than 1 year. Buying investment grade bonds, issued by high quality issuers, this close to maturity provides investors with downside protection as all these bonds will mature at par.[1]

Reward: Achieve a higher yield to maturity than further out the curve. Allowing investors to earn higher yields for lower interest rate sensitivity risk. The current market isn’t paying investors to lend money for longer periods. The front end provides an extremely attractive proposition for investors.

Today’s market is uniquely positioned and many market participants expect volatility to be on the horizon and as higher interest rates make their way through the economy, potentially causing growth to slowdown. Money market and short-term fixed income are well positioned for this environment, as investors can weather the potential volatility in the market while still meeting income and return needs. Continue Reading…