What I am Reading: April 2022

Hey, everyone!

A brand new month is upon us and that means I have a brand new book on deck.

Here’s what I am reading April 2022:

How to Be a Financial Grownup

By: Bobbi Rebell 

Great book so far. Each chapter tells the story of famous individuals from different industries and walks of life and the most important financial lessons they have learned.

The author refers to said lessons as anecdotes that transformed the featured people into “financial grownups.”

I look forward to finishing up the book. I’ll likely return to this post at the end of the month and share any interesting findings.

Tell me – What do you consider your “financial grow-up” moment? I am thinking about writing a post about my personal story around that topic. Let me know if you’d be interested in checking it out 🙂

And by the way – I recently made a GoodReads profile. If you’re on there, add me as a friend! You can find me under “Mabel Nunez.”

With Love & Gratitude,

Mabel

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Courses & Resources

Our six-week Stock Investing Bootcamp is BACK! Registration is officially open! Click here to request FULL details (including the promotional rate). You will love this class if you want to transform from a novice to an educated and successful stock investor!

Is it worth the investment? Peloton edition!

This is the first post in our “Is it worth the investment” series. We hope you love it 🙂

I first learned about the Peloton craze along with most people – when the pandemic kicked off in 2020, and it seemed like the whole world was obsessed.

It never even crossed my mind to get the bike at that time because #1, I am pretty frugal!! And #2 I was enjoying plenty of bike rides in the outdoors thanks to an actual bicycle that my Dad fixed up for me – I was living my best outdoor life.

This is what I looked like pretty much the entire summer of 2020 and beyond.

Fast forward to 2021, I met the love of my life, and he came equipped with a Peloton :). Suddenly, I had immediate access to this incredible device, and I felt intrigued to try it.

To use the cool bike, I needed to get myself some Peloton shoes (retail for a whole $125 on their website). I proceeded to try them on, clipped myself in, and went on my first ride with AllyLove. The rest is history.

In short: I AM OBSESSED.

Source: OnePeloton | @AllyLove

Having the bike conveniently inside my apartment is a massive motivator to work out and move my body.

I’ve made those 20-30 minute classes part of my morning routine. For the first time in a very long time, I am excited to wake up before 6 AM on most mornings to bathe in those workout endorphins. I carry that momentum of productivity and feel-good endorphins through the rest of my day – to me, that’s priceless and worth every penny.

The workouts go beyond just biking – they have strength training, yoga, boxing, even meditation.

Also, I want to touch up a bit on the actual engineering behind the bike. WOW. Just WOW. I mean, I know nothing about engineering. However, one of the first things that crossed my mind during one of my first rides was, “WOW. This bike is well-made.” Whoever designed it and its functionalities thought of absolutely everything.

In addition to the bike (the “cheapest” one retails for $1,495 + $250 delivery fee), to get the full Peloton experience, customers need to buy “official” shoes and pay about $39 a month to gain access to the virtual library of replays and live classes.

Side note: You could buy “imitation” shoes via Amazon to save a few bucks. However, now that I have used the originals for a good amount of time, I would say go with the real thing.

Now, let’s get to the point of this post:

Are the product (bike) and service (the membership) worth the investment?

1000% (absolutely!)

Keep in mind that I am the type of person who finds joy in saving and investing. I typically stay far away from buying anything I consider “over the top” expensive unless necessary.

This peloton situation is a rare exception to my usual ways. Knowing what I know now, I can confidently conclude the Peloton “ecosystem” is worth the investment.

The combination of fun classes and phenomenal instructors is what makes this investment worth it, in my personal opinion.

If you’re curious, my favorite instructors so far include Alex Toussaint, Ally Love, Camila Ramon, Cody Rigsby, Jess King, Kendall Toole, Robin Arzon, and Tunde Oyeneyin.

Now, is this worth the investment as a stock?

“Gray” – which means I am “on the fence.”

Many people that invested in the company in 2020 are likely hating the stock right now. Many probably sold it long ago out of pure frustration.

Consider this: Peloton stock reached a high of $167.42 per share on January 13th, 2021. Fast forward to March 23rd, 2022, the stock ended the day at $28.94 – a capital loss of over 80% which is terrifying to say the least:

With that said, despite what appears to be an alarming downward spiral, I believe the product and service are strong and have a solid “cult-like” following. It is hard for me to see the company disappear or go out of business anytime soon.

David Gardner, the founder of the Motley Fool, coined the term “the snap test.” As part of the overall puzzle of making investment decisions, he suggests that we consider whether anyone would “care” if a business disappeared overnight or at the snap of our fingers.

Right now, in the case of Peloton, I feel that a whole lot of people would care. More than 6.6 million, to be exact – the number of subscribers they have as of December 31st, 2021.

Source: One Peloton Investors Relations

The business is not perfect by any means, and the management has probably failed investors more times than most would like to remember.

However, I still feel that this business will find its way back to operations success. It is also very probable that they can eventually get acquired by a conglomerate, as the rumor mill has been whispering.

Only time will tell.

In the meantime, I would not mind grabbing some shares and seeing what happens next.

TELL ME- What is YOUR PERSONAL OPINION regarding this business as a stock or as a product/service? Share in the comments.

Important reminder: This post is for educational purposes only. It is not a recommendation to buy the stock. Investing involves risk, including loss of principal. Make sure to do your due diligence before making any investment decision.

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Courses & Resources:

Not yet investing but want to get the ball rolling asap? I highly recommend you check out the Beginner Investor Starter Pack®. The bundle includes books and resources that will teach you the basics of investing and how to get starter on the right foot.

Amazon’s 20:1 Stock Split – Explained In Plain English.

On Wednesday, 03/09/2022, Amazon’s (AMZN) board of directors approved a 20:1 stock split.

The news exploded all around the finance world. It is something many investors have been anticipating for quite some time.

Immediately after sharing the news on social media, I received many questions from the Girl$ on The Money community.

Check out the Q&A below. If I am missing anything, please ask it in the comments section or email me hello@girlsonthemoney.com.

Question #1: When is the split happening?

Updated to add: According to a recent Wall Street Journal article, shares will start trading at the new post-split price starting on 06/06/2022:

Question #2: What does a “20:1 split” mean? Here’s the short story:

Let’s say that on the day the split gets processed; Amazon is selling at $3,000 per share.

Now, let’s say that you had one share of Amazon in your investment portfolio on that day.

After the 20:1 stock split goes through, you’ll have 20 shares worth ~$150 each. Simple math: 3000/20=150

On the other hand, let’s say that you are currently not a shareholder of Amazon and don’t have any stock in it. However, it is something you’ve had on your radar.

Well, after the split goes through, you’ll be able to purchase individual shares of Amazon for around ~$150 each. 

Important: The per-share price the day after the split will depend on how much one share of Amazon was selling for the day before.

Notice that absolutely nothing changes about the fundamental value of the business or the investment.

A split makes the stock price more “affordable” for new investors and anyone that wants to buy. 

Additional FAQs:

If I own Amazon stock, do I need to do anything?

If you already own the stock, there’s nothing for you to do. You’ll notice the change in your investment account once the split goes through starting on 6/6/22.

Why are they doing this?

The stock price has gotten relatively expensive. And so, by doing the split, they give access to more people to invest in the company. Also, it makes it easier for Amazon employees to manage their stock compensation.

Should I wait until after the split if I am interested in buying the stock?

First of all, you should never invest in a company “just because” they are doing a split. That should never be your only reason.

With that said, if Amazon is a stock you’ve been waiting to buy for many years and felt the price was “too high,” the split can present an excellent opportunity to grab some shares.

However, it doesn’t matter if you get them now or wait until after the split. It will boil down to this:

If you have ~$2,900 right now (that’s the current price per share), you can go ahead and buy one single share. Once the split goes through, you’ll have 20 shares worth ~$145 each.

If you don’t want to allocate over $2,900 of your money to Amazon stock at this time, you can wait for the split and grab how many shares you want at the cost of ~$145-$150 each- or whatever the price is at that time. 

Important: The above illustration is just an example for educational purposes. The per-share price the day after the split will depend on how much one share of Amazon was selling for the day before.

Let me know if this makes sense! =)

And that’s all, folks! Thank you for reading. 

REMINDER: In the upcoming Ready, Set, Invest workshop, I will be teaching participants how to select and open an investment account, how to fund it, how to make educated investing decisions, how to process an investing transaction, and so much more!!

If you want to be READY to grab some shares of Amazon when the time comes, or any other stock or fund, this workshop will be well worth the investment! For full detail and to register, click here. 

New Series: “Is it Worth The Investment?”

While taking a shower* the other day, I came up with a pretty cool idea for a new series:

“Is it worth the investment?”

*I’ve had many great ideas in the bathroom over the years.

In a series of blog posts (and perhaps soon-to-be video series), I’ll talk about products and services I’ve personally used and whether or not I consider them to be “worth the investment.”

When I use the word “Investment,” I will mean TWO things:
Is it “worth it” as a product or service, AND is it “worth it” as a stock investment that I would personally put my money behind?

There will be instances where perhaps I love the product but would never buy the stock in a million years.

There will also be times when the product or service is not that great, but I might consider buying the stock for some powerful reasons.

And finally, there will be those “sweet spots” where I love the product and would also strongly consider buying the stock.

For any of the above scenarios, I’ll categorize how I feel about the investment by using this breakdown:

Green- I would consider it a “high-quality” investment and would feel comfortable holding on to it for at least 3-5+ years.

Yellow- I’m “on the fence” about that particular stock for one reason or another.

Red- A stock or investment I would avoid and which I consider too risky.

Gray – Not too familiar with the investment to give an educated opinion. I would need to look further into it.

And that’s all for now :). Stay tuned for the first product/service I use to kick off this exciting new series. I’m super excited to share.

Make sure you subscribe to our blog so that you never miss a new post. See the box to the right of your screen or at the bottom if you’re on your phone.

Cheers to health & profits,
Mabel

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Courses & Resources

Not yet investing but want to get the ball rolling asap? I highly recommend you check out the Beginner Investor Starter Pack®. The bundle includes books and resources that will teach you the basics of investing and how to get starter on the right foot.

What I am Reading: March 2022

Hey, everyone!

A brand new month is upon us and that means I have a brand new book on deck.

Here’s what I am reading March 2022:

*Updated to add*: I ended up reading two books simultaneously during March. The second book I read was:

Soundtracks

By: Jon Acuff

Jon Acuff is a great author! I love his humorous writing style. I enjoyed this book and walked away with some awesome “soundtracks” that I feel will improve my life.

In the book, “soundtracks” refer to the way we speak to ourselves and the mentality we have about what happens to us or the things we want to do—a good book for the personal development category.

The other book…

Keep the Memories, Lose the Stuff

By: Matt Paxton

I first learned about the book recently while watching Good Morning America or one of those morning shows, and it caught my eye. I borrowed it from my local library (shout out to NYPL!!).

Why am I reading this book right now? Here’s a bit of a back story:

I welcomed 2022 with exciting changes in my life. One of those “changes” triggered decluttering my apartment to make space and welcome God-sent blessings.

I bought my co-op ten years ago, and this is the first time in my life I had to officially “buckle down” and start throwing things out.

It has been HARD! Not only because cleaning can be tedious in and of itself but also because I am coming across many memories of various stages in my life.

Photos, memorabilia from when I first came to the United States in the early 90s, items from my teenage years, college, all the way to my life as a grown adult.

I welcome every resource that can help me through this transition/decluttering stage of my life. I am hopeful that this book will help.

Over the past couple of years, I’ve learned that change is not easy by any means. Even when the changes are “good” and definitely God-sent, letting go of your “old self” is still a mourning process. It is important to be compassionate and loving with ourselves as we go through it.

And that’s all, folks! What are YOU reading this month? Share below =).

And by the way – I recently made a GoodReads profile. If you’re on there, add me as a friend! You can find me under “Mabel Nunez.”

With Love & Gratitude,

Mabel

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Courses & Resources

The Ready, Set, Invest workshop is BACK by popular demand. I ‘ll be hosting a live edition of this incredible class this month, and I want you to be there!

Click here to request FULL details and get access to the promotional rate.  

Google’s 20:1 Stock Split – Explained In Plain English

On Thursday 02/01/2022, Alphabet(NASDAQ:GOOGL), the parent company of Google, reported earnings. The quarterly report card looked great. The business generated $75.3 Billion in sales and $20.64 Billion in profits – an increase of 32% compared to the same quarter last year.

With that said, the news that blew most people away (or maybe it was just me) was the announcement that the business will do a 20:1 stock split effective July 15th, 2022.

What the heck does that mean? Here’s the short story:

Let’s say you currently own one share of Alphabet worth $2,860. After the 20:1 stock split goes through, you’ll have 20 shares worth ~$143 each. Simple math: 2860/20=143

Absolutely nothing changes about the fundamental value of the business or the investment.

A split simply makes the stock price more “affordable” for new investors and anyone that wants to buy. 

Some FAQs:

If I own Alphabet stock, do I need to do anything?

If you already own the stock, there’s nothing for you to do. You’ll notice the change in your investment account once the split goes through in July of 2022.

Why are they doing this?

The company did not specify. However, one of the main reasons why *some* publicly traded companies decide to do this is because the stock price has gotten relatively expensive. And so, by doing the split, they give access to more people to invest in the company.

If I am interested in buying the stock, should I wait until after the split?

4

First of all, you should never invest in a company “just because” they are doing a split. That should never be your only reason.

With that said, if Alphabet is a stock you’ve been waiting to buy for many years and felt the price was “too high,” the split can present an excellent opportunity to grab some shares.

However, it doesn’t matter if you get them now or wait until after the split. It will boil down to this:

If you have ~$2,860 right now, you can go ahead and buy one single share. Once the split goes through, you’ll have 20 shares worth ~$143 each.

googl

If you don’t want to allocate over $2,800 of your money to Alphabet stock, you can wait for the split and grab how many shares you want at the cost of ~$143 each – or whatever the price will be at that time.

Keep in mind that the stock price might be much higher or lower than what it is right now by the time July rolls around. No one has a crystal ball! 

The price per share after the split will depend on whatever price the stock is then.

Let me know if this makes sense! =)

And that’s all folks! Thank you for reading. If you enjoyed this post, click “like” and/or leave a comment. Also, if you have any questions let me know below.

You can always reach me at hello@girlsonthemoney.com.

Cheers to HEALTH and Profits!

*******

Courses & Resources

Not yet investing but want to get the ball rolling asap? I highly recommend you check out the Beginner Investor Starter Pack®. The bundle includes books and resources that will teach you the basics of investing and how to get starter on the right foot.

beginner-investor-starter-pack-1

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Disclosures: Mabel is an Alphabet (GOOGL/GOOG) shareholder

What I am Reading: February 2022

Hey, everyone!

A brand new month is upon us and that means I have a brand new book on deck.

Here’s what I am reading February 2022:

Atomic Habits

By: James Clear

“Fun Fact”: I read this book back in 2019 (here’s proof). However, I enjoyed it so much I am reading it again.

And that’s all for now :). Questions or comments? Share below! If you missed my “what I am reading January 2022” post, you can check it out here.

And by the way – I recently made a GoodReads profile. If you’re on there, add me as a friend! You can find me under “Mabel Nunez.”

With love & gratitude,

Mabel

***

Courses & Resources:

Understanding Your Investing Options: Starter Guide for Beginner Investors: New to investing and not sure where or how to begin?! This guide is for you! Check out details here.

Ready, Set Invest: A Crash Course on Being Ready to Invest – This is a best-seller workshop all about PREPARING to invest. Click here to enroll. 

Want the whole package? Check out The Beginner Investor Starter Pack®

Your Investor Checklist for The Week Ahead:

Whether you are new to investing or consider yourself an experienced professional, a plan is always a good idea.

Below I share how I plan for the week ahead when it comes to investing.

I typically run through these steps on a Sunday morning or Sunday afternoon during my “leisure” time or as time permits.

It doesn’t take long. 

Plus – if you love investing as much as I do, you’ll love doing this and will look forward to going through the steps weekly or a couple of times per month. 

#1. Go over your Stocks Watchlist and make a plan of action.

A Stocks Watchlist is simply a list of Stocks or Funds (ETFs or Index Funds) that you want to buy. You can make this yourself using pen and paper, Google Sheets, or Excel. 

Some of the information you can include is the name of the stock or fund, the ticker symbol, the the price, and any other information you deem important.

Don’t feel like making the list yourself? Invest our exclusive Watchlist Worksheet. You’ll get the original worksheet I share with my students in the Stocks Bootcamp, instructions on how to complete it, and access to me if you have any questions :). Grab it for $9.99 $4.99.

Take a look at your list every week and ask yourself if it’s still “accurate” – Perhaps you want to add new companies to the list or remove any stock that you no longer have an interest in buying. 

How is this helpful? Well, if during the week ahead you notice that the market is going through a sudden “downturn,” you’ll be able to immediately pull out your list to see if any of your prospective investments have gone “on sale.” 

Instead of panicking on rough days, you’ll look forward to looking at your watchlist and might get excited to do some shopping.  

OR, you can also choose to ignore whatever is going on in the markets and go on about your life 😉.

#2. Check your investment account – do you have any cash available? Or, is all the money you have in there 100% invested? 

Having cash on the sidelines is always a good idea. You’ll have the money there to take full advantage whenever opportunities present themselves. If there is no cash in your account and there’s something you want to buy, you’ll need to go transfer money manually, which can take 2-3 business days, depending on your broker. 

Pro-Tip: The best way to always have “fresh” cash in your investment account is by setting up automatic transfers from your checking to your investment account at the interval of your preference and the dollar amount you can comfortably afford. For example, $50 a week or $150 a month.

#3. Check if any of the companies where you own stock will be reporting earnings that upcoming week. 

There’s a little something called “Earnings Season” that happens every few months. Earning Reports are the perfect opportunity to get a “briefing” directly from “the horse’s mouth” regarding how a particular company is doing. You’ll get informed about any new developments, changes, or acquisitions that can internally impact the business for better or for worse. An informed investor is a successful investor.

And that’s all, folks! Let me know what you think. Is there anything else you would add to this list?

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Courses & Resources

Our six-week Stock Investing Bootcamp is BACK! Registration is officially open! Click here to request FULL details (including the promotional rate). You will love this class if you want to transform from a novice to an educated and successful stock investor!

Questions? Comments? Feedback? Let me know below or email us: Hello@girlsonthemoney.com.

Cheers to Health & Profits,

Mabel

The Stock Watchlist Worksheet!

Do you wish you had a way to keep track of prospective investments so that you are always READY when opportunities present themselves?

We have a tool for that! 🙂

*New resource alert!*

Check out the official Girl$ on The Money Watchlist Worksheet.

Upon payment, you will receive access to the following:

  1. The official worksheet: A resource I only share with my Stocks Bootcamp students. You’ll get access to the GoogleSheets and Microsoft Excel version.
  2. Step by Step Instructions

Yes, I want this!

Questions? Email us at hello@girlsonthemoney.com

Cheers to Health & Profits!

Mabel

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Investing resources for beginners *New Bundle!*

Are you new to the investing world and don’t know where to start? I recently introduced our  Beginner Investors Starter Pack®! More details here. 

Here’s how much money to keep in savings and investment accounts

I recently received a great question from one of my students: 

Hi Mabel!
I have a question: how much (%) should you have in your checking vs savings vs investment account? What do you recommend? Thank you!

For anyone else out there who might be wondering the same thing, here’s how I answered it:

Hi, Gabriela! That is a great question. Here is how I would personally approach it:

Checking account: 

Only keep the money you need to pay your monthly bills. Also, any “extra” spending money for personal care, entertainment, or anything else you need “immediate access” to.

Savings: 

In the savings account, send all the money you won’t need anytime soon, but you want to have access to it when and if required. 

For example, your emergency fund money should be in your savings. 

Also, let’s say you are saving for something specific. A particular item, asset, or experience you want to buy within the next 1-2 years – that money should also be accumulating in your savings account.

And by the way – I would not recommend leaving your savings at a traditional brick and mortar bank. For example, Chase Bank, Citibank, Wells Fargo, Bank of America, etc., pay almost no interest. 

Instead, I would keep my money in an online savings account. I personally like CIT bank (the savings builder account pays 0.40% APR). and Marcus by Goldman Sachs (high yield savings account pays 0.50%). Check out this blog post where I talked more about this topic.

Investment account: 

Send money to your investment account that you will not need within the next 3-5 years, but you want to see it grow and compound for bigger goals.

If you want me to suggest how much to start within your investment account, I would say $500 is a good starting point. 

Then, I highly recommend setting up automatic transfers from your checking and into your investment account at an interval that feels good to you. For example, it can be $50 every week or $100 a month. You’ll start accumulating money in that account and always have cash available when you want to buy a new stock or fund or when market opportunities present themselves.

Let me know if this helps!

Mabel

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Investing resources for beginners *New Bundle!*

Are you new to the investing world and don’t know where to start? I recently introduced our  Beginner Investors Starter Pack®! More details here.