My latest obsession & some FAQ's

Sitting in front of a computer all day makes me obsessive. In the past month or so, my attention has been focused on how to get rich by clicking "buy" or "sell". Is this the bottom? Will oil go up from here? Should I just buy gold and feel secture that my investment will not go to zero? Every day is a different story, and this recession is enough to make me go crazy.

It may sound absurd, but in a way I feel fortunate that this recession is happening right now. I am early in my finance career, and am learning from real events every day, which is infinitely more interesting than what I read in text books. And while the paltry sum in my 401K has taken a hit, I know it will be decades before I retire, and history has shown that the money I have now will grow between now and age 60, so I don't lose sleep over the the possibility that I won't be able to afford an annual trip to Naples when I am 75.

I have become obsessive about the stock market, because I want to be "in" when it hits the bottom. Don't get me wrong, I think it will be years before the Dow touches 14,000 again -- I might have gray hair and a child in college by then. However, there is a looming opportunity to see my money grow here, and I don't want to miss out!

I am not much of a gambler. Losing $20 worth of quarters in slot machines in Vegas makes me nauseous, so you can imagine my stress level when it comes to constantly monitoring personal investments. The difference is, when you pull the lever on a slot machine, it's all up to chance. On the contrary, if I do enough research on a stock pick, my chances of success are much greater.

I should mention that I am not a financial planner, and I am not qualified to advise anyone on their portfolio, nor do I want to, because losing my own money is much different that losing someone else's. I do, however, know enough to be confident in picking sound investments, which gives me a leg up on the average investor, and presents opportunities to take my hard-earned money and make it multiply. Can a doctor apply their knowledge of medicine to the stock market? Probably not! That's why I'm glad I'm not a doctor. (What a terrible life that would be!)
You can stop reading here if you actually have something interesting to do now, like vacuum the carpet or file your nails. I know it's hard to believe, but I'm completely serious that the interesting part of this post was the preceding paragraphs. Okay, "interesting" was probably too strong of a word, let's try "less dull".

For everyone else, which is potentially just my husband, because I know he doesn't want to vacuum, I thought I would clear up some frequently asked questions about the topic that is completely dominating my life: the CFA!

• What does CFA stand for? Chartered Financial Analyst. Certified Financial Advisor is close, but no cigar.


• But I thought you passed in December? I did; that was Level 1. I take Level 2 in June. If I pass that, then I take Level 3 next June. Levels 2 & 3 are only offered in June, as they try to spread out the misery as long as possible.


• Why would you voluntarily put yourself through something so terrible? I am sadistic. And I want to be smart(er?).


• So when you are done, will you be like a CFP (Certified Financial Planner)? No. A CFP is who pay to invest your personal savings. A CFP knows how your money should be allocated, depending on what stage of life you are in. He/she will have read a report that recommends a buy on a stock or fund, and based on that report, he/she will invest your money. The author of the report has a CFA charter. The people that manage mutual funds have CFA charters. Investment bankers in Kansas City have their charters...this one will, anyway!


• Are you dense or do other people study so much for this test? Hopefully the latter, but I'm not completely sure.


• When you complete the program, what will you have to show for it? Aside from lightening speed financial calculator skills and a hunch back from leaning over a desk for 3 years, I will have an obnoxiously large certificate. Yep, I get a big piece of paper. I might have some t-shirts made, too.