CHURCH GETS A LARGE DONATION OF SINGLE STOCK?
Fred's church just got a large donation of $100,000 in a single stock. They will need it in five years to build a new sanctuary. Should they leave it in the single stock or should they place it somewhere else?

Dave says: I do not think it is Biblical for your church to keep this money in a single stock, and I also do not think it is wise. This is an extremely risky way to manage God's money. Spread the money in order to be safe. "I would get that money out of there in a heartbeat." Church is not for gambling. You are there to minister for people and take the best care of that money as you can. This is done by investing wisely, not gambling. [2:32 secs]

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INVESTING 101 FROM PROFESSOR DAVE
What's the difference between savings and investing? Savings accounts are for money that you will want to use within the next five years. If you are willing to leave the money alone for over five years, then you can begin investing.

Let's talk about investing. When most people think about investing they think about buying stocks. Buying single stocks is dangerous. These types of investments are high risk. When you put all your money in one company, you are risking everything. This is unwise. Bonds are just about as risky as stock. What is a bond? It's a debt that a company has and you are the one loaning the company money. If the company goes broke, you will become their creditor.

I recommend mutual funds. This is where many people mutually give to a fund, which represents several companies. It's much lower risk. Another great place to put money is in real estate. The only way this is a good investment is when you can do it without going into debt. If you need to borrow to buy real estate, you are growing your risk. If you can do this without borrowing, you are on the road to making good money.

What are annuities? It's a savings account with an insurance company. One type is a fixed annuity, basically a bad, bad investment. The other type is a variable annuity, which grows inside a mutual fund. Don't do this within a retirement fund, because you'll be paying double fees.

So, what should you NEVER EVER EVER DO??? NEVER do day trading. NEVER invest in something unless you understand how it works [9:32 secs]

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IS DAVE OBSESSED WITH MONEY?
A caller tells Dave he's retired with $80K and wants to know why Dave is so obessed with money. Is he?

Dave says: The reason I want you to have $1m or $2m is not because money is the end all. Money is good for three things. 1) Personal security. 2) Giving to others. 3) Having fun. The proverb says a godly man leaves an inheritance to his children’s children. If I have enough to leave money in the hands of my children who I’ve trained to handle money in a godly way they can have a huge impact on the culture. Think of all the good people who could be running around with lots of money to give and train other people with. But if I don’t leave any money for my children I don’t help ensure that good people will have money to do well with. Right now there is a lot of good money in the hands of bad people. [4:34 secs]

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