Capitalising from quantitative easing; The psychology of stress; Tax servitude and charitable causes; Home economics and the working mother; The perils of rural retirement

By Amanda Morrall (email)

1) Paper gold

If you missed out on the gold rush (the past year would have seen a 26% return on the investment in US$ terms)  you might want to think about padding your portfolio with paper -- stocks. With government printing presses working overtime to pump more money into the flailing economies and banks, companies supplying the raw materials to feed the quantitative easing frenzy are going gangbusters. According to this Wall Street Journal article, investors with stock in De La Rue, the British paper and print maker, would have seen a 35% return on their investment last year.

2) Good stress

I've always struggled to wrap my head around why stress is supposed to be good for me. I aspire toward that Zen-like state of being totally unphased and cucumber cool. A new study published in sciencedaily.com suggests a little known upside of stress is that it actually forces you to look at the positives. I would've thought the opposite to be true, but apparently the human mind, when mired in a stressful situation or confronted with a stressful decision, defaults to a positive in order to get through.

One example used is a person struggling with a decision on a new job offer. Amid a conflicting array of information, the mind under stress filters out the negatives (i.e. commuting time, extra responsibility, longer days etc) and fixes upon the most beneficial feature, typically salary. This is a good reminder to take time for serious reflection when it comes to important financial situations that require a Zen-like mind to fully evaluate.

3) Tax servitude

Even charities that get on the wrong side of the tax man can wind up in the poo. Forbes Money reports on how the U.S. Slavery Museum got itself into big trouble with the tax man by failing to file on time amid other blunders.

No tax mercy even for the best causes. Here's a link to the Charities Commission website where you can do the surveillance on your favourite pet charity or look up the rules to avoid similar woes with IRD.

4) Working women

I'm always interested to read these studies (see the latest published in the Economist) on the pros and cons of women in the workforce and the benefits for the child whose mummy stays at home. The conclusion drawn in this blog from the Economist is that there is a marginal benefit to the child during that first year at home with mummy compared to the economic benefit of mummy at work. I just feel grateful I had a year with both my babes because I hardly see them anymore. Surely, there's a balance somewhere?

5) City slickers should stay put

It's easy to imagine country life as being some kind of bucolic existence with leisurely cups of tea in the morning, crosswords and books and a slow-cooked meal that doesn't come from a box. City slickers with this ideal in mind are being told to get a grip, particularly those looking to retire from urban life into the country.

Retirees without a true sense of the labours involved in country living could find themselves beating a hasty (and expensive) retreat back to the city if they fail to do their research properly, according to this article from the Guardian. That splat you just heard is the sound of my bubble being burst.

To read other Take Fives by Amanda Morrall click here. You can also follow Amanda on Twitter@amandamorrall