When you decide to start investing in the stock market, you have to somehow actually pay for the stocks you buy. Most brokerage firms offer investors several different types of accounts, each serving a different purpose. Three of the most common types in the following sections.
The basic ... Views: 772
Liabilities are simply the bills that you’re obligated to pay. Whether it’s a credit card bill or a mortgage payment, a liability is an amount of money you have to pay back eventually (with interest). If you don’t keep track of your liabilities, you may end up thinking that you ... Views: 768
Economics. Double ugh! No, you aren’t required to understand “the inelasticity of demand aggregates” or “marginal utility”. But a working knowledge of basic economics is crucial to your success and proficiency as a stock investor. The stock market and the economy ... Views: 764
Invest in quality businesses, not stock symbols
For most people investing in a stock is little more than watching the trail left by the stock symbol as its price wanders along some drunken path. They know that the symbol is associated with a company while not being too sure what is expected of ... Views: 763
To be highly accurate in any pursuit, you have to carefully observe and analyze the object at hand. The stock market is no different. The idea may seem simple enough, but even with their hard-earned money on the line, you'd be surprised at how often people argue with the facts that are right in ... Views: 755
Stocks, in general, are best suited for long-term goals such as these:
_Achieving financial independence (think retirement funding)
_Paying for future college costs
_Paying for any long-term expenditure or project
Some categories of stock (such as conservative or blue-chip) may be suitable ... Views: 740
Investors who analyze the company can better judge the value of the stock and profit from buying and selling it. Your greatest asset in stock investing is knowledge (and a little common sense). To succeed in the world of stock investing, keep in mind these key success factors:
- Analyze ... Views: 696
Insider buying either bodes well for the stock or is a neutral event at worst. Insider stock buying is rarely a negative event. But how about insider selling? When an insider sells his stock, the event can either be neutral or negative. Insider selling is usually a little tougher to figure out ... Views: 672
Once you get past the basics, you can get to the “meat” of stock picking. Successful stock picking is not mysterious, but it does take some time, effort, and analysis. It’s worth it since stocks are a convenient and important part of most investors’ portfolios. ... Views: 653
Leaders And Downtrends
When a severe correction hits the market, the biggest leaders tend to drop the most. For one, they have the most gains to lose. Many of the strongest stocks that drove the Nasdaq to a peak of 5132 in March of 2000 fell 90% below their highs. While the major averages were ... Views: 642
Various stocks are out there, as well as various investment approaches. The key to success in the stock market is matching the right kind of stock with the right kind of investment situation. You have to choose the stock and the approach that match your goals. Before investing in a stock, ask ... Views: 637