 |
|||
| |||
 |
 |
 |
 |
|
|
| ||||||||||||
| ||||||||||||
|
Stock Market Investments
If there is one term over-used when talking about makinginvestments in the stock market I would think that termwould be: buy low, sell high. Buy low? Sell high? How low is low and how high is high? Ilike the term buy low, sell dear, much better! But betterstill are the terms buy and hold, and dollar-cost-averaging(buying the same stock at different prices through theyears). For within those two stock market terms, in myopinion, lies the path for successful stock marketinvestments. For me, if a buy and hold strategy is used, then I want tobe paid for using it, and if a dollar-cost-averagingstrategy is used, I don't want to be charged commissionfees for the future dollar-cost-averaging purchases. Therefore, in order to be paid for the buy and holdstrategy the companies purchased must pay me every 3months. If a company cannot pay me every 3 months forbuying and holding their stock, then I don't want to buyand hold their stock. The payment is called a dividend, andthe dividend varies with each buy and hold company owned.This buy and hold strategy co-exist withdollar-cost-averaging. The monies paid by the company everyquarter through the buy and hold strategy is used to purchasemore shares of their company. The company does thiscommission-free, and is automatic every quarter through theyears of ownership. The brokerage houses of today, to compete with mostdividend paying companies, now offer the samecommission-free service when having dividends rolled backinto a company's stock. Only you are going to have to tellthem you want the dividends rolled back into the stock(sometimes you have to tell them twice, since it is not oneof their high priorities; after all, they are in thecommission business). To read the PREFACE from the book 'The Stockopoly Plan - Investing for Retirement.' Visit: www.thestockopolyplan.com Charles M. O'Melia is an individual investor with almost 40 yearsof experience and passion for the stock market. The author of the book The Stockopoly Plan - Investing for Retirement; published by American-Book Publishing. You can invest in the book at http://www.pdbookstore.com/comfiles/pages/CharlesMOMelia.shtml You have permission to publish this article either electronically or in print, free of charge, as long as theauthor bylines are included. A courtesy copy of your publication would be appreciated. Please email to mailto:charles@thestockopolyplan.com
MORE RESOURCES:
Stocks-Mutual-Funds - Google News |
|
|
|
RELATED ARTICLES
Emotional Involvement I'll bet with almost anyone that has stocks or mutual funds in his portfolio that he has losers, but he won't sell them because he "likes them" or some similar excuse. This is the philosophy of a loser. 9 Deadly Trading Mistakes! The following are a list of nine things you want to avoid at all costs. Anyone of them can literally destroy your financial dreams and goals!1. You Don't HAVE To Be Trading As a novice trader, you'll often feel the need to trade.You may be bored or frustrated. Why Technical Indicators The fight continues to rage among traders whouse technical indicators and those who preferfundamental information to establish newpositions and to exit current positions.The fundamentalist believe in knowing all thefacts about a company such as price earningsratios, sales growth, product margins,management capabilities, cost of production,cash flow, etc. Successful Trading - Establish Your Risk Level Before you embark upon a journey of trading stocks or futures, and before you make any trades, you MUST determine and establish your risk level. Traders that fail to do this are usually doomed from the start. The Golden Goose is Sick It is finally catching up with them. The brokerage companies I mean. Lights of the Stock Market There are red lights, green lights, blue lights and spot lights. There are orange lights, pink light and flash lights. "Fears Only Enemy Is Action" What a great statement!I just heard someone use it in the context of personal and financial success and it struck me as a brilliant summary of an issue we raise in the SMG Tutorials.Fear is a huge issue with a lot of traders. Big Buildings Can Mean Big Economic Disaster AS BUILDERS BEGIN WORK ON THE FREEDOM TOWER in New York City, to be the world's tallest building, economist Mark Thornton offers a history-based theory of the relation between super-buildings and the economy. Thornton surveyed economic performance worldwide following the completion of each of the world's tallest skyscrapers, and suggests what these events foretell. Seecrets on Investment: Tired of Making Huge Losses in the Stock Market - Part 2 Fundamental analysis.Fundamentals analysis says the best way to predict the future trends of a stock is to understand the financial figures of the underlying company. 3 Components Needed for Beating the Market Time to look back2004 is over, now we are in 2005. This is time to seriously look at performance of your personal investment, such as mutual fund, or individual stocks holdings, etc. Which Way The Market I am hearing predictions by brokers, financial planners, talk show hosts and the talking heads on TV that the market is going back to its old highs - DOW 11,700 and NASDAQ 5000 here we come.It seems to me that in 2000 I heard these same people saying there was no top to the market and were looking into their crystal balls for DOW 30,000 or some other fantastic number. Using Sector Funds to Construct Diversified Mutual Fund Portfolios 'Sector funds are too risky.' 'I doubled my money with Fidelity Select Technology in 12 months!' 'Avoid sector funds. Understanding the Bulls and the Bears If you've ever flipped on the television to CNN Financial or paged through the finance section of your local newspaper, you may have seen or heard references made to "the bulls and the bears." If you didn't know what was meant by those terms, you're about to find out. Why Change Funds? On November 17 I bought 7 different mutual funds and went to a 100% invested position. One of the funds I bought was Robertson Stevens Information Age (RSIFX) and it has made money as have the other six. How (NOT) to Buy Mutual Funds When it comes to mutual funds, there is a lot more to success than just finding a good one. Sad investment stories like the following are all too common. Wall Street Paradigm In 1960 an engineer working for a watch company in Switzerland discovered that a small crystal would vibrate at a constant rate. He found this was so accurate that it could be used to calibrate time so he took it to company management and said it would make an entirely new kind of watch that had no springs and no gears. Good Stock Market Tip; Good Return! Forget making a profit; instead focus on the income provided from your stock portfolio. That's right! Forget making a profit. Diversification Wall Street's watchword has always been diversification, but what does it mean and why do they say it?The standard Wall Street definition is flexible because each broker or financial planner will vary the portfolio based on your age and income. They say that the younger you are the more risk you should take and the older you are the less risk. Downdraft For the year 2000 we have seen hundreds of mutual funds lose 40%, 50% and more of their value. This does not seem right since the fund is supposed to be managed by a professional.
|
| home | site map |
| © 2006 |