Stock investing
Regular stock investing is one of ways to build your portfolio over a period of time. Research has proved that stock markets provide the greatest yield calculated over longer periods. So much so that returns are much better compared to other forms of investments such as gold, reality or bank investments.
Stock investing is not rocket science. What you need is discipline, resistance to greed and a fair amount of understanding of the concepts and subject. The thumb rule of stock investing is that having made a value investment once, you should hold it for considerable time. You may not decide to sell it unless it is required for meeting your financial obligations. That way, you an go up the Value chain and build up your asset base. Another rule for stock investing is that the sooner you start, the better for you and the larger the portfolio during the fag end of your working life. This is because of the beautiful concept of compounding whereby your portfolio keeps on building up. The third rule of successful stock investing is that never follow the crowd. In fact you should take the opposite view. If market crazy after a particular scrip and price is at astronomical levels, probably this is the time to exit after making gains. On the contrary, if chips are down and you can get some great bargains for value stock investing; this is the time for bottom fishing. Never be afraid to take a view point in stock market and holding on to it.
Stock investing is exhilarating and exciting at the same time. The sheer pleasure of seeing your portfolio value go up gives the adrenaline boost to your experience. You can make a healthy portfolio over a period of time as you keep on doing bargain hunting. Always remember that bstock market is a great leveler. Even during times of unrealistic exuberance, certain value stocks are lying low which can be bought and held for reaping the benefits later.
If you want to do stock investing, it is advisable to get in touch with a stock broker who can execute trades on your behalf. You can also opt for an online trading account with a broker providing such services. You can also invest through the initial offering made by quite a few companies. Sometimes returns obtained through investments are quite hefty and if you are able to lay hands on a few of such offerings at a reasonable price, chances are that you will build your asset portfolio. In fact a few value investors make it a point to invest only I such offerings and stay away from the secondary securities market. It all depends upon what your investment strategy is as far as stock investing is concerned. Whatever be your strategy and philosophy, make it a point to do it on a long term horizon. This way you are not bogged down by the vagaries of short term price movements and can make good money.
Independent Stock Investing…
An investment approach based on publicly available information assures that the foundation of the process will not be dependent on the commercial viability of one or more sources….
[...] liability on bonus shares Bonus shares are allotted free of cost to investors. Thus the cost of bonus shares is taken as Nil. The difference between sale proceeds and total cost [...]
[...] of the scrip is Rs. 100 and you are holding 100 shares. This means that you will be entitled to 100 bonus shares and your total holding will increase to 200 shares. As holding of each shareholder post-bonus will [...]
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