The strategy of investing in the shares

The strategy of investing in the shares

Today let's talk about a very important issue - the strategies of investment in the shares.
Everyone understands that investing in the stock market at random, you can't, you simply lose all the money.
Where better to follow a certain strategy, and the most suitable to you as an investor.
Factors of a choice of strategy
In determining the best for you strategy are taken into account such indicators as:
the size of the capital
it is desirable reliability and profitability of investments
the level of knowledge of
the amount of time that you are willing to pay investment
and etc.
You must understand that the investment strategy can be broken down according to the different principles.
1. At the time (horizon) of investments.
You can highlight trading (speculation in the course of one day, one trading session), short-term (up to one year), medium-term (one-two years), long-term (several years).
These approaches, in addition to time, different and selection of the objects.
For short-term investments are more suited to large companies, for long-term - they can also be used, however, there is a sense to pay attention to undervalued shares of the second echelon is just so goes the greatest investor of modernity Warren Buffett.
2. Actually the objects of investment.
The previous classification is linked to this. Here, however, it is solely on an object of investment. So, the strategy can be:
The index of the (well-suited for long-term investors positively assess the prospects of this or that market as a whole): this case created a diversified portfolio composed of stocks of companies from different sectors of the economy, and the number of shares reaches several dozens. Such a portfolio repeats the movement of the index and reduces the risk of incorrect choice.
«Object selection» is a careful study of a certain company and the investment of the money solely for its shares - if the conclusion is made about the efficiency and competitiveness of the company.
Structural investments - by mechanism, similar to that offered in the structural products: purchase of fixed income instruments in the larger part of the capital as a guarantee of the preservation of capital and instruments with potentially high returns for profit.
Investments in the company, «violating rules» - that is promised as high income, with the ultimate risk. Knowledgeable investors can obtain with this strategy, a very good income.
3. On the periodicity.
Here there is a speech about different than in the first paragraph.
You may call this classification on the time investment of money».
The money you can invest at once all capital - and this is logical: the sooner the money will begin to work, the more they earn.
And you can invest regularly in small amounts - it allows you to ignore fluctuations in the market.
4. Bull and bear of the strategy game on the increase or decrease.
Of course, this brief list of a strategy of working in the stock market is not limited. It is, on the contrary, the very beginning. Moreover, you can come up with their own strategy - why not?

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