stock market tips
In order to successfully take advantage of all the opportunities that offers investors the stock market, it is necessary to stick to the basic stock market tips. Here are a few basic tips for the novice investor.
stock market tips 1. To whom to entrust the management of the assets.
Asset management trust the professionals. Not carried away by the numbers yield, find out how many years the company on the stock market, what results have been in recent years. Be sure to pay attention to the amount of assets, located in the management of the company. Trust should be the only company, which has withstood the test of time, has a great experience and a good reputation on the stock market.
stock market tips 2. Remember about the dependence of «risk-yield»
Do not be tempted too high yield! Remember constant dependence: the higher the potential return, the higher the level of risk. This rule applies always.
stock market tips 3. Do not invest money in the short term.
Investment funds - not speculative tool, but a tool of long-term investments. One of the main preconditions of the successful investment is the time to which the funds are invested.
«Short» money makes the process of investing more like a game, where the main role can play a fortune. Minimum investment period shall be not less than one year.
Time reduces the impact of the risk on investments to a minimum, because, having analyzed the dynamics of stock markets for 5-10-15 years, you will make sure that they always grow together with the development of the economies of the countries. Patient investors will be rewarded!
stock market tips 4. Wait for «good weather».
Paraphrasing a well-known song: «The stock market there is no bad weather...». He has various periods of UPS and downs. And after each reduction or even the fall of the stock market always comes up. And if all the quotes crawl down, there is one piece of advice is to wait until the weather on the stock exchanges will change. Very often, investors incur losses, quickly selling securities at low prices.
Furthermore, a correction of the market is a good time to enter into an investment Fund, that is the purchase of securities at a lower price.
stock market tips 5. Never invest your last money.
Before you decide how much money to invest, you should understand that all investments involve risk. This means that there is the possibility of losing money, fully or partially, at any time, so invest "last money" never worth it.
It should not be for the purchase of securities take out loans or borrow money from relatives, friends, neighbors, etc.
Experts advise to invest in investment funds from 20% to 50% of their savings.
stock market tips 6. Start with the small.
For the beginner investor less than the amount of the initial investment, the better. Do not hurry, you don't miss it! On the market there are always opportunities to earn money, and only from your experience depends on whether you are able to use these opportunities. First, get the experience, at the risk of the minimum possible amount.
Only after you are familiar with the basics of stock, financial markets and exchange game, 've learned to win and lose, you can start gradually add funds.
stock market tips 7. Learn how to make their own decisions.
It is obvious that first of all you need clarification, advice and tips. However, with the acquisition of experience and skills trust your own opinion. After all, not mastering the art of making independent decisions, the investor is doomed to defeat.
stock market tips 8. Set realistic goals.
Do not worry because of missed opportunities, focus on the search for the new. Beginners better to put a simple goal: to learn how to work on the market without losses. Always remember that all of the operations may not be profitable, just sum for loss-making operations should be covered by the amount of profitable for adopted the reporting period.
In addition to not fall into despair during a temporary downturn on the stock exchanges, it is important to remember that there are investments, which always give high moral dividend of investments in charity. And if you have built a children's Playground in the backyard, the positive result in the form of a child's laughter you'll get, in spite of what the fluctuations of the stock markets.
