What should I own shares?

First, you must define its objectives by investing in equities. Then decide how much time and effort you're willing to invest in equities.

If you want to beat the market and are new to the game of securities of its work for you. In addition, securities that can be easily. If you want to participate in the stock market and obtain maximum long-term, traditionally offered investors need to own shares in the fund.

When it comes to stocks, there are some things you should know in advance. Few investors, including professional money managers beat the market by a significant margin in a single database. Even professionals, personal analysis of studies from all parts of the data, usually not more than the main indicator.

You must understand that the election is only half the shares in the game. The other half of the time. The population is still at the top of the stack for an indefinite period. All this does not sooner or later. Examples include Polaroid, Xerox, and even Microsoft. For example, Microsoft has a large public investment in 1990, while the population has reached the end of 1999 at about $ 60 per share (adjusted for a stock unit). He then two years to trade $ 20 to $ 30 range, and now sells for $ 20!

If you want stock investments, do not possess, because it is too risky. You have no more than a dozen, if you want to get a full day of work from the management of your portfolio. Collect a few and for them carefully. If the stock of their losses under the influence of a common market, sell and search for a replacement.

An investor can not afford big losses among the population, and large losses can be avoided if you're selling, a sign of weakness.

The population of the most well-known investors who track major market indexes. These are index funds that trade like stocks on major exchanges. For example, the symbol SPY tracks the S & P 500 Index. If the stock goes up to 30%, SPY next Suite. If it falls 20%, it can be assumed SPY fell by almost 20%.

I suggest you invest in stocks for a large percentage of the money they have on the stocks in equity funds that track the stock market as a whole. They are known to work with the law, rather than the load index, mutual funds, which we have done well.

On the stock market with the rest of his money, if you enjoy the game. Remember that if you invest in shares, you must be a maximum of ownership, possession, and when to stop it.
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Stock for 2009 upwards

What are the hot stocks in 2009? " It is a question of millions of dollars that people often ask people to date. "Now I am not a consultant, so what I write in this article should not be regarded as the Council, but I am an experienced investor who has some nice gains in recent years . In this article I will give my own thoughts and opinions, which reserves the possibility, even in 2009.

In recent months, stock markets around the world have made a very good thing. Examples include the FTSE in London at 25% above the lowest, the most important Russian market, 90% higher than the lowest price, and the Dow Jones in New York, which is 30% more than the annual low. Investors do not want to lose the boat, and thus directly on the board, and believe that the worst of the credit / recession ended.

Personally, I would like to invest on a monthly basis, for example, instead of investing a certain amount per year is 7200 pounds rather than £ 600 a month. Why invest in this way? This is only the so-called average cost of pounds, if your monthly payment can more units or shares if the price drops lower than it is advantageous if you have a backup.

In addition, they prefer to invest in this fund as the fund for India and not in individual stocks and shares. At this point I investments in the following areas / countries: Japan, Russia, Britain, India and emerging markets.
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Investing in Stock

If you invest in stocks and shares, which almost bought a piece of the company. This saves the cost of borrowing the money they need, and gives you the right to participate in its success that it paid dividends at the end of each year, or the value of its shares on the advance, so if you sell income.

There are two ways you can benefit financially by investing in equities. First, if you pay a dividend, which is money that has already been taxed. That's why you get so-called franking credits can be used to have to pay taxes on other income. And secondly, if your shares for more than twelve months, you'll receive a 50% reduction in the tax on capital gains that you need.

Stocks and shares in general have good liquidity - that is, when you want, you can get your money from investments in three days. By comparing the time it takes to get the money by selling real estate, for example, you will see that investing in equities is a good way to put your money to work
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Ordinary income and capital gains

Benefits for the evaluation of their investment will be taxed in two ways, depending on the types of services:

Revenue
If the benefits of the balance of investments is taxed, your profit is the same as the rate of wages in full for the regular tax rates. If your tax bracket is 28 percent, then this type of revenue for investment profits will be taxed on.

Two types of investment profits are taxed as ordinary income:

• Dividends - Upon receipt of dividends from its people (both in cash and securities), to receive dividends are taxed as ordinary income. This applies even if the dividends in terms of reinvestment of dividends. However, if dividends are tax sheltered plan, such as an IRA or 401 (K), then you are exempt from tax, while on the plan. In January, investors will receive a 1099-DIV statement by the issuer, dividends, information on the amount of dividends paid during the previous year. Consult your tax advisor, as the latest tax legislation to offer tax breaks for dividends.

• Short-term capital gain - If you sell shares in the profits and ownership of the shares, only a year or less, the profit is considered ordinary income. If you follow steps 1 and August 31, sold in July next year, which is less than a year. To calculate the time and date (or date of execution). This date is the date on which the running for the settlement date. However, if these benefits are preferential tax plan, such as 401 (K) or IRA, taxes are not active.

Long-term capital gains
Long-term capital gains in general is much better for you, insofar as concerns taxes. The tax laws reward the patient investor. According to the population, at least one year and one day (what a difference a day!) The tax rate will be. Learn more about the return on capital of IRS publication 550 "Investment income and expenses." Since the tax on capital gains tax is more important to investors.

Administration of tax benefits of your investment is that you can control. Earnings are taxed if the sale is actually made. (In other words, only if the profit is realized. ") If your stock GazillionBucks, Inc, from $ 5 per share to $ 87, $ 82, that recognition is not taxed if you are really for sale of shares. Until then, until it sells, which is to win "unrealized." Carefully the time of the sale of their shares for at least one year in the amount of taxes you have to do it.

If you are buying shares at the time of purchase and the cost of acquisition (the purchase price for additional costs such as commissions). This information is very important and taxes, if you decide to sell their shares. Date of purchase will make the holding period (the time you have owned the shares), which determines whether the profits are considered short-term or long term.

Suppose you bought 100 shares GazillionBucks, Inc for $ 5 and $ 18 fee for your price is $ 518 (100 shares at $ 5 to $ 18-EC). If you sell shares at $ 87 and $ 24 fee for the commission, the total sales of $ 8676 (100 shares at $ 87 less $ 24 Commission). If the sale of less than one year after purchase, is a short-term profit. With the support of 28 percent taxes, short-term profits $ 8158 is 28 percent. (A short-term gains are taxed as ordinary income.) Any gain (or loss) on short-selling short-term, regardless of how long the position remains open.
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The biggest mystery in the securities market

There is no other place to understand that this trade!
This could include shocking article he read in a long time.

Following the discovery that the largest pocket full of secrets, so it may be all you think about trading stocks. It can also completely turn around its business by removing the "gambling" element almost entirely, and its loss in profits for the night.

If you are currently active investor or not, you know the basics, how to play the majority of people in the stock market. It can be summed up in two words.

Buy
Pray

You may laugh, but you know, it's true!

You will receive a "fact" in a newspaper, a tip sheet, a man in a bar, where, and to go and buy shares. Then wait and hope and pray you, and if you do, sell and collect profits.

Not that you have a strategy, now is it?

Of course, there are dealers who are far more complex than the strategy of "buy and pray." You can use the maps and technical analysis and work in their offices, moving averages, Fibonacci lines, Bollinger bands and so on. It can sometimes be less than the expected benefits of the low drag, but the "game" element is still there - to decide which direction to move and the public position on this basis.

If you're right, fantastic! If you are wrong, then more of the capital in commercial galleries and back to the drawing board for the next trade.

Why trade in a way?

Well, I made a comprehensive study on this issue, and that's what I found. Most people from the commercial point of view, because I think they are right (of course), and they do not know of any other form of commerce.

First of all, there is confidence that the underlying says:

"There are people in the world, which is to predict accurately and consistently address a particular stock or market. If I work on it enough, I began."

(As well as current issues, of course, is whether "eventually" to the talks in the capital runs out!)

So there is the biggest stock market secret ...

No one has the ability to predict accurately and consistently address a particular stock or market, so it is not a matter of time for trading, this ability does not reach!

I warn you, is not it? You can read back a few times just to allow it to sink in.

And then you discover that the problem arose from the darkness - So what now?

Well, if nobody can predict the direction of movement of the market, such as knowledge of the trade? The answer is probably the second biggest stock market secret.

In fact, this "smart money" not to address the commercial market. The "smart money" Trade only in situations where major changes are likely - and the "smart money", it does not matter in what direction they move, they will not be able to profit if the stock rises or falls!

Once again, I would recommend you read this paragraph several times, too? In accordance with successful traders in large profits, it moves quickly, regardless of whether it is up or down.

Can we learn to follow in his footsteps? Absolutely!

You can perform the same way they do not "play" in the direction of the market or value? Absolutely!

If your work, your family, your leisure time? Of course not! This form of trading is unique because it is largely a set and forget strategy - and "setting" takes only a few hours a month!

Once you have this advantage, a strategy - and I invite you to learn directly from professional trader is a way of life - There are only a few steps once a month.

You a) Verify that the stock is for you, b) verify the existence of a figure, C), check whether there are people with personalities is a strong indicator of trading on the private web site, and d) the place of trade (an appeal, or through the online trading platform).

And here it is!

Then, when the ratio of benefits to the beginning of the movement. And if the benefits to the population moved to the bottom. And you can usually bank their profits in a few days, since it is trading on the volatility here, which means that large movements in the short term.

You lose a little if we do not do anything that an understanding of this strategy, you will notice is a rare event.

Market Happy!
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In the short time of the trade data for the study

After the course: one entry or exit
For short-term traders (eg, shares, CFDs or exchange traded Options (ETO's) Comerciantes) entry and exit trading shoold easy, but there are cases that may not be possible to enter / exit points for trade with the cost of Reseller initially thought it might . All versions have the merchants of this phenomenon, such as market maker IVF prices all in their favor. Despite the fact that the market maker will receive the ETO in their obligations market maker, who can that they believe that prices in the market can be obtained. For example, in 2006, Brambles (BXB) traded at $ 10.23, and the flame of March $ 10.00 (the intrinsic value of 23 in) 20cents ask 24cents. This means that the market maker, the distribution of evaluating the option, if the market price.

Hunting for a portion of the shares, which traded in CFDs may not have liquidity in the market and, consequently, trade vliume necessary for a decent market (vliume and bid ask spread). The operator can be found chasing the price of entry and exit for the trade. This is further exacerbated when using the CFD provider and the market maker. As a CFD trade, in some mid-cap (or small cap) stocks that trade vliumes can be dried quickly, with the CFD traders may be in a situation where the starting price of CFD services in a market Maker quickly against them in connection with the adverse market conditions. Given the unreliability of vliume in this population, CFD trader should follow a business plan, which contains detailed information on that investment is ready to take risks in terms of increasing the risk for small and medium cap stocks top.

Suspension
It may also be a rare case that the stocks in pre-open ", or a notice of change or any event. In the United Kingdom recently Langbar International has been suspended from trading. At the present time in suspension for many months. The time from the bad retailers who are still in Langbar CFDs have a margin call from its suppliers Foll. On the contrary, as the storm damage to the insurer, the "unforeseen" factors may be expected, the value of trade transactions. Shoold traders cash cushion in your trading plan for approval such "unexpected" contingencies.

Down with the differences
In Australia, the share of the market is vulnerable to a situation in which gapovernight a sudden and sharp price changes in key foreign markets can be a real problem, namely vliatile as they relate to foreign currency, oil or resources. When trading CFDs or options in relation to these areas, coold be useful for small items that do not adversely affect the major commercial banks of adverse movements in prices of basic assets (stocks, currencies, commodities) could lead to a substantial loss or a wide choice for the operator on CFD in the short term. Many CFD trader has received a guaranteed Stop Loss (GSL), in contrast to often that the stocks. Nevertheless, the additional cost compared to GSL risk / reward trading opportunities for analysis. In contrast, the average cost more than the cost of GSL?

Stop-loss
The indictment actually responsible option and CFD traders to assess the risks within a short time invlived trade and disciplined approach contrli them. The main thing is to always be on the type of loss. If it is at all appropriate levels, possible loss shoold sustainable. Despite these measures, short-term trading to be high-risk derivatives trading, and nobody shoold madness, if you understand the nature of the transaction, and what is at stake.
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Advantage Bag

In the waiting period, when the current works in his favor. Not for trading, as it is an advantage. If the temptation to sell just because they are a benefit questions:

Do I need the money?

Is the most?

Should I sell?

Why should I get?

Look at the graphics, to do what you say. If they do not show changes in trends, wait. Security benefits stop-loss order, but did not have arrived too early. This is just bad as the loss is too late. Keep the patient, if you're right, and the nerve to stop quickly if you have a bad success.

Accumulated surplus

The surplus should be accumulated to increase the volume of trade. On the margins not only held on the lambs. If you are serious risks that can not trade. Wait for an opportunity to buy or sell, but to prevent the loss of 3-5 points out. This financial suicide big loss if it can be avoided.

If you do not expand until you return. Every big company excessive care and is proud of its publication. No one without loss of time and a speculator or investor should expect losses. Thus, it is necessary to create a surplus that can afford the loss, as well as for trade.

A very active part in the market when trading stocks with high price levels are generally not willing to pay for the loss of more than two days of hesitation. If the reservations that are contrary to two days, is likely to go further. Take the loss and keep it on the unimpaired capital and wait for another opportunity.

Dividend for purchase

The word means a dividend of profits or income, but often, when you buy or mitigate mining town Divya, the word means, or the allocation of capital with other colleagues, and then lose everything.

Many people make the mistake always want to buy stocks that pay dividends. They not only buy shares, as dividends, or sell, because they do not. People often to save, as it continues to pay big dividends, only to see their capital destroyed by half or more, the dividends should be reduced or completely in the past.

Look at protecting your capital, dividends are not. Trade for the benefit, rather than dividends. The fluctuations in the dividend yield more money, and you'll know when stocks are accumulating, or step forward or backward. If shares are sold to low-or offline, depending on the dividends it pays, it is likely that something is wrong and short-selling more than buying.

If the stock sale is very high, and do not pay, there is a reason, and not sell them short. It is likely that the payment of dividends, either in a very strong position.

Otherwise, it will not sell at a high price. Dealing with the period of stocks above or below, due to its intrinsic value, but at the end of the supply and demand to regulate the course of prices and values, based on these factors. How can we know when supply and demand, where you can buy or sell.
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5 secrets to earn money during the storm on Wall Street

Now is the time to Fortunes are made
In a world in the twenty-four-hour news cycles, each small piece of data seems monumental reason to start trading stocks in your retirement or brokerage account. The report of the natural gas inventories could think that, even taking a break for a cup of coffee or use the bathroom could destroy the hope for early retirement.

The powerful, undeniable truth is that to make a lot of money does not require a high IQ, or on the market or in business. It takes a merciless cost control, disciplined routine, and emphasizes that the right for the long term. If you're McDonald's franchise and management 401K from his home office, perhaps, Nobel laureate Paul Samuelson said he was the best economic: "Investing should look like paint dry ... If you want excitement, take $ 800 and go to Las Vegas. "I have detailed the nature of this, giving readers a chance to look at my portfolio and dividend shows how my own account prospered in the past three years, despite the terrible market fluctuations, through the collection of well-capitalized and well to the general reserves.

1. Buy shares of good businesses that generate real benefits, attractive stock returns are low to moderate in the debt equity ratio, improved gross profit, shareholder-friendly management, and at least some of franchise value.

2. The U.S. average cost in and out of your positions, buying and selling at fixed rates, set the volume of money. This will allow you to avoid buying or selling at the peak to the bottom.

3. Reinvest your dividends, because it will overload your dollar at an average cost of the program. Works by renowned finance professor Jeremy Siegel have shown time and again that the reinvestment of dividends are a huge component of overall well-being of those who have made their lives investing in the market.

4. Keep your costs low. Think there is no difference between earning 7% and 8.25% for your money? Think again! For 25 years, invest $ 5000 per month in the Roth IRA with hopes retiring at 65, 7% of its revenue will be about $ 998,175 for retirement. 8.25% return would result in $ 1383610 wealth. This is 38,6% more money, or $ 385,435! Place the difference in municipal bonds, and you will receive an additional $ 17,000 + after tax income each year, without touching your principal.

Think about that - the same investments, but with slightly higher returns, will be additional $ 1400 + per month after tax retirement income, do not touch your portfolio. Before taxes, it is about $ 2300 in gross pay when you're working nine to five a day of work. In other words, the additional 1.25% return over 40 years as a $ 27,600 pay raise during your working years. Big difference is that you will not have to deal with the scheduled hours, boss, colleagues or mitigate collect your interest municipal bonds.

Why talk about 1,25% the difference? This is a management fee charged by most actively managed mutual funds. The index fund simply buys and holds stocks of a basket to reflect in the index - most commonly, S and P 500 and Dow Jones Industrial Average. With virtually no expenses, fund only 0.12% of assets annually, or $ 120 for every $ 100,000 you have to work! Two of the most popular index funds from Vanguard and offer Fidelity (check the prospectus for the current expense ratios).

I saw one large wealth management firm offer of S & P 500 Index Fund, which requires almost no work, but the charge of + 1% contribution from each year. Here is a 10x cost Fidelity and Vanguard funds virtually identical product! You've already seen what the consequences might be in a pocket book for several decades. Most investors do not realize the importance of the collection, because the money is automatically deducted from the mutual fund itself. In other words, they should not write so check this case "out of sight, out of mind." (For more information, read all about mutual funds.)

5. Finally, the last secret of the creation of their own destiny, when Wall Street in the storm was to create back-up generators in cash and sources of income. This is one of the most important things you can do to reduce risk. Even if you're a lawyer earning $ 300,000 a year, or an actor making $ 2000000 for the film, you'll have a much more pleasant life, if you know that you do not depend on your next salary to maintain your lifestyle.

My personal favorite use of this method is in Berkshire Hathaway model. That's how my life and structured finance, and he can do it much easier to collect the first few million dollars in capital. In fact, you live out your day of work, funding your retirement from your regular salary. Then you build other cash generators (such as car washes, retail stores, newspaper routes Lifeguard work during the summer, patents, royalties, rental houses, etc.) that you use to create your investment portfolio. Thus, while you do your regular business - go to work, picking up children with staff meetings and putting gas in the car - your cash generators pouring money into your brokerage, pension and other investment accounts. That could shave decades, your quest for financial independence, not to mention protect you if you happen to lose their jobs (in this case, you can temporarily pull money out of cash to pay for your generator living expenses until you can not find a job again). Think of Warren Buffett. If dairy queen were to go bankrupt, he will continue to be rich with GEICO. If it were to go down, he still Nebraska Furniture Mart. If it were destroyed, there is always Benjamin Moore paint. If he is removed, he can always take advantage of Coca-Cola. If it had ceased to exist, there is always the American Express. And Washington Post. And Wells Fargo. And U. S. Bancorp. And Johnson & Johnson. And Borsheim's. And MidAmerican Power. In addition, he makes millions of meetings on various board of directors. It was built from a paper route, provided that his initial capital by more than sixty years ago. Learn from him!
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