Posts Tagged Investing Strategies
Compounding to Wealth
Most wealth is built steadily over long periods of time. There are exceptions such as some of the dot com wealth that was built in the second half of the 1990's. (At least for those that were smart enough to protect their assets from the downturn.) That was a unique period
07.11.2010| Knowledge of Stock, Stock of Knowledge | TonyLiu
There are many forms of risk management such as overall diversification with the use of various asset classes, the ratio of equities to fixed income, and the use of long-term trending to periodically change the asset allocation. Since I prefer to use mutual funds rather than individual stocks, d
07.11.2010| Knowledge of Stock, Stock of Knowledge | TonyLiu
ECNs
If the thought of your broker making money off
the bid/ask spread makes you less than thrilled, you should be aware that there are alternatives for trading, such as Electronic Communications Networks (ECNs). Electronic Communications Networks (ECNs) represent orders in Nasdaq stocks; they
07.11.2010| Knowledge of Stock, Stock of Knowledge | TonyLiu
Before you start trading stocks, it's a good idea to understand the process of trading. Most buyers in this country are accustomed to retail shopping, where the prices are set beforehand by the seller. The stock market operates more like an auction, in which both buyers and sellers are actively se
07.11.2010| Knowledge of Stock, Stock of Knowledge | TonyLiu
Not surprisingly, the Nasdaq Composite tracks
all of the stocks listed on the Nasdaq exchange . The index dates back to 1971, which is when the Nasdaq exchange was first formalized. The index is used mainly to track technology stocks, and thus it is not a good indicator of the market as a whole.
07.9.2010| Knowledge of Stock, Stock of Knowledge | TonyLiu
Develop The Right Attitude
The following personality traits will help you achieve financial success:
* Discipline: Develop a plan, and stick with it. As you continue to learn, you'll become more confident that you're on the right track. Alter your asset allocation based on changes in your pers
07.9.2010| Knowledge of Stock, Stock of Knowledge | TonyLiu
Investigate before you Invest
Always do your homework. The more you know, the better off you are. This requires that you keep learning, and pay attention to events that might affect you. Understand personal finance matters that could affect you (for example, proposed tax changes). Understand how
07.9.2010| Knowledge of Stock, Stock of Knowledge | TonyLiu
3. Get Your Financial House In Order
Even though investing may be more fun than personal finance,it makes more sense to get started on them in the reverse order. If you don't know where the money goes each month, you shouldn't be thinking about investing yet. Tracking your spending habits is the
07.9.2010| Knowledge of Stock, Stock of Knowledge | TonyLiu
1. Start Investing Now
We say this not just to discourage procrastination, but because an early start can make all the difference. In
general, every six years you wait doubles the required monthly savings to reach the same level of retirement income. Another motivational statistic: If you co
07.9.2010| Knowledge of Stock, Stock of Knowledge | TonyLiu
Another strategy for investing involves looking out for what insiders at a company are doing with their stock. Keeping an eye on insider trades can be useful because it allows you to see what the people who have a large stake in a company are doing with their stock. These insiders are often th
06.22.2010| Knowledge of Stock, Stock of Knowledge | TonyLiu