Category: Learning to Invest
The analysis published under this category are as follows.
Tuesday, May 10, 2022
How to Ensure Financial Stability for Your Family / Personal_Finance / Learning to Invest
By: Submissions
Financial stability is crucial in maintaining a happy and healthy family life. Everyone knows that having money is beneficial, and the lack of it can make life very difficult, whether you are single or raising children. Having a family carries a lot of responsibilities because you no longer think only for yourself but also for your spouse and children. They need the assurance that they can live comfortably in a healthy home environment, eat healthily, and not lack in their essential needs. In addition, the children should be able to study to ensure a better future. These are responsibilities that come with raising a family.
Financial stability means consistently meeting household needs and living a comfortable life while having enough set aside for emergencies. It is not about being rich; rather, it is handling whatever finances you have on hand responsibly.
Monday, May 09, 2022
Making Wise Investment Decisions / Personal_Finance / Learning to Invest
By: Mark_Adan
Looking to up your investment game? Here are some great tips to do so.
1. Draw a personal financial roadmap
Before you even begin your path to investing, take the time to sit down and examine your financial circumstances and your investment capacity. This is especially important if you are investing for the first time.
The first step is all about figuring out your personal goals and your level of risk tolerance. This can be done on your own or with the help of a professional financial counselor. There is never any guarantee that you will come out winning from your investments. But if you begin your investment journey with realistic goals and a clear idea of the risks you can handle, you can expect financial security and more control over your investment plan as it is set in motion.
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Tuesday, March 29, 2022
Learn to Value Stocks Using the Earnings Growth Factor / InvestorEducation / Learning to Invest
By: Nadeem_Walayat
After the current panic passes I will revert to posting my primary AI stocks table as the main table for data, presently the table retains my original pre-panic buying levels as of 22nd November 2022 for comparison purposes with levels achieved in red against those that remain pending. Remember all of these levels once upon a time seemed far out of reach, who could have imagined Nvidia would fall from $336 to $236 over a couple of months! Google to $2625! Microsoft to $282, Intel to $48, okay I'll give you Intel, but many of the levels have now been achieved and then some!
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Thursday, February 24, 2022
How to invest your money long-term / Personal_Finance / Learning to Invest
By: Sumeet_Manhas
Are you planning to invest long-term? Before jumping right in, it is always recommended to have a good knowledge on the matter, because otherwise you would be risking your money. Making the right choices is the key for a good investment and for having safer returns. It is never late to start a long-term investment, either for after your retirement or for eventual future needs. There are different options available to be considered. This way you will understand what is right for you and what is your investor’s profile. A piece of advice: always have some funds in an emergency fund for any urgency you may have to face in the future. Aside that, it is advisable to find accounts that let you to have access to your money at all time. While making your research and reading through some materials, most likely you are going to find these two options, so let’s see the difference between SIPP and ISA.
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Wednesday, December 22, 2021
FREETRADE - What Value FREE SHARES Can You Expect to Get When Signing Up? AMD, Apple, Microsoft? UK / InvestorEducation / Learning to Invest
By: Nadeem_Walayat
FREE TRADE is probably one of the best UK trading platforms for Stocks and shares ISA's, with it's commission free trading and fractional shares and low F/X fee of 0.45% AND they give a free share currently worth between £10 and £200 when signing up through a referral link. However what free share can people expect to get will it be an AMD? Apple, maybe a Microsoft as I show what my 7 FREE shares were that I got via referring others to FREE TRADE, so this is a good realistic expectation of what one is likely to get from FREE TRADE.
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Saturday, December 04, 2021
INVESTING LESSON - Give your Portfolio Some Breathing Space / InvestorEducation / Learning to Invest
By: Nadeem_Walayat
Investing is accumulating positions in good corporations for the long-run and not trying to swing trade as some appear to be doing. My primary tools for monitoring my portfolio are Excel spread sheets that I only tend to update prior to posting an article that contains the list of AI tech stocks as I am used to not constantly looking at the state of my portfolio i.e. in years past I would update the prices usually once every couple of months or so given that it is a manual exercise.
Folks, you need to give both your portfolio and yourselves some breathing space, peace of mind as staring at the your stock tracker app's blinking red and green is going to drive you nuts! Don't use trackers, don't use app's. Just use a spread sheet and update your holdings manually once in a while then get on with the rest of your life, don't let your portfolio rule your life!
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Saturday, November 27, 2021
Stock Market Investing LESSON - Buying Value / InvestorEducation / Learning to Invest
By: Nadeem_Walayat
INVESTING LESSON - BUYING VALUE
Remember folks when investing one is not trying to buy the bottoms, one is trying to buy VALUE! There are many metrics for measuring value but for most investors the easiest way to measure value is the P/E Ratio, it is simple and easy to determine and virtually every investment site features the P/E ratios for stocks. Though from my experience many of the sites posted P/E ratios tend to out of date or inaccurate i.e. I calc virtually all of the PE ratios myself by dividing the share price by the earnings per share for the last 4 quarters and that is how one gets the P/E ratio i.e. how many YEARS it would take for the corporation to EARN it's share price.
Now there are many more metrics than that which can be just as important such as whether the corporation printing it's own shares Powell style, Brrrr, so shareholder dilution is another metric I watch among 15 that go towards generating the EC ratio, a quick way to see how expensive or cheap a stock is.
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Tuesday, November 16, 2021
Investing Tips For New Investors / InvestorEducation / Learning to Invest
By: Mark_Adan
1. Know Your Investment Goals
There are several key questions every potential investor should ask themselves before venturing into the industry. Your reasons for investing and how long are two of the key questions you should have an answer to before you can venture into the stock market. Are you looking to grow your wealth, saving for retirement, or hoping for a house deposit? It is only after identifying and defining your investment goals that you’ll be able to determine what stocks to invest in and for how long.
Saturday, November 13, 2021
Tips For Investment Success / InvestorEducation / Learning to Invest
By: Mark_Adan
We live in an information society - however, the information that we receive cannot always be relied upon. That information is supplied by the mass media and is often the product of pundits in cyberspace - that obviously might not be those who are the best sources of information. However - as a logical human being you may very well have more logical ideas. But - even given that insight there are some hints and tips that can provide guidelines that will improve the performance of your portfolio.
So here are some hints and tips from those who know a portfolio and how to make it provide them with an income in a time of high uncertainty.
There is a tremendous amount of information that is available to those who want to enter into the realm of cyberspace. The print media still has a gravitas that is not easy to match. Then there are friends and family - and they can be tremendously influential in shaping your thoughts. Given all these inputs, how do we find that path towards a personal investment that actually delivers,
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Friday, November 12, 2021
FREE TRADE the Best Stocks and Shares ISA? / Personal_Finance / Learning to Invest
By: Nadeem_Walayat
There is a UK based fractional share ISA solution called FREE TRADE, that similar to Etorro offers a commission free fractional shares platform that has two crucial differences that makes it a far better INVESTING platform to Etorro's TRADING platform.
1. An ISA tax free wrapper at a cost of £3 per month along with their FREE general investing account (non ISA). Though there is a way to offset their monthly fees completely via their plus account by keeping £4k in cash on account that earns 3% / £120 per annum..
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Thursday, October 14, 2021
How to Protect Your Self From a Stock Market CRASH / Bear Market? / InvestorEducation / Learning to Invest
By: Nadeem_Walayat
Stock Market CRASH / Correction
We will soon be moving into the window for a stock market correction where I penciled the probable expectations for it to take place sometime between Mid Sept to Mid October, though it could start earlier hence why I was not willing to wait around and de risked ahead of the window.
How much could the general indices such as the Dow drop? I have in mind a drop of somewhere between 15% to 20% as being the most provable outcome, though it is early days, so it could be less or it could a more but 15% to 20% is what I have had in mind for the likes of the Dow for some time.
Whether it will be just a correction and resume it's raging bull market or signal start of a bear market proper is uncertain, probability favours continuation but this is not 2011 when we were in a hated stealth bull market that few took seriously instead now every tom dick and harry thinks that stocks can only go up! And so will assume that buying the dip is a one way bet to stock market riches. Which is why one needs to focus on VALUATIONS! Buy when Stocks are CHEAP! For it allows one to survive BEAR MARKETs and not end up with a 20 year Dead Parrots like Cisco and Intel!
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Thursday, October 14, 2021
Why "Losses Are the Norm" in the Stock Market / InvestorEducation / Learning to Invest
By: EWI
"I can measure the motions of bodies, but I cannot measure human folly."
Did you know that Sir Isaac Newton "lost his shirt" in the South Sea Bubble of the 1720s?
This great scientist and mathematician lost more than the equivalent of a million 2021 dollars.
Here's a brief description of Newton's investment actions from Robert Prechter's landmark book, The Socionomic Theory of Finance:
[Sir Isaac Newton] invested a little bit early in the trend and "wisely" took a small profit. Watching the trend continue, he finally bet heavily and "wisely" held on for the long run. He eventually sold out at a near-total loss.
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Thursday, September 30, 2021
Should you include ESG investments in your portfolio? / InvestorEducation / Learning to Invest
By: Sumeet_Manhas
The coronavirus pandemic has undeniably altered society in many immeasurable ways. It’s even had an impact on the world of investment. Indeed, it proved to be a major turning point for ESG investing as the pandemic not only altered the way we interact with one another but societal values too.
The experts at Saunderson House recently ran a study on financial well-being and put a greater focus on responsible investment. Their results reveal that, from a moral perspective, there is a major appetite right now for ESG or responsible investing. But what is ESG and why should you include them in your investment portfolio?
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Tuesday, August 10, 2021
How To Make the Right Investment Decision – The Ultimate Guide / Personal_Finance / Learning to Invest
By: Mark_Adan
Given the current market events, you're wondering whether to change your investment portfolio or not. It has been a great concern because various investors - including mattress stuffers and bargain hunters - make rapid investment decisions without planning long-term financial goals.However, we can't tell you how you need to manage your investment - particularly during a volatile market. But we can provide you an alert to help you make an informed decision.
Since the pandemic hit the world, the world of investment has become challenging. So, as an investor, you need to be concerned about consumer demand points to a strong economic recovery.
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Tuesday, August 10, 2021
What Are The Benefits Of Dividends? Everything You Must Know / Personal_Finance / Learning to Invest
By: Mark_Adan
What are dividends? And what is the importance of dividends? Or downside?
Dividends paying firms distribute a portion of net income to shareholders of their stock. These are paid yearly, and the remaining amount of profit, the company, reinvests back into the business.
Dividend stocks make regular payments to shareholders, therefore a great way for an investor to earn a passive income. Moreover, dividend stocks have a number of benefits beyond the allure of receiving passive income.
Before buying in, you should understand and examine both the advantages and disadvantages. You can weigh the two and make an informed decision.
Let's explore the benefits of dividend investing:
Monday, July 12, 2021
An Investing Truth: Roughly 80% of Stocks Are “Duds” / InvestorEducation / Learning to Invest
By: Stephen_McBride
Today I’m spilling the beans on something very important. It’s a “truth” about investing almost nobody understands. This truth explains why most investors struggle to make any real money in the stock market… while a few achieve life-changing gains.
The truth is: most stocks are horrible investments. Let me show you what I mean, and how you can turn this truth into an edge that’ll let you beat 99% of investors.
Thursday, July 01, 2021
INVESTING LESSON - AI Stocks Relative Strength - Why Selling Google or Facebook is a Big Mistake! / InvestorEducation / Learning to Invest
By: Nadeem_Walayat
Stock market corrections are useful in gauging what is going on under the hood of corporations long before any information makes it into the public arena. For instance looking at the relative strength of the top 5 AI stocks shows Google and Facebook showing relative strength, whilst Apple and Amazon are showing relative weakness with Microsoft in the middle. What this is saying is that one should definitely NOT make the mistake of....
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Tuesday, April 13, 2021
How to Get Rich with the Pareto Distribution - Tesco Example / Personal_Finance / Learning to Invest
By: Nadeem_Walayat
PARETO distribution! Never heard of it, well watch the video and learn something important as you get another one of my insights into how the world actually works and so how to adjust what you do so as to meander towards riches in this lifetime as opposed to the after life which many billions have resigned themselves towards. WATCH the VIDEO and LEARN something new that could change how you progress through life!
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Wednesday, April 07, 2021
Stock Market Perceived Vs. Actual Risks: The Key To Success / InvestorEducation / Learning to Invest
By: Submissions
By Rida Morwa: One common criticism of high-yield investments is that they are high-yielding for a reason, making them risky. Often, there is a reason why a security has a "super" high yield. However, just because the market dislikes or fears a particular investment does not mean it is a high-risk investment. With our “Income Method”, we search for investment opportunities that pay a substantial dividend that is well covered by the business's operations, but that the market disfavors for the wrong reasons. This strategy combines immediate-income and value investing.
The Difference Between Perceived Risk and Actual Risk
Perceived risk is a subjective assessment of risk or uncertainty, based on our limited perspective. Others' perceptions will influence ours, and actual probabilities of adverse events may differ significantly. The market is often a key determiner of perceived risk. A recent sell-off, or misunderstood earnings news, or persistent negative "sector sentiment" can all be indicators of a high level of perceived risk. When such events occur, this can open the door for some great buying opportunities, especially when Mr. Market's perception is wrong about the risk factor, and when the fundamentals are strong.
Monday, October 26, 2020
Try The “Compounding Capital Gains” Strategy Today / InvestorEducation / Learning to Invest
By: John_Mauldin
By Justin Spittler : Super-genius Albert Einstein called it “the eighth wonder of the world.” Legendary investor Warren Buffett attributes his $81 billion fortune to this force. And it’s how investors from all over the world have turned small stakes into millions of dollars.
I’m talking about “compounding.” But not in the way you’re probably thinking. Most of us learn about the power of “compound interest” in school. Back in the “good old days” when banks actually paid interest, you could put your money in a savings account.
Slowly but surely, it would grow. $10,000 compounded at 5% per year grows to $16,289 in 10 years, $26,533 in 20 years, $43,219 in 30 years.
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