Smart Investing For Beginners
There are many ways to invest your money, but the ones I recommend to anyone are saving and paying bills. Why? Because it's easy.
Easy as putting your money under your mattress, eating Cheetos, or watching South Park. I mean look at them. They've got to be making millions.
When I say pay your bills, I mean that you should first pay off your debt. Whether it be credit cards, student loans, or car loans. It should be a routine process. Once you have your debt paid, your next step should be investing in stocks.
The reason that I recommend it's first is because investing in stocks is easy. You can do it over and over again and again and it won't affect your life in any way.
You don't have to watch your account every day. It will save you money as well. By investing in stocks, you will usually invest small amounts every month or even yearly.
Meaning you will have a lot more money to invest. This is what we are going to focus on in this article.
Investing into the stock market is not the easiest thing in the world. The first thing to do is learn all you can about the stock market. So the first thing we are going to do is learn the basics.
What is a Stock?
There is no official definition of a stock. The definition from the SEC is a stock is any share that entitles you to the ownership of a company. This ownership can have different forms, like voting rights, dividends, and liquidation rights.
The stock also includes the right to incur debt with it.
A stock is usually issued to the stockholders of a company. This is the owner that does not have voting rights, and there is only one that holds more rights than anyone else, the CEO of the company.
The CEO of a company can create more stock if he chooses. What the CEO can not do is eliminate any one of the shareholders. Now that we know what a stock is, let's see how a company can create shares.
How Companies Create Shares
Companies can create shares by offering them for sale to the stockholders. The share is created when the company offers the shares they own to the stockholders.
What is set in stone is the price of a share. For every one share, there must be a set price per share, and this is the price a company will sell their shares at.
The company will set the price of the share to ensure that the stock that they sell is always in demand. A company should always try to maintain a constant rate per share since this will ensure that more investors will buy their shares.
How Companies Sell Shares
Companies can sell their shares from their books, through a broker or directly to the stockholders. The sales can be done through a broker or through a direct sale. When a company is selling shares directly to the stockholders, it means they are selling these shares directly to the investors.
A direct sale is when a company sets a price for the share that is fixed and everyone can buy the share anytime from the company.
A direct sale is a sale where a company chooses to sell their shares to the public, the public can buy and sell those shares anytime during the day.
The price per share on sale is set by the company to ensure that the share is always in demand. To ensure that the stock always has demand, the price per share must always be high, and if it drops the company will lose their share of the income that they earned for that day.
So an investor must always be on the lookout for a share that is always high on demand. Companies will make sure that the share is always high on demand so that they can earn a high income for the day.
How the investors view a company
Investors view a company through the eyes of the investors. Investors will look for a company that always has a high demand. To make sure that the demand for their shares is high, they will look for companies that will be able to produce income for the company.
To always make sure the demand is high, they will look for companies that are always setting the price per share on high, and when the demand drops, the share price will also drop.
To always earn a high income for the day, companies will make sure that the shares are always set to high on demand.
A company that is always setting the price per share too high is a high growth company.
A company that always sells shares at high prices is a high growth company, in order to ensure that the demand for their shares will be high, they will look for companies that will always provide income for the company and keep the price per share high.
To ensure that the income produced by the company will always be high, they will look for companies that always produce more income per share. The high on demand company will always ensure that there are always buyers for their shares so that the company will always earn a high income for the day.
For a company to always earn a high income for the day, they will make sure that their shares are always set to high on demand. A share that always sells at a high price is a high growth company.
A share that always produces at high per share is a high growth company, in order to guarantee that the demand will be high, they will make sure that the shares are always set to high demand.
Small Investments That Make Money
Smart investing for beginners now anyone can get started with really little money to invest. But before you start, you need to understand some things.
Beginners Simple Rules
1. You don't have to be a professional to get started.
There are ways to make trades that are helpful and they are helpful for beginners and for those who are new to investing.
2. You don't have to have lots of capital to start.
You need to know that you can keep a portfolio with a low trading cost and have those trades trade profitably. A cheap account will let you get started trading without risking too much capital.
3. You don't have to be an expert in stock trading to get started.
You don't have to know everything there is to know about stocks and stocks in general. You can pick up what you need to know by reading and watching stock trading programs.
4. You don't have to sell every stock you buy.
The value of the money you have to invest won't make it possible. Your goal is to trade, not to hold any stock long term. This is how you can get started.
5. You can't expect to make money every time you make a trade.
The value of the stock you buy will have to increase the number of times before it has a chance to be profitable. You might buy a stock for 1 dollar and sell it for 5 dollars. That doesn't work every time, but you will have a better chance.
6. You have to keep trading.
You don't have to hang on to a stock forever. Many beginners think they should hold on to a stock and hope it will increase in value. You don't have to make money 100% of the time. The reason you buy a stock is to make money, not to stay with it forever.
These tips are for people who want to invest in stocks and want help understanding the basics of stock investing.
This is for the person who wants to start trading in stocks but doesn't know what they are doing. This is for the person who thinks they need to be a professional stock trader to make money.
Smart Investing For Beginners
Firstly, Before we get started if you think this sounds like too much work,
Don't worry there is another really easy option that we briefly talked about at the start of the post, and it's absolutely set and forget if you want it to be.
How To Start Investing
You can have your first shares in a portfolio in 24 hours guaranteed, Yes guaranteed. All you need to do is join the one and only Angel investing club for beginners, Join free to start and look about and learn from inside.
But your best to start as a paying member as soon as you can so you can start getting shares. There are 3 membership options and the lowest is about $100 per month and that will be turned into shares in some fantastic startup companies every month. This is Smart Investing For Beginners made easy.
Research And Due Diligence
They do all the research and due diligence for members. Every month you will get more shares and equity added you your portfolio and you can log in to check your portfolio any time, go to weekly webinars, and much more.
This is why it's Smart Investing For Beginners, So it's up to you if you want to be passive and get involved and to webinars.
It's really a great place to start,
Become An Angel Investor The club has only invested in 18 startups in 5 years as they are very careful and know how to pick winners. The club has already had 3 companies IOP on the stock market.
One more point is for a new member that creates a FREE account today will get a signup bonus to win Angel Investor FREE shares, worth up to $300.
For info on the club visit this link VC Crowd
Now, let's get started on Stock Trading.
First, we need to find a stock trading account that will let us make trades for free. There are a few places we can look. Some broker websites offer low fees and some do not.
Find one that is reliable and cheap. Look for ones that give you free trades if you make 20 or more trades over a one-month period.
Also, find a broker that gives you some type of encouragement. Most will provide you some type of incentive but ask for a card that is personalized and let them know how you appreciated the personalized attention.
This is the money that you are using so you deserve to be remembered for your success.
Next, we will want to look at the companies that are offering the stock. For this, we will use search engines like MSN or Yahoo finance.
Enter the company name and look at its financial tables. Look for the stock symbols that are repeated throughout the company.
This will help you recognize the stock symbols if you are an investor.
Next, search the stock symbols in the following industries. Look for those that are similar to the industry the stock is in. Look at the sector they are in, look for similar products, look for similar industry competition. Look at the symbol, look at the company, and look at the industry and sector.
This will help you narrow down your choice of industry.
You may want to use one industry multiple times as you may find what you are looking for. For instance, we will use the oil sector as our first search.
The symbol we will search is OIL.
Then we will look for companies that are related to oil as a sector.
Then we will look for similar companies, and then we will search for competition in the oil sector.
This will help you find those that are closely related to the industry and we will be looking for the best value in the industry.
Finally, we will look for the symbol of the company.
This will help you determine if the stock symbol is a good value and if you should buy it or not.
There are many tools to determine the best value, and for some investors, these can become a very time-consuming task.
In those instances, an online stock screener can be your best bet as you can enter the symbol as you would your password, and also receive email alerts for the latest stock values as well as industry alerts.
Check Your Portfolio
The other advantage to these is that they are mobile-based. You can enter the symbols, enter your portfolio, and at the same time be able to check your portfolio on the go via your mobile device. So this can be an easy way to determine the best value in the industry.
Hope you found Smart Investing For Beginners useful for your research