Posts Tagged ‘profits’

Are Stocks a Good Investment?

Friday, July 17th, 2009

The first step that you need to understand when it comes to determining whether or not stocks are a good investment is to understand how stocks work in general. A share of stock is the smallest unit of ownership possible in a company. Owning a share of a company’s stock essentially makes you a partial owner of said company. Determining whether or not stocks are a good investment is not easy as a whole, because some stocks do make good investments while others do not. Determining whether a specific stock is a good investment or not is a completely different matter, because it depends on the company the stock belongs to, the industry that they are in, the market in general, and numerous other factors as well.

Do you thumbs up or thumbs down stock investments?

If you are thinking about investing in stocks and you want to know if stocks are a good investment or not, consider this:

Common stock represents the majority of the stock that is held by the public, offering voting rights and the right to share when it comes to dividends. When you hear or read about “stocks” and the stock market, the stocks they are referring to are common stocks. Preferred stock on the other hand offers fewer rights than common stock except for when it comes to dividends. Companies which issue preferred stock pay consistent dividends, and preferred stock has the first call on any dividends over common stock.

Investors tend to buy preferred stock for the current income from dividends, so it would be wise for you to look for companies that are earning big profits, because then preferred stock can be used to return some of those profits through dividends.

Liquidity is another benefit of common stocks. They are highly liquid in most circumstances. Small and more obscure companies may not necessarily trade on a frequent basis, but most large companies are trading almost daily, which creates ample opportunity for you to buy or to sell shares. Thanks to the stock market, you can now buy or sell the shares of most companies that are traded publicly almost any day that the market is open.

With a good working knowledge of stocks and the stock market, stocks could be a good investment worth considering. However, if you do now have a good knowledge of how the stock market works, you may be better off choosing an investment vehicle with more security behind it. The recent downturn of the stock market is a good example of what is possible, but while it is frightening many stock traders and threatening some jobs, it is not the end of the world. Most savvy stock investors know when to get out, and when to stay in – And this is powerful knowledge if you want to make the most out of a stock portfolio. Stocks can be risky, and may not always be a safe bet, but they can be a good investment vehicle if you invest in the right companies and at the right time.

Photo Credits: 1

Originally posted 2020-11-17 05:59:47. Republished by Old Post Promoter

Related Articles
  • Managing Money Wisely /caption] One of the hardest things for many people to accomplish is managing money wisely. We may all know the basics, and understand that spending too much is a good way to get on the road to financial ruin. However, when push comes to shove, we end up making mistakes……
  • 401k Planning Most people have questions when it comes to 401k planning and retirement. These people often wonder what 401k planning is, how 401k planning works, and how a dwindling balance can be revived. 401k plans can be complex, but they can also be quite easy to understand with a little bit……
  • Loanio Roundup – Veteran’s Edition /caption] Loanio would like to thank all the men and women who have put their lives on the line to protect America’s freedom and ideals. Your sacrifices and bravery have been beneficial to many and are greatly appreciated. Below you’ll find links to resources, both blog and news articles on……
  • Loanio Roundup – P2P Lending and More /caption] Good morning readers and welcome to another edition of Loanio’s weekly roundup. Below you’ll find several great articles under the categories of small business, the economy, p2p lending, and investing. We hope you find them helpful and interesting. The Economy: Smart Money says Traders are Cautious After Mixed Economic……
  • What Are Safe Investments? /caption] If you are putting consideration into investing money, but you are not sure which is the safest way to invest your money, then your first stop should be someplace where you can get professional advice on the subject. The last thing that you are going to want to do……
Related Sites
  • You don’t have to own a home to invest in real estateHow to Invest in Real Estate Without Buying Property Since the housing bubble burst and the subprime lending mess hit the headlines, it seems like I can’t take a virtual stroll down the information suburbs of personal finance blogs without tripping over posts about why people shouldn’t buy homes, or real estate. My Two Dollars, for instance, has……
  • Oil Stock Investments So I’m really happy with the turn out my oil stocks have been doing. Remember the oil stock post I did last week? Well none of the stocks did poorly as a matter of fact all of them did really well and showed a gains. My USO oil stock option……
  • Investing in the stock marketIntroduction To The Stock Market Last week, I wrote Introduction To Morningstar Style Box and thought it’s a good idea to start writing more introductory level articles about investing. Over the next few weeks, I am hoping that I could organize my Investing archive into an “Investing for Beginners Series” for your convenience. In this……
  • Trading The Market: What Market Trends Are Stock Traders Riding On Recently? I am not a stock trader or any kind of trader for that matter, but I like studying the markets to get a feel for how things are going in the investment world. I believe that knowledge is power, so I’m pretty open to any kind of financial education I’m……
  • Is It Ok For A Christian To Invest In “Vice Stocks”? Part 2 In part 1 our series I began the discussion of this question: “Is it ok for a Christian to invest in so called ‘vice stocks'”? The discussion was prompted by an article in Kiplinger personal finance magazine that talked about how in a turbulent market like it is today,……

Searching for a Legitimate High Yield Investment?

Sunday, April 26th, 2009

Flying high on investments? Avoid scams!

If you’re just getting started with investing, you’re probably searching high and low for a legitimate high yield investment to sink some money into and make lots of profits. Everyone wants to find those high yield investments so they can do the same thing. The biggest problem, of course, is that many other people know how to prey upon those looking for good investments. Scams abound on the Internet, ranging from simple pyramid schemes where you can lose a few hundred dollars or more complicated investment schemes that can cost you thousands.

One good way to figure out if a legitimate high yield investment is a scam is to really think about what you’re being told, and why. Read about the investment with an objective eye. Is the reason it’s such a good investment being explained thoroughly, or is it just a lot of hype and promises designed to get you to sign up? The old adage really does apply—a high yield investment that seems almost to good to be true, probably is too good to be true.

Be wary of the person or the company that’s introducing you to the investment. What’s in it for them? Are they selling you the information about the investment? Be wary. This is how many scammers make their money. They talk you into paying them for information, and once you get the information it usually proves useless—or explains that by giving them even more money, you’ll get even more information. . . avoid these types of pitches. If the investment they’re touting were really a legitimate high yield investment, they’d be making all their money off the investment and wouldn’t need to sell their “secrets” or “system” to you.

One of most common scams involves pyramid schemes. These plans always sound like legitimate high yield investments to people unfamiliar with how they work, and people have been known to sink thousands of dollars into these “investments” before they realized they were being scammed. It’s easy to recognize a pyramid scheme, though, because you’ll probably have to recruit people so sign up for the plan or program, and you’re promised profits off of them and everyone else they sign up. It sounds fine in theory, but the problem with pyramids are that there’s nothing of value being offered. You make money from them signing up—it’s a simple passing of cash—with those at the top making the most and those lower down finding it harder and harder to get people to sign up.

Also, anyone who claims to have a legitimate high yield investment for you and is promising that you’ll double your money or make dramatic profits very quickly is probably just selling something, something on which you’ll lose all your money.

The best way to research high yield investments is by keeping an eye on trends, and reading financial magazines, and online finance magazines like Forbes and The Motley Fool. You’ll get sound investing advice, free of the hype and the desire to sell you something.

Photo Credits: 1

Originally posted 2020-12-26 05:47:15. Republished by Old Post Promoter

Related Articles
  • How Do Savings Bonds Work? Is My Money Safe if I Purchase Them? /caption] These are questions most people ask when they consider buying savings bonds. Yes, your investment in savings bonds is one of the most safe investments you can make. You’re purchasing the bond and giving the government cash, which they pay you interest back on at a later date. It’s……
  • Online Finance Magazines /caption] There are numerous different reasons to take the time to read online finance magazines. By buying and reading online finance magazines, you can learn a great deal about financing in a small amount of time. By buying and reading online finance magazines you will be infinitely better able to……
  • What Are Safe Investments? /caption] If you are trying to accumulate wealth, set aside money for the future or you would just like to have a few more streams of income coming in, investments are usually the first thing people turn to. However, the most common question that many people have is what are……
  • What Are Safe Investments? /caption] If you are putting consideration into investing money, but you are not sure which is the safest way to invest your money, then your first stop should be someplace where you can get professional advice on the subject. The last thing that you are going to want to do……
  • What Are the Best Small Investments? /caption] In times of uncertain economic future, it is important to look at your investment strategy and tweak it as needed. One of the ways that you can improve your portfolio is to take on small investments with lower risks associated with them. Taking in smaller rewards and returns may……
Related Sites
  • Banking Reviews: UFB Direct’s High-Yield Money Market Savings If you’ve been looking for any sort of savings account, you know that there are dozens if not hundreds of different banks that would love to take your money and give you quite a decent rate of return for savings accounts. ING Direct pioneered the business in the late 1990’s,……
  • seedlingHow to Keep Finances Growing No matter how much money you make, for many people, it’s never quite enough. In order to get ahead, you’ll need to find a way to keep your finances growing. There are many different ways that you can grow your income, both actively and passively, and over time, these small……
  • Sunday Conversation #10 with Frugal Dad photo by OiMax Welcome to Sunday Conversation #10! If you would like to participate in next week’s Sunday Conversation, simply ask your question in the comments section of today’s post and I will respond next Sunday. Remember, any subject is on the table (but keep it family-friendly).  “I just……
  • Is Cash Still King? Here lately our markets have been in a tailspin with little reason to “pull up” and get us out of this dive.  It seems like there has been one negative bit of financial news after the other for weeks.  Many economists and politicians are fearing a recession, or worse.  In……
  • Best High Yield Online Checking Account Rates, July 2009 If you keep a lot of money in your checking account, moving your money to a high interest checking account may be a good move. Below is a list of nationally available highest yields checking accounts. All of these accounts are FDIC insured up to $250,000. Your principal is protected……

How Do Savings Bonds Work? Is My Money Safe if I Purchase Them?

Thursday, April 23rd, 2009

B is for Bond.

These are questions most people ask when they consider buying savings bonds. Yes, your investment in savings bonds is one of the most safe investments you can make. You’re purchasing the bond and giving the government cash, which they pay you interest back on at a later date. It’s rather like the government borrowing a small amount of money from you, and paying interest on the loan.

Savings bonds are issued by the United States government.

They’re non-transferable, which simply means they must be sold by the government. You can buy savings bonds in a variety of denominations, with $50 and $100 savings bonds being quite popular amounts. You pay less than face value for the bond, and it begins earning interest so that when it matures, usually in several years, the bond is worth the face value. Most bonds will continue to earn interest for years after maturity, so by the time you cash in a bond it can be worth much more than its face value. Some bonds will continue to accumulate interesting for up to 30 years, so if you wish you can leave your investment long-term and still continue to earn profits.

Because savings bonds are registered securities, they’re replaceable.

If they’re damaged, stolen or lost, there is a record of your ownership of the bond so you don’t lose your money. And the amount of a savings bond can never go down, so the money you invest in a bond cannot be lost. Savings bonds are also fairly fluid—the money isn’t locked away so that you can’t get to it in the case of an emergency. But if you cash in a bond early, you won’t see the full return as it won’t be worth its face value yet. And bonds cashed before 5 years are also subject to an interest penalty. But for some, that risk is worth knowing that they can withdraw cash from their investment at any time.

When you purchase savings bonds, you do have to pay Federal Income Tax on the interest they earn.

But you can ease this burden on yourself—a wise choice if you have multiple high-value bonds—by paying the tax on this interest yearly. Or you can opt to wait until the bond is cashed in and pay this tax in one lump sum. You’ll only pay federal tax on bonds, not state or local tax, and if you use the bonds toward education, taxes are sometimes waived.

The two types of bonds you can purchase today are Series EE bonds or Series I bonds.

For Series EE bonds (also called Patriot Bonds) you’ll pay half the face value and it will draw interest every month for 30 years. Series I bonds also accrue monthly interest for 30 years, but you pay full face value for the bond and the interest rate varies with the current inflation indexes.

Photo Credits: 1

Originally posted 2020-12-23 05:49:16. Republished by Old Post Promoter

Related Articles
  • To Borrow or Not to Borrow against a 401K Question – Because of the credit crunch, is this a good time to consider borrowing against a 401(k) savings as a means of paying off other loans? My current 401(k) planning investment return is 5 percent, and the interest I will be paying on it is 9 percent. /caption] Answer……
  • Teens Saving Money /caption] One of the best ways to build a strong financial foundation in teens is by starting a savings plan early on. Over the past few years, there have been more teens saving money and the results are clear. When you take the time to teach good financial practices to……
  • What Are Safe Investments? /caption] If you are putting consideration into investing money, but you are not sure which is the safest way to invest your money, then your first stop should be someplace where you can get professional advice on the subject. The last thing that you are going to want to do……
  • What Are the Best Small Investments? /caption] In times of uncertain economic future, it is important to look at your investment strategy and tweak it as needed. One of the ways that you can improve your portfolio is to take on small investments with lower risks associated with them. Taking in smaller rewards and returns may……
  • How do Savings Bonds Work /caption] Are you wondering why you should invest in United States savings bonds, or how savings bonds work? This is a question that not enough people are considering these days, because most people are pressing their luck instead by gambling with stocks and other investments. So many people are turning……
Related Sites
  • Why P2P Lending is Not a Substitute for High-Interest Savings As with other money-making vehicles in this economy, high-interest savings has taken a major plunge. It’s still much higher than what I was earning before, but it’s not the impressive 4% returns that we were seeing even a year back. Because of its dip, some people are looking for other…
  • reverse mortgages What do you do if you have a fully-paid off house when you retire but you don’t really want to live in it anymore? It may sound like an odd question, but this is more or less the situation that’s facing my parents. They are living with my brother and……
  • thehouseatdawnPay Your Mortgage Off Early Once you have paid off your consumer debt, built up your emergency fund, and started saving for retirement you might be thinking about the best way to tackle that last major hurdle, your mortgage. Mortgages have become what most people see as a necessary evil and just accept it,……
  • ask-the-m-networkPay off student loan or save? This article is part of the Ask the M-Network series.  Leah submitted a question and asked: I’m 28. I have 9% of my income going into a 401k, no credit card debt, a paid-off 9-year-old car, and 5 months expenses in savings (some of that earmarked for the next new-to-me……
  • End of the World by Rusty Russ (http://flickr.com/photos/10159247@N04/2452641169/)Wall Street Journal’s Tips for Surviving this Financial Nightmare   Brett Arends from the Wall Street Journal Personal Finance Section wrote a great article titled, “What You Can Do Right Now – Unpredictable Politics make this a tough moment to invest.  Here are some sound strategies for protecting – and still growing – your money.”  The article provides 10 basic tips,……

Free Investment Research Can Make Your Money Profitable

Sunday, April 19th, 2009

Research Investments.

Do you still recall learning how to conduct research in high school and college? If you are tired of researching subjects for school, it may be difficult for you to come up with a good reason to continue conducting research as an adult, but it is unfortunately a little necessary, especially when it comes to investing and turning a profit from your money. Learning how to conduct research in high school and college may not have seemed important back then, but it really does apply to every day life, especially when it comes to conducting free investment research for the sake of turning your money into even more profits. Learning how to conduct free investment research online and through other means can be extremely helpful and can be a great skill for you to have. In other words, the research you learned how to conduct in school will benefit you for when you start doing investment research as an adult in order to grow your money and make it work for you.

Whether they would like to admit it or not, many people are lazy when it comes to conducting research of any kind, even free investment research. This is what leads many people to cheat, trying to bypass the research and simply rely on guesswork to decide which way to go when it comes to investing. Just like cheating on tests was a bad way to go while you were in school, cheating when it comes to obtaining free investment research is not a wise way to go. Instead, you need to be willing to put some serious time and effort into obtaining the proper free investment research if you really want to get the most out of your investments.

The greatest thing about free investment research is that there is such a wide variety of different professionals out there that are available to help you conduct the research that you need. They can help you no matter how much money you want to invest, as long as you like stocks and want to make smart, educated and informed decisions about your investments. If you are serious about getting the most out of your investment portfolio, you need to have a powerful support team and you need to be willing to conduct some free investment research in order to figure out which stocks and other investments will best suit you and which are worth skipping all together. There are plenty of professionals out there that will help you conduct the free investment research that you need in order to make smart decisions about your investing. The more educated your decisions are, the more successful you will be at getting the most out of your money.

Free investment research is vital as a part of your investment process, so do not make any guesswork based decisions, but rather research your investment options and act based on solid information.

Photo Credits: 1

Originally posted 2020-12-19 05:16:15. Republished by Old Post Promoter

Related Articles
  • What Are Safe Investments? /caption] If you are putting consideration into investing money, but you are not sure which is the safest way to invest your money, then your first stop should be someplace where you can get professional advice on the subject. The last thing that you are going to want to do……
  • Stocks a Good Investment? /caption] Penny stocks are often regarded as a sound investment idea, but they are especially popular during times of a recession, though many people are unaware of the “why”. The reason why penny stocks are a good investment is because the prices of penny stocks for credible companies go up……
  • Teach your Teens to Save Money Teaching your children how to manage their finances is absolutely critical if you want them to be successful at managing their money in the future. More than 80 percent of all parents are led to believe that their children are learning enough about personal finance and money management in school,……
  • Save Money with These 4 Tips /caption] There are ways that you can save money, and all you need to do is learn about managing money wisely to do it. You are not necessarily being frugal, per say, but rather you are learning how to be wise in the decisions that you make. Unfortunately, most people……
  • Tips for College Student Budgets /caption] Trying to make ends meet when you are in college is not an easy task. Your income is usually pretty limited and expenses can be high, even if you have a scholarship. If you’re trying to save money or just get by, there are some great tips for college……
Related Sites
  • Is Suze Orman Right, Can You Be Your Own Financial Planner? This is a guest post by Kent E. Irwin. If you watch Suze Orman’s TV programs you will hear her comment that people can be their own financial planner. Before I answer this question, I think I need to clarify what type of financial planner I believe Ms. Orman is……
  • 7 Mistakes I Made When I Went to College I recently read a post by Personal Finance Advice, Why Getting a Degree Isn’t Always a Sound Financial Decision. I thought it was a well written post that presented a valid point. Do not get me wrong…I am a strong advocate for college education. However, this post did remind me……
  • Save Money HotelsSave Money on Hotels

    Save Money Hotels

    Next month, my wife is traveling for a pharmacy conference. Since I can work from anywhere with an Internet connection, I thought I’d follow her and take advantage of the free hotel room the government is giving her (as part of an agreement for……
  • Creative Commons License10 career quotes, my take, and TGIF In honor of everyone getting ready for Miller Time on Friday afternoon after a hard week punching out widgets for The Man, I collected a few career quotes and made a few comments. Working at home is no picnic. I’m woozy staying up until 10:30 thanks to a particularly demanding……
  • bestplatShould Casual Bloggers Use WordPress or Google Blogger? One of the most popular hobbies and past times on the internet today has to do with setting up and maintaining your own blog. Blogging is all about creating an online journal or diary that people can read and comment on, so there is a huge community aspect to it…….

Stocks are a Great Investment

Friday, April 17th, 2009

Know your facts.

Most people recognize that stocks are an excellent investment, but purchasing stocks can be a confusing process. This is especially true if you have little experience in investing, or no experience at all. You can turn the stock buying process into a good investment even as a beginner, and all that it takes to make this happen is to take your time and find the perfect combination of stocks to improve your portfolio and greatly improve your profits in the process.

* Read the History!

Choosing the right stocks means sitting down and exploring your options long before you make an actual investment. Read the history of each company and their stock, and also get to know the bare basics of the stock market before you make an investment. Most people mistakenly are led to believe that the stock market is purely a short term investment market offering high yields. This is not the reality however, as stocks actually perform better on a longer term basis than on a shorter one. When you are planning on making an investment in the stock market, you should plan to leave that investment alone for at least a year, or as many as five years if not longer.

* Know how much to invest!

The amount that you decide to invest into a particular stock is a decision that needs to be made carefully. Stocks are not a completely safe investment, so the amount that you choose to invest should be disposable income, or income that you do not depend on for important purchases like bill paying or groceries. Making stocks into a good investment is done by choosing a healthy amount of money to invest, that will not impact your ability to pay bills but that also will be large enough to earn you a good profit. An excellent initial investment amount for the stock market is generally around a thousand dollars.

* Know who to work with!

It is important that you understand the pros and the cons associated with hiring a stock broker when investing in the stock market. You are going to want to do some basic research before you commit to a particular broker, because there are fraudulent brokers out there that need to be avoided. Conduct a search online or in your local area to find a broker that you trust and feel comfortable working with. It is usually preferable to choose someone on a local level so that you can visit them for face to face advice, speak over the phone and speak online as well when necessary.

* Know how to make your investment work!

Making stocks into a good investment means that you need to avoid panicking if they should happen to fall below a certain amount of money per share. The stock market naturally fluctuates, but you need to retain your stock for as long as you possibly can before you decide to sell it. More often than not the market will go back up, so if you cash out too early you may end up losing money.

Photo Credits: 1

Originally posted 2020-12-17 05:22:51. Republished by Old Post Promoter

Related Articles
  • How do Savings Bonds Work /caption] Are you wondering why you should invest in United States savings bonds, or how savings bonds work? This is a question that not enough people are considering these days, because most people are pressing their luck instead by gambling with stocks and other investments. So many people are turning……
  • Prepare for Your Retirement Now /caption] If you are young and just beginning a career, then the concept of retirement planning may seem so far away that it is the last thing that you put any consideration into. However if you are on the opposite end of the fence and retirement is just around the……
  • The Best Small Investments /caption] Wall Street’s recent cataclysmic events are still unfolding and the entire planet is feeling their aftershocks. For this reason, interest in what is going on in the stock market is rising quickly, even for those who do not normally understand what the stock market is all about, or what……
  • 3 Types of Safe Investments /caption] Given the shaky financial markets across the world today and the extreme ups and downs that are being seen from one day to the next in the US market, you might be wondering what are safe investments, and how can I be sure I won’t lose all the money……
  • Loanio Roundup #1- National Economy /caption] Good morning everyone! Welcome to Loanio’s first ever roundup post. We’d like to thank the blog community for their support. You are the best press releases out there. Then lastly before we start with the links we would like to take a moment to wish everyone a splendid weekend…….
Related Sites
  • Stock Market apprentice – Learn How to supply to Make Money in Trades 101 Are you a pupil who is frustrating to learn how to endow in the stock market. You will most liable event in sequence excess for the reason that there are too much junk on the internet. There are so many investors who claim they are experts with decades of practice……
  • Ask The Expert With Larry Swedroe Updated 4-13-2009: I want to let everyone know that Larry has started his own blog called Wise Investing at CBS Money Watch. As such, I’ve decided to stop taking new questions for Larry. If you have question you’d like to ask, please contact him directly on his blog. Thank you……
  • Investing in the stock marketIntroduction To The Stock Market Last week, I wrote Introduction To Morningstar Style Box and thought it’s a good idea to start writing more introductory level articles about investing. Over the next few weeks, I am hoping that I could organize my Investing archive into an “Investing for Beginners Series” for your convenience. In this……
  • Stock Trading For Beginners Everyday thousands of investors on the stock market seek stock trading for beginners, many people fail other succed. The main point for stock trading for a beginner is to learn the terms and how to speak like a wealthy investor. Start reading investment books, articles and blog and try to……
  • Should I Get Out Of The Stock Market? With the recent stock market volatility, I am sure many of you are having second thought about the stock market. Some may even ask, “Should I get out of the stock market?” or “Should I take my money out of the stock market?” The answer is it depends. Personally, I……