Archive for the 'Investing' Category
New Year Plans
Tuesday, January 9th, 2007New Year is traditionally the time to recharge and restart your life anew; with a holiday break to catch up on things left undone, enough opportunity to reflect on what’s happened and what hasn’t, and quality time with family, it’s probably the best time of the year around.
Now that the holiday is over, it’s time […]
Building a portfolio
Sunday, December 24th, 2006A common question for new investors, especially those with low investible funds, is “How do I build a portfolio?”. Typically, there are minimum lot sizes for any stock; coupled with the price per share, it does mean that investing in that share requires a certain amount to be committed.
Typically, when you look at market […]
Qualified advisors?
Tuesday, December 19th, 2006If you’re still not comfortable with the idea of looking for information, and prefer to go with someone who dispenses advice, you need to be careful. There is no way to evaluate an advisor’s capability upfront; and you don’t want to learn from bitter experience that he or she wasn’t really good.
One important thing to […]
Finding Investment Advisors
Friday, December 15th, 2006Where should you look for investment advice, if you’re not going to a full service broker?
A variety of choices are available.
TV and news channels such as CNBC carry market reports, analyses and recommendations.
Magazines like Forbes, Fortune and SmartMoney provide information about businesses.
The Wall Street Journal is another good source of information
Several web portals like Yahoo […]
Choosing A Broker
Thursday, December 14th, 2006If you’re investing in stocks, you need to go through a stock broker. Years ago, there was only one kind of broker; a “full service” broker, who in addition to trading stocks, would also provide personalised advice and planning services.
Some people find this worthwhile, others believe that it adds little or no value. Full […]
Churning
Monday, December 11th, 2006Why do you need a strategy for investing? The answer’s very simple;
You’re looking for returns; the more, the better
Different opportunities have varying return profiles - ideally, you’d like to have the freedom to cherry pick the best at all times
Yet, to maximise your return from a particular opportunity, you need to commit resources for some […]
Stock Strategy Mistakes
Tuesday, December 5th, 2006The one thing that marks out a novice stock investor is whether there’s been adequate thought to the investment strategy. More often than not, this is where new investors fail; and in failing, lose more than they can afford.
By far, the most common mistakes are of two kinds :
1) Not having […]
Employer Stock - Risky?
Friday, December 1st, 2006Employee stock programs or stock options are easier to invest in, and may seem to be quite lucrative, given the discounted price. Plus, you know all about the company; why not concentrate ALL your investment just in this one?
It’s risky, from three points of view :
Quite often, employees are the last to find out any […]
Employee Stock Programs
Thursday, November 30th, 2006Most large corporations have programs for employees to invest in company stock. If you’re a novice to investing, this can be a good place to start.
Typically, these programs involve
Sign up for a monthly deduction from your paycheck; it’s usually limited to around 10% of your gross pay.
Your savings from the monthly deduction above are accumulated […]
Starting With Stocks
Wednesday, November 29th, 2006We talked yesterday that if aggressive growth is what you are looking for, stocks are the best option. A quick comparison of portfolio returns would make it clear why.
Take a look at the Money 65 list of best actively managed funds. Go to the column that says “5 year return”, and look at the returns […]