How to Start Investing: List Your Liabilities
In financial and investing circles, liabilities are simply the bills that you’re obligated to pay, whether it’s a credit card bill or a mortgage payment. If you don’t keep track of your liabilities, you [more…]
How to Start Investing: Calculate and Analyze Your Net Worth
Your net worth is an indication of your total wealth. You can calculate your net worth with this basic equation: total assets, including investments, less total liabilities equal net worth [more…]
How to Fund Your Stock Investment Program
If you’re going to invest money in stocks, the first thing you need is . . . money! Where can you get that money? The challenge comes down to how to fund your stock program. [more…]
How to Define Your Financial Goals for Investment
Consider stocks as tools for living, just like any other investment — no more, no less. Stocks are among the many tools you use to accomplish something — to achieve a goal. Yes, successfully investing [more…]
How to Invest for the Short Term
When it comes to investing in stocks, short termgenerally means one year or less, although some people extend the period to two years or less. Short-term investing isn’t about making a quick buck on your [more…]
How to Invest for the Intermediate Term
Intermediate term refers to the financial goals you plan to reach in two to five years through your investing. For example, if you want to accumulate funds to put money down for investment in real estate [more…]
How to Invest in Stocks for the Long Term
Stock investing is best suited for making money over a long period of time. Usually, when you measure stocks against other investments in terms of five to [more…]
How to Invest in Stocks for Steady Income
Not all investors want to take on the risk that comes with making a killing through stocks. (Hey . . . no guts, no glory!) Some people just want to invest in the stock market as a means of providing a [more…]
How to Invest Based on Your Personal Style
Your investing style isn’t a blue-jeans-versus-three-piece-suit debate. It refers to your approach to stock investing. Do you want to be conservative or aggressive? Would you rather be the tortoise or [more…]
Introduction to Financial Risk in Stock Investments
The financial risk of stock investing is that you can lose your money if the company whose stock you purchase loses money or goes belly up. This type of risk is the most obvious because companies do go [more…]
Introduction to Interest Rate Risk in Stock Investments
You can lose money in an apparently sound stock investment because of something that sounds as harmless as interest rates have changed. Interest rate risk may sound like an odd type of risk, but in fact [more…]
Threats of Interest Rate Risk in Stock Investments
Historically, rising interest rates have had an adverse effect on stock prices and investments. Because the United States country is top-heavy in debt, rising interest rates are an obvious risk that threatens [more…]
Introduction to Market Risk in Stock Investments
When they talk about investing in stocks, people talk about the market and how it goes up or down, making it sound like a monolithic entity instead of what it really is — a group of millions of individuals [more…]
An Introduction to Inflation Risk in Stock Investments
Inflation can be a risk that stock investors have to deal with. Inflation is the artificial expansion of the quantity of money so that too much money is used in exchange for goods and services. To consumers [more…]
An Introduction to Political and Governmental Risk in Stock Investments
Government rules and regulations are important considerations when making investment decisions. If companies were fish, politics and government policies [more…]
An Introduction to Personal Risks in Stock Investments
Frequently, the risk involved with investing in the stock market isn’t directly related to the investment; rather, the risk is associated with the investor’s circumstances. [more…]
An Introduction to Emotional Risks in Stock Investments
What does emotional risk have to do with stock investments? Emotions are important risk considerations because investors are human beings. Logic and discipline are critical factors in investment success [more…]
An Introduction to Volatility in Stock Investments
How often have you heard a financial guy analyzing stock investments on TV say, Well it looks like a volatile day as the markets plunge 700 points. . . .? Volatility has garnered a bad reputation because [more…]
Minimize Risk in Stock Investments through Knowledge, Practice, and Preparation
Now, before you go crazy thinking that stock investing carries so much risk that you may as well not get out of bed, take a breath. Minimizing your risk in stock investing is easier than you think. Although [more…]
Introduction to Price-to-Earnings Ratios for Stock Investors
The price-to-earnings (P/E) ratio is very important in analyzing a potential stock investment because it’s one of the most widely regarded barometers of a company’s value, and it’s usually reported along [more…]
Introduction to the Price to Sales Ratio for Stock Investors
The price to sales ratio (PSR) is a company’s stock price divided by its sales. Because the sales number is rarely expressed as a per-share figure, it’s easier to divide a company’s total market value [more…]
The Stock Market's at a Record High. Here's What You Should Do.
On Tuesday, March 5, the Dow Jones industrial average, one of the most popular measures of how the stock market is doing, closed at an all-time high. Then it kept going up on Wednesday. And on Thursday [more…]
Deciding What Kind of Investor You Are
Investors come in many forms. In very general terms, there are the low-risk, very cautious investors and then there are the higher risk and more adventurous investors. See which category you fall into [more…]
Realising the Risks Involved in Investing
Unfortunately, many investors look at risk in a very simplistic way. A typical query about risk may start with an investor asking, ‘How much capital may I lose if I invest in an asset?’ But risk involves [more…]
Ensuring Long-Term Investment Success: Keeping Costs Low
In addition to running focused trades and using well-thought-through strategies, the key to long-term investment success is keeping costs to the absolute minimum. Here are some of the costs to keep in [more…]










