greenieS
Verified member
In general, what attracts young people to the world of business people who want to succeed, in terms of the stock market and investing money in stocks, is fast money and an easy gain. However, there are many brakes and curves that, if you fail to avoid, your participation in the stock market can be very short.
Read the 10 golden rules for stock market investing that beginners in this business should know first and foremost, but also experienced stock traders.
1. Analyze the evolution of the stock market, create a fictitious portfolio with shares.
Before entering the stock market, you must first analyze the prevailing currents. This can be done in a simple way. There are plenty of free manager portfolios on the internet, so use one to create a free account. Make a fictitious portfolio with the stocks in which you would invest potentially and follow the situation for a while, at least a month. This will give you an idea of the instability of the market. Before you take the first step, first create a fictitious profitable portfolio as a stock investor.
2. Read business magazines
To successfully start investing in the stock market, you need to know how the stock market works in the world and what are the social events that influence the increase or decrease of the stock price. There are many well-known business magazines dealing with exactly this topic (Forbs, The Economist, Kiplinger’s are some of the best known). Read not only the national magazines, but also find out what is happening in the neighboring countries as well as around the world. Browse the internet, follow the events in the field of global economy and finance and you will easily enter the troubled waters of the stock market business.
3. The first stock you buy will be from the sector you know best.
The first stock you will buy on the stock exchange should be from the sector that is most familiar to you and that you understand best. For example, if you are most familiar with the banking industry, try to analyze the market and find the bank whose shares are good and worth investing in. Never invest in stocks, but in the company. In other words, before investing money in something, you should understand the business of the company.
4. Realistic expectations are very important.
There is nothing wrong with always expecting the best, but problems can arise if your financial goals are based on unrealistic premises. For example, many stocks have grown by more than 50% due to the global trend of rising stock prices in recent years, but that doesn't mean you can always expect such a gain. Be realistic in your ambitions and goals - this way you are less likely to lose money or be disappointed with the stock market business.
5. Do not follow instructions blindly, always research yourself.
You will often hear from people in the stock market that they bought this and that stock because so did a friend of theirs or a skilled family member. Accept everything with caution. Before you buy a stock, do some research, place everything in the present moment, because what was gaining in the past, even in the recent past, does not have to mean that it will continue. Always rely on your own estimate rather than someone else's.
6. If you take risks, use the money from the reserve funds.
If you want to take risks in an unstable market such as the stock market, then make sure that these risky investments come from the gains from safe investments or reserve funds. So, these are just some of the goal setting shareware that you can use. It does not have to mean that you will be at a loss, on the contrary, the risk can bring you a big gain, but you must also be prepared for the option that it will not be repaid.
7. Rigorous market monitoring is mandatory.
We live in a global village. Every major event in the world also influences our financial system. Therefore, you need to keep track of and update your portfolio in line with market changes and your own desires. If you can't do this for lack of knowledge, it doesn't hurt to improve your economic and business knowledge and skills, especially if you plan to take stock market seriously.
8. The stock market is NOT a money machine.
Most of those who want to deal with investments have the desire to double or triple their investment as soon as possible. If you are one of them, then it is not an activity that suits you. As already mentioned, it is very important to have expectations as well as realistic goals. For those who want to deal with investments, 10% to 12% long-term gain is a very good investment. You need to understand that you are a small fish in a large lake and that your success depends on many factors. Follow the clues and draw conclusions.
9. Frequent changes are not good.
For starters, buying three or four stocks is enough. Do not overdo it, especially if you are new to this activity. Over 10 shares is a good portfolio, but for investment funds. Indeed, they make a bigger profit, but if you make the decision wisely and wisely to buy your shares, the difference in the money you earn should not be big.
10. Don't try to anticipate the price of the stock in the future.
And in the end, one of the most important rules of stock market survival is not to try to anticipate the stock price and its fluctuation in the future. Neither the biggest billionaires nor the owners of the largest multinational companies in the world do that. No one has managed to go ahead of time, at least not for a longer period of time and in a few cycles of the stock market. Guessing the moment when the shares have the greatest value, but also when the fall awaits them, is still a myth. Even for those who, due to their shareholdings, have a perspective in the business of some companies.
So, for a successful business and investment in the stock market, you need to acquire certain knowledge and skills. According to research, the risk of stock market investments is most often taken over by young people, fresh graduates. But, as in any other service, the experience gained is taken into account, and in the future it will help you to be wiser in making decisions.
Read the 10 golden rules for stock market investing that beginners in this business should know first and foremost, but also experienced stock traders.
1. Analyze the evolution of the stock market, create a fictitious portfolio with shares.
Before entering the stock market, you must first analyze the prevailing currents. This can be done in a simple way. There are plenty of free manager portfolios on the internet, so use one to create a free account. Make a fictitious portfolio with the stocks in which you would invest potentially and follow the situation for a while, at least a month. This will give you an idea of the instability of the market. Before you take the first step, first create a fictitious profitable portfolio as a stock investor.
2. Read business magazines
To successfully start investing in the stock market, you need to know how the stock market works in the world and what are the social events that influence the increase or decrease of the stock price. There are many well-known business magazines dealing with exactly this topic (Forbs, The Economist, Kiplinger’s are some of the best known). Read not only the national magazines, but also find out what is happening in the neighboring countries as well as around the world. Browse the internet, follow the events in the field of global economy and finance and you will easily enter the troubled waters of the stock market business.
3. The first stock you buy will be from the sector you know best.
The first stock you will buy on the stock exchange should be from the sector that is most familiar to you and that you understand best. For example, if you are most familiar with the banking industry, try to analyze the market and find the bank whose shares are good and worth investing in. Never invest in stocks, but in the company. In other words, before investing money in something, you should understand the business of the company.
4. Realistic expectations are very important.
There is nothing wrong with always expecting the best, but problems can arise if your financial goals are based on unrealistic premises. For example, many stocks have grown by more than 50% due to the global trend of rising stock prices in recent years, but that doesn't mean you can always expect such a gain. Be realistic in your ambitions and goals - this way you are less likely to lose money or be disappointed with the stock market business.
5. Do not follow instructions blindly, always research yourself.
You will often hear from people in the stock market that they bought this and that stock because so did a friend of theirs or a skilled family member. Accept everything with caution. Before you buy a stock, do some research, place everything in the present moment, because what was gaining in the past, even in the recent past, does not have to mean that it will continue. Always rely on your own estimate rather than someone else's.
6. If you take risks, use the money from the reserve funds.
If you want to take risks in an unstable market such as the stock market, then make sure that these risky investments come from the gains from safe investments or reserve funds. So, these are just some of the goal setting shareware that you can use. It does not have to mean that you will be at a loss, on the contrary, the risk can bring you a big gain, but you must also be prepared for the option that it will not be repaid.
7. Rigorous market monitoring is mandatory.
We live in a global village. Every major event in the world also influences our financial system. Therefore, you need to keep track of and update your portfolio in line with market changes and your own desires. If you can't do this for lack of knowledge, it doesn't hurt to improve your economic and business knowledge and skills, especially if you plan to take stock market seriously.
8. The stock market is NOT a money machine.
Most of those who want to deal with investments have the desire to double or triple their investment as soon as possible. If you are one of them, then it is not an activity that suits you. As already mentioned, it is very important to have expectations as well as realistic goals. For those who want to deal with investments, 10% to 12% long-term gain is a very good investment. You need to understand that you are a small fish in a large lake and that your success depends on many factors. Follow the clues and draw conclusions.
9. Frequent changes are not good.
For starters, buying three or four stocks is enough. Do not overdo it, especially if you are new to this activity. Over 10 shares is a good portfolio, but for investment funds. Indeed, they make a bigger profit, but if you make the decision wisely and wisely to buy your shares, the difference in the money you earn should not be big.
10. Don't try to anticipate the price of the stock in the future.
And in the end, one of the most important rules of stock market survival is not to try to anticipate the stock price and its fluctuation in the future. Neither the biggest billionaires nor the owners of the largest multinational companies in the world do that. No one has managed to go ahead of time, at least not for a longer period of time and in a few cycles of the stock market. Guessing the moment when the shares have the greatest value, but also when the fall awaits them, is still a myth. Even for those who, due to their shareholdings, have a perspective in the business of some companies.
So, for a successful business and investment in the stock market, you need to acquire certain knowledge and skills. According to research, the risk of stock market investments is most often taken over by young people, fresh graduates. But, as in any other service, the experience gained is taken into account, and in the future it will help you to be wiser in making decisions.
