The Uglycow Finance » stock

Social networks: Attracting investment channel

admin — Fri, 22 Apr 2011 22:46:25 +0000

Social networks not only are revalued in stock (up to 377% percent in the last year), but also help predict the vagaries of stock market, according to some studies. In this context, it is easy to see why over 80% of financial adviser believes that over the next five years, social networks help to attracting customers and also enhance the relationship with them. Currently, between 15% and 20% of the investment is captured through social network.

Behind this trend, in the words of Marc Garrigasait, president of Koala Capital SICAV, the transparency that social networks provide the financial world. “If you are transparent, investors will appreciate what this means more empathy and more benefits,” he says.

Over 70% of financial advisors are registered in any of the social networks, especially Facebook, LinkedIn, and Twitter Unience, according to a survey on the use of social networks by EFPA Spain (European Association of Advisers and Financial Planners -Heritage). The vast majority believe that social media are very useful for several reasons: because they represent an efficient channel of communication, constitute a direct and easy communication, are a good tool to keep abreast of new trends, and consider marketing tool and online advertising.

Active reinvesting in various businesses

admin — Thu, 23 Sep 2010 07:59:01 +0000

The asset allocation formula is often used incorrectly in an effort to impose a tool of speculative investment in a strategy that has no real merit on their own, eg reinstatement of an annual portfolio, market adjustments and changes in a mutual fund. The asset allocation formula itself is sacred, and if constructed properly, should never be altered due to market conditions and equity income. Changes in personal circumstances, objectives and goals of the investor are the only concerns that should modify the asset allocation process.

Here are some ways to asset allocation:

(1) All decisions involved in asset allocation based on the basic costs of the guarantees involved. The current stock market can be higher or lower, but does not really matter.

(2) Any investment portfolio with a base cost of $ 100,000 or more should have at least 30% of investments in income guarantees, either with taxes or without taxes, depending on the nature of the portfolio. Deferred tax entities (full range of retirement programs) should cover the total equity investment. This rule applies from the beginning of the retirement age five years later. If you are under 30, is a mistake to have much of their income securities portfolio.

(3) There are only two categories of asset allocation, and neither described with a decimal point. All cash of the portfolio must fall into one of two categories.

(4) five years after retirement occurs, the placement of income must be adjusted according to the “test of reasonable interest rate” to determine if you are going in the right direction.

(5) When you are retired, between 60% of your total portfolio should be in securities that generate income.

The Other tips to remember when start investing

admin — Fri, 27 Aug 2010 13:01:50 +0000

Start early and take advantage of compound interest.

There is always a “good” reason not to invest, but in reality there is a even better reason to start investing immediately. In fact, starting sooner rather than later is one of the best investment decisions you can make. The reason? So you can capitalize on the interest of compounder. The problem is that compound interest goes against the doubters. Most of us studied in school compound interest, so we know how it works. But it is not until you start looking at practical examples that you realize how powerful it can be.

Use the market moves in your favor.

Dollar cost averaging – a way to weather market fluctuations and low is a technique called dollar cost averaging, typically used in managed funds. With dollar cost averaging, you do not have to focus on where stock prices or interest rates are in charge. You simply invest a fixed amount of money on a regular basis. a dollar cost averaging is an investment technique that can help turn the odds in your favor. The idea is that you buy fewer units than the market is bullish and more units when it is down – automatically.

Do not try to beat the market.

One of the many excuses used for not investing is that it is the right time to invest. These people tend to be under the misconception that they have magical powers to predict the future. They are under the illusion that the path to riches is a matter of getting on the winning horse at the right time.

However, as investor begin to learn the vagaries of markets, they begin to realize the impasse in the selection of market movements. Trying to pick the magnitude and direction of market movements has cost even the much more experienced investor. Do not chase returns.

The investment in the fund that had the best performance last year can be a big mistake! Most fund managers offer a variety of different types of managed funds, property securities and fixed interest and cash, to mixtures of these. There is also usually a range of different stock funds that invest in different parts of the world. Given this broad range of investment and the ability to change their investments including fees for little or nothing, some people make the mistake of chasing returns.

Chasing returns means that you are moving your investments through the fund had the best performance last year. Why might this be a mistake?

The common pitfalls to avoid when start investing

admin — Sun, 22 Aug 2010 12:11:48 +0000

Before the race out for the rest of Investing Basics, there are some points to consider carefully before proceeding. These are common mistakes many people make when considering what to do with investment.

1. Do nothing. There is no guarantee that the market will rise the first day, month or even year to invest in it. But there is a guarantee: do nothing not to ensure a comfortable retirement.

2. Beginning later. The postponement of his career is the second investment of not investing at all in the list of sins of investment. You already know that the earlier you start the better you are. (Take another look at the example compounds we turned up.) If you’re already past those formative twenties (do not look a day over 32 for us), we rewrite the first stumbling block that says “Do not start now.”

3. The investment before paying their credit card debt. If you have money in your savings account and you have revolving debt on your credit card, pay off. Many credit cards have an annual interest rate of 15% or more. Let’s say you have $ 5,000 to invest, but you also have $ 5,000 of debt on their credit cards with annual average interest rate of 18%. It does not take an astrophysicist to realize you’re going to have to get a yield of 18% after taxes just to pay the costs $ 5,000. Paying off debt first, then think about investing.

4. Investing in the short term. Only invest money in the short term you really going to need in the short term. To invest in the stock market will not need a minimum of three years and preferably five years or more. If you need your money next year for a down payment on a house or family Caribbean cruise, use a short-term and safer haven for their cash, like money market funds or CDs.

5. Reject free money. You never drop a dollar if he was offered without conditions. That’s what we’re doing if your company offers a 401 (k) or similar savings plan for retirement with an employer match and you’re not participating. Enjoy all the tax advantages, employer-matched savings programs.

6. Playing it safe. If you are young, most of your investment dollars should be in the stock market. You have enough time to weather any downturns in the market and reap the rewards of long-term benefits. Although you may want to transition into bonds later in life as you depend on their investments for income, stock should make up a large part of the portfolio of each investor.

7. Go to the terrifying. Not all investment is for everyone. Even if you’re a daredevil, you should not pour all your money on something that could end up going down the drain.

8. Videos collection or lottery tickets as investments. If old comic books, Barbie dolls, and the team left the exercise could be used to finance retirement, do you think the stock market exist? Probably not. Do not make the mistake of thinking your jewelry, Beanie Babies, or the lottery will help in the past year.

9. Trade within and outside the market. We believe the best way to invest is the long term. Pick your investments well and reap greater rewards in the long run than I had ever dreamed possible. Trade in and out of the market and will have to pay fees that chip away at their statements, and possibly miss out on gains that long-term investors enjoy with much less effort.

Congratulations mate! You’ve made it through the first part of Investing Basics. (Bet you did not even break a sweat.) You have been witness to the power of compound interest and understand how some common mistakes can ruin even the healthiest investment plan.

The Benefits when Buy Stock

admin — Mon, 25 Jan 2010 08:19:46 +0000

What benefits will you gain by buying stock or ownership of a company?

1. The first, if the company had a profit, then usually you get a stock of profits called dividends. Take for example, if the per stock dividend you receive $ 100 per stock, and then by 3000 the stock you have, the total dividends you get is $ 300,000. Of course, the standard amount of dividends varies from one company to another company. But the principle is more or less the same. The more stock you have, the greater the dividend you can if that company profits.

2. The second advantage could be the value of your stock rises. Back we let you buy stock at $ 1,000. Well, if then more and more who want to buy stock, then stock prices may have increased so tell $ 1,400 per stock. Thus, if you sell it, this means you get a profit of 40 percent. Profit is called capital gains. Where do you sell stock? Not to the companies that issue stock in question, but to others who do want to have these stock.

Of course, investing in stocks is risky. Namely, the decline in stock prices that you have. For example, from $ 1000 fell to $ 600 per stock. When you sell, then you will lose $ 400 per stock. Such losses usually called capital loss. Where do you sell? Also to others who do want to have these stock.