Savoury Traveller

  • Home
  • Auto
  • Business
    • Business Ideas
  • Lifestyle
    • Entertainment
    • Family
    • Shopping
  • Fashion
  • Health
    • Beauty
  • Home Improvement
  • Main
  • Sport
  • Technology News
    • Apps Marketing
    • Digital Marketing
    • Internet Marketing
    • Social Media
    • Web Design
  • Travel
  • Wedding
  • Terms & Conditions
  • Contact Us
Home  /  Main  /  How to Invest Your Money: Introduction

How to Invest Your Money: Introduction

Tommo November 19, 2017 Main Comments are off

One of the greatest sights in the world of finance that we have is the stock market. This has always been the top icon of the possibilities to make money and become a millionaire.

In this introduction to the investments I will try to explain in a simple way how the official system to an ordinary individual.

This article is not about making money and become a millionaire but to explain certain terms on this phenomenon.

What is an investment?

“… It is the act of having money or capital in an enterprise with the expectation of profit” as Princeton University.

When you make an investment this money is likely to win or lose money, but there is always the expectation that they will earn. The biggest mistake that people comment on when they start investing in stocks is to invest more than they should. You have to keep in mind that you should only invest what you are willing to lose. The investment is only one set of legal gambling.

Becomes saving investment

As you have already read several times in articles and on the page about who we are, my duty as a financial advisor and a friend is to teach different forms the basis of all financial health, saving. When you save you should have several funds to better identify who could invest money.

Remember that the first thing you should save it for an emergency fund. After you have enough money for the unexpected you could start an investment fund.

What is a stock?

Imagine that a company is divided like a cake (cake, cake) in many equal pieces. These pieces are called shares and if you have a piece you own a part of the company, or shareholder. The majority of companies that are in the stock market are split into thousands of pieces, this means that even if you are owner of the company did not have any say (unless you have many pieces). If the value of the company increases, your piece will be worth more and if less low. Here’s an example:

If you buy a stock that is now worth $ 10, this becomes an action regardless of price. If the stock is worth $ 20 tomorrow, you will have $ 20. If the stock has a $ 1, you lose 90% of your initial investment.

The relationship between risk and return (you earn)

The most important point you need to know about investing is the positive relationship between the risk you take and the gain you get from your investment (performance). The more risk you have of losing money, the more money you could win (or lose).

What happens in the stock market?

In the stock market is where companies and individuals have the opportunity to buy and sell these pieces (shares) of the company. Ordinary people usually do not buy the shares of the company through the company if a third party (broker).

The value of the business changes in relation to how well the company is doing and will do in the future also. If the company does poorly, chances are that your actions price reduction.

Previous Article
Next Article

About Author

Tommo

Related Posts

  • Television in the 1990’s.

    Television in the 1990’s.

    December 3, 2020
  • What is the Best Clothing to Go Hiking in?

    September 24, 2020
  • Accounting Firms Lead the Way to A More Diverse Business Environment

    July 31, 2020

Tweets

Recent Posts

  • Naturally Beautiful Places that you Must See on a Trip to New Zealand January 14, 2021
  • What to Consider Before Starting a Renovation Project for the First Time January 7, 2021
  • What is Botox and its uses January 5, 2021
  • Should aspiring accountants go to university? December 22, 2020

Popular Posts

  • Naturally Beautiful Places that you Must See on a Trip to New Zealand January 14, 2021
  • diet
    Do not consume dairy products? Some alternatives to add calcium to your diet April 2, 2016
  • The mimic hormone affecting our health April 16, 2016
  • Four simple home business ideas for women! April 20, 2016

Random Posts

  • Do you want to go Back to the Future with Marty McFly? June 17, 2020
  • Have you got a Plumbing Emergency August 12, 2019
  • Summer catalog Jack and Jones March 12, 2017
  • Six Lucky Leprechaun Facts December 10, 2019

Categories

  • Auto
  • Beauty
  • Business
  • Business Ideas
  • Digital Marketing
  • Education
  • Entertainment
  • Family
  • Fashion
  • Health
  • Home Improvement
  • Internet Marketing
  • Lifestyle
  • Main
  • Reviews
  • Social Media
  • Sport
  • Technology News
  • Travel
  • Web Design
  • Wedding

Recent Posts

  • Naturally Beautiful Places that you Must See on a Trip to New Zealand
  • What to Consider Before Starting a Renovation Project for the First Time
  • What is Botox and its uses
  • Should aspiring accountants go to university?
  • Parts of your Home to Focus on When it Comes to Keeping the House Warm

Tags

10 Tips to attract visitors affecting a gaming legend and saving tips Blizzard business calcium company configuration customers to your website dairy products deep learning diet Does it matter what processor DSM 6.0 Beta 2 Guide shared printers in the office: installation gym health HP mobile printing depth guide for printing Installation and commissioning Installing and configuring the network printer Internet Marketing IP addressing printers MediaTek mimic hormone mobile devices or remote money Optimize your site Other printing applications HP please register position in major search engines Print from anywhere Saving tips when using network printers Shoulder Pain Silicon society Software and functionalities Specifications and features success Synapse of Activision Tennis Serve Drills The future of mobility through the The living room to the Internet of Things video games Warcraft becomes much more