May 23, 2013

Investing For Beginners, Stock Markets, Bonds, Mutual Funds, Precious Metals




Best Growth Stocks, How To Choose

Investments are to be carefully managed and be watched after. It is also important for all investors to seek  the best growth stocks or those companies that are rising in value. After all, we all want our money to grow and make returns so we have to invest them in superior companies that continuously grow for years and years.

The best growth stocks should provide hints of potential and margin of safety to its investors. They also should fall under these conditions:

·    Impressive or substantial growth rate

Which would you rather choose to invest in – a company with fast growth or a company with slow growth? Any kind of growth is good as long as the company is growing. A small percentage is already a big deal to investors, how much more if the growth is awesomely substantial? It will pay to find the fastest-growing stock in any industry – and it will be good to be riding on this growth as an investor.

·    Sustainable investments

Now, the company is growing, but you should not overlook one very important matter – will this company able to sustain this growth for a long period of time? It is therefore important to pay attention to the competitiveness of a company aside from the growth rate, as this will propel it further into further growth.

·    Good price for investment

Before finally purchasing a stock, be sure that it is fairy priced. Many people commit the mistake of paying huge sums of money to buy stocks in a company based on its growth rate. It could come to a point where you find it hard to get a decent profit despite continuous company growth because of the steep price you paid initially.

There is money to be made the stock market, but you must not be foolish, Stock market investing is not gambling although many people think so. There isn’t any big secret to investing. It is a matter of proper research and analysis of companies you potentially want to invest your money with. Buying stocks is not like buying lotto tickets, but with diligent methodology you can be successful in stock market investing. We will post articles in the coming weeks and months that may help you with strategies and principles to help you be successful.

Considering Bonds And Income Investing

It does not take a technical analysis expert to figure a trend in the stock market. It is hard to add a positive spin on the future either. For those hoping for a post election rally consider this. Major indexes have continued to waffle since Barrack Obama was elected president.

For those still in the productive years of their working life this may not be disconcerting. Conservative investors are turning away from the stock market in record numbers. For those nearing retirement the effect can be devastating. Nothing can compare with stocks over the long term, however many investors are not in that position.

Bonds and income investing offers security that stocks cannot match. No matter your investment strategy preservation of capital is rule number one. Barring a bankruptcy by the company in which the bonds were purchased the investor can be near certain of receiving the amount originally invested.

Bonds pay interest incrementally over time and provide income to retirees or people who want cash flow. The tax advantages of investing in bonds from governments and municipalities are the interest is tax exempt. This is attractive to those wishing to limit their tax liability.

No one can say for certain what will happen in the stock market. One this we do know it that all the major indexes are trending down with no end in sight. Investing in bonds becomes a more attractive option everyday.

Today’s investors are much wiser than in days past. Information is available for most any type of investor and investors make money in any type of market. Today’s investor also seeks portfolio diversification unlike investors of the past. Bonds and fixed income securities are an essential part of that equation Investing in bonds is very safe, and the returns are usually very good. Investing in bonds is generally considered safe.

Bonds are a foundational element of any financial plan to invest and grow wealth. Bonds will pay a steady income. Investment advisers typically recommend that investing is stocks and bonds, and cash can lead to portfolio diversification if each investment vehicle is tailored to meet individual investment objectives.

Bonds investing offers almost as many options as investing in stocks, . Bonds are essentially loans you make to corporations or governments. Bonds are also called fixed income securities because they pay interest that is fixed at a coupon rate. Bonds tend to be safer than stocks because if you hold bonds until the maturity date. Investors who agree to buying municipal bonds effectively loan money to the issuer in exchange for an agreed number of payments over a prearranged time period.

Investors need to consider their time frame to choose bonds that fit their needs. Investors in high-income brackets are almost always better off investing in tax-free municipal bonds. Investment takes plenty of effort, timing and crucial decisions, making it a rather difficulty, but ultimately rewarding endeavor .

Stocks To Watch Earnings Week

Written By Becky Smith

Well ,so much for the trend being up. I am not sure how much more investors can take when it  comes to the scandals that keep hitting  the market. First we find out about Madoff, the biggest ponzi scheme in history, a 50 Billion dollar fraud . Then two smaller ponzi schemes were discovered this week, one for 17 million and one for approximately 50 million. To top it off Wednesday Satyam Computer Services chairman, Ramalinga Raju, announces that the company is a gigantic fraud. We are not talking some small unknown company.This is the 4th largest information technology services company in India, that employs 54,000 people! Satyam was founded 20 years ago. Amazing!!

The unemployment rate rose to 7.2%, the highest level in 16 years. More than 524,000 people lost their jobs in December, but that number was less that many analyst were expecting. In 2008 more than 2.5 million jobs were lost, with more lay-offs expected this year.

Earnings start in earnest this week and they are not expected to be pretty. Most companies are likely to write off as many losses as possible in their results. The only areas expected to post gains are the utilities, healthcare and consumer staples.

I’ll be watching for Alcoa’s earnings after close on Monday. They have already announced lay-offs(13,500 employees) and that they are reducing capacity(18%) and that they would stop “all non-critical capital investments”. Their shares are down 65% over the last 52 weeks. There is worry that they might cut their dividend, if they do I believe the shares will go down. If they say anything that can be construed as a positive and leave the dividend intact I think it will bounce.

Infosys Technologies Limited reports earnings on Tuesday this company could bounce if they hit their numbers. They could also benefit from the Satyam scandal picking up business in their enterprise solutions, financial services and manufacturing divisions.

There are a few other major earnings reports this week Xilinx reports Wednesday. Intel and Genentech report Thursday after the bell. It’s also thought that Roche of Switzerland is preparing an offer for Genentech, of which it owns a 56% stake. The offer is expected to be approximately $95 a share. Genentech closed Friday at $86.34. That’s not to say it’s a sure thing, last July independent directors rejected an offer of $89 a share.

Fed Chairman Bernanke will speak Tuesday at the London School of Economics.

Wednesday data will include retail sales numbers for December: import prices and business inventories

Jobless claims, inflation data will be released with producer prices Thursday the consumer price index, industrial production and consumer sentiment and personal finance on Friday.

Keep in mind that all of these reports have varying amounts of importance to the markets and can move them up or down.

As always keep your eyes on the markets and whether you are long or short may all of your trades be profitable!!

Becky