Investment stock market 101

Investment stock market 101

 

As I discuss about Insurance I have mention that as part of their policy you can also include investment depending on how aggressive you can be as an investor, and that is part of the VUL or Variable Universal Life insurance. Now this time we will purely talk about investments.

 

You might not know it, but right now during this pandemic is the perfect time to invest where the stocks are low and once everything recovered the spike for stock market would definitely went overwhelming, and right now there are numerous investment that are offered online even at a low amount using mutual funds.

 

What is mutual fund? Mutual funds are the accumulated funds coming from one person to another then put it altogether, then it becomes a mutual fund and right now you don’t even have to open a broker account just to have an actual fund, there is investment that offers from an application or an app.

What is bond what’s different between government bond and corporate bond?

Corporate bond are the companies borrowing money from the people. Government bond are the government borrowing money from the people so when you buy a bond you are simply lending money to the company or the government and then the government or the company will promise to pay you back including the interest.

 

What you need to be prepared of. Be prepared to manage time and risk, stock market aren’t meant to be stable nor rising every time, fluctuations are always expected so you can’t expect that your money is always earning, but what’s the better plan to handle these type scenario which is inevitable, what do you need to do?

Don’t just settle for a single company to buy stocks, in my opinion I would prefer buying 10 stocks from ten various companies, and don’t just pick an unstable company or a company who had just started, carefully choose or select company that are built decade ago, companies that are big and sustainable. With all these 10 stocks from different companies you don’t have to worry about falling off the graph. For example, your stocks from other company might be going low also you have stocks from those 10 companies that re running good, so you don’t have to worry about going down.

 

What do you need to start investing? Most important thing is the fund, you have to have a sufficient fund required, next is to gather all the documents you needed to submit to stock broker company and that is if you'd like a stock manager to handle your stock ,although you can still handle it yourself if you have the luxury of time because stocks investment need an intense attention of your time, if you’re not that busy and you can handle your time, then you can run it yourself, I would suggest letting it taken cared by stocks managers because they know what to do in times of a certain problems, it really is time consuming so you must be time committed to this if you'd like to handle it yourself.

 

In your local area try to cross check credible stock broker company that would take full care of your investments. Also, if you’re not that kind of a person and you'd like to do it online there are many ways to do it this time, there are organizations that offers online investments check that out in the internet.

 

It is not too late to start investing even if you in mid-20's or 30's. Years ago there have been a good chance of investment when the stocks are low and the second chance is now during this pandemic, you might not see it right now but you will in the long run.