A Six Figure Income is Within Your Reach

A Six Figure Income is Within Your Reach!By Roger Bourdon
There's no doubt that investment plays an important role in our life. Each one of us invests a part of our income in some form of investment option or other, whether it be a simple savings scheme, a pension plan or stocks and shares. When investing we have to look at our requirements for the short, medium and long term taking into account our attitude to risk and whether we are looking for growth or income from our investments.
The first step in investing is to decide on your financial goals. If you are seeking a steady source of income then look to bonds, government securities and debt mutual fund schemes whereas for growth consider equities and equity linked mutual fund schemes. But it's not as simple as that as your attitude to risk plays an important part. For example you need to be prepared to take greater risks in the case of equities purely because of the sheer nature and volatility of equity markets.
Regardless of your decision about risk and the investments you decide to make, the most important aspect of all is to build a diversified portfolio, in other words "don't put all your eggs in one basket". It is essential not to focus in one area or on one stock or indeed on in one market. There are so many to choose from. There are commodities, such as gold, silver and oil and then there are a myriad of markets, such as the UK, USA and Japan, but within each of these markets are a variety of options, such as investments in fledgling companies, emerging markets or global markets. In fact the options are endless.
Managing your finances without a Financial Adviser is not an impossible task if you have the basics of investments clear and are prepared to put in the time to look after your portfolio. However the number of products on the market runs into many, many hundreds and new ones are appearing regularly, so do you have the time to keep abreast of the market including your changing personal circumstances and requirements? I suggest few of us do which is why the services of a Financial Adviser are so important. Given their role and responsibilities it is hardly surprising that most of them earn six figure salaries, which is one reason many are now considering becoming Financial Advisers. Interestingly enough, there are fewer Financial Advisers in the UK than ever before even though demand for financial advice has never been higher.

Strategies For Selling Stocks

Strategies For Selling Stocks By Vijay Kumar Sharma
In share exchange, a good strategy is making the impossible, possible! In this trade, some make constant profits and others suffer losses on account of the application of correct or incorrect strategies respectively. The trading value of the share does not remain the same due to many factors that impact it. Share trading can not be categorized as the rocket science. Thousand of investors think about a particular share and all of them think simultaneously but differently.

Their combined thinking decides the mood of the market, as for a particular share. Apart from making the detailed research and analysis of the share that you propose to take into the fold of your portfolio, you need to evolve a strategy which is exclusively yours; that suits your working style; that revolves round then perimeters of investment that you have decided for yourself.

Selling the share that has good run is not the easiest of the decision to make. But from the point of view of the strategy that you have worked out, you may have to take such a decision.
You expect positive results from each share that you have included in your portfolio. You are making periodical reviews as for the performance of each share. Suddenly, you find the warning signal for a particular share. You find the regular slump over a period. This is the crucial period for you to decide to part the company with the share. Study carefully whether the fundamentals of the company have failed. Scrutinize three important areas-sales, debt and cash flow. If you see the stress here, something tangible needs to be done at your end. These negativities are too severe to be ignored. Keep aside your emotions and take a realistic view of the prospectus of the share. Do not expect that something dramatic will happen and the share price will shoot up. Examine the various details like an impartial judge, and take the decision to sell the share without further delay.

It is better to follow the set procedures. Set a stop loss limit for each share and also their upper limit that will trigger the automatic sale. Do not go on revising the upper limit, unless you have very strong reasons for doing the same.

One of the positive indicators for the health of a company is its ability to pay regular and reasonable dividends. Slashing in the rate of dividends or its elimination altogether even for one year must put you on enquiry immediately. The company report may say it in so many beautiful words to reassure the investors, but that is part of their public relations exercise. Dividend cuts are serious events in the history of the company, that the company has developed some intrinsic trouble. For every CEO dividend-cut is the most painful decision to make, because he knows that it will hurt each and every investor who has reposed trust on the administration of the company.
Remain thoughtful and watchful- what is happening in the market! Many investors are up to tricks that will fascinate the new investors, and if one accepts their guile, as part of the selling strategy, it is extending invitation to trouble. Ignore the rumors and do not rush. The hype will ebb, and the market will collapse and you will regret your actions. Never lose track of the fundamentals, when you make the decision to sell a share.

When a growth share stops growing, make it a point to review. When the growth of a share, is lesser than the average market standards, think of the next share.
Trade moderately, within the limitations of your strategy and the level of your investment. For every trade that you do, you are paying commission. Your broker may not encourage you to make more trades, but he can not stop you from doing trades. After all, his duty is to carry out your instructions. Avoid excessive trading.

In share trade, buying and selling are alternative beats of the same heart. Just as you have the buying plan for shares, have a selling plan as well. After all, you earn profits by selling as well as by buying!