Investment in financial institutions and stock markets has been in vogue for centuries. The objective that lies behind in investing in various financial sectors is several and almost all of them known to all. Guarding one against unforeseen conditions, increasing the principal and retiring from work with the complacence of economic stability, among others cause people invest into different financial institutions. Stock market investment has been the most interesting and profitable, though many investors, especially the common ones with small amount, have reservations, rather say fear of investing there with reasons.
Reasons those abet them from not investing into stock scripts are more than one. The very stock market character is volatility, which is most scaring to investors. People find always safe investment haven, which can in any way save the principal from being shrunken into meager. The volatile picture of this money market helps the investors across the world escalate their aversion to it.
Despite all these demerits, this stock market is the most rewarding and yielding. To make smart move to gain only from investment and not to minimize and lose the capital, planned investment is of top requirement. Having knowledge about the pros and cons of the market character and investment basics can help you in all ways to reap the optimum rewards from your investment, whatever their size may be.
Consider a market condition of a day when market is rapidly going up with having almost all of its scripts looking high or bullish. In those days, what you need to do to make quick pelf is sell out all those holdings of scripts with higher prices in as much as possible. Again, consider a day when the market is sluggish or bearish and going down time to time. In those days, what an investor like you should do is wait to catch to fish out or buy a blue-chip script at its unbelievably cheapest price. If we make a summary out of these two conditions, we can say that a bullish market is the perfect place to sell out scripts at higher values while a bearish market is a situation when investor can avail of the opportunities of buying blue-chip scripts at their normal lower prices.
Investors may have inquisitiveness to know how long they are to watch and wait for the opportunity to come. It depends solely on the investor. The higher risk an investor can brave to take, the higher rewards. But, what if an investor does not want to take chance and risk at all; in that case, the investor must follow specified investment strategy detailed in several books. One of the names of such books that comes instantly to my mind is An Unconventional and Comprehensive Guide to Everything Investing by K.C.Staar. Lets know some of the basic investment strategies that this book teaches.
Strategy No. 1:-
With market being online, you can buy and sell scripts on the stock market from being the comfort of your home. The fluctuations and all such movements happen before your eyes. So, your eyes and mind need to be alert and agile so that each of your moves must be smart one and free from a wrong step, though you can revert back your move.
Strategy No. 2:-
You need to be careful of the script movement. You need to be aware that a script that looks up quickly will come down with that quickness. So, you need to avoid them, and to know which scripts have such characteristics you will have to look for reliable financial planning advice from experts.
Strategy No. 3:-
If you are in the blue moon of your career and earning a lot, then you can take the opportunities of stock market, keeping aside the banking institutions and other such financial institutions. Availing of such opportunities depends on the age groups.
Things to remember:
Investment in stock market is no doubt highly profitable and rewarding. Still, knowing of this very fact, most of us believe it to be a touch and go financial institution, where the chance of losing money is higher. Now, such belief is just of a Utopian type, because you can find this is only the source where from you can earn to the optimum extent. What an investor needs to know of how to invest in stocks. Now, with having all on Internet, this is very easy to know. Just start to browse and look into the reliable books as you scroll the scripts of the market.