Dated:2010-09-02  
 
ABBL 121 0 | ACEDBL 232 4 | ADBL 178 18 | AFL 233 0 | AHPC 415 5 | ALICL 215 5 | BOAN 250 0 | BOK 668 8 | CBBL 430 5 | CDBL 326 76 | CEDBL 214 6 | CFL 228 8 | CMBSL 227 8 | CZBIL 288 3 | DCBL 223 2 | EBL 1425 9 | EDBL 316 6 | GBL 215 4 | HBL 714 4 | ICFC 233 3 | ICFCPO 114 2 | IFIL 221 8 | JFL 314 6 | KAFIL 234 4 | KBL 379 4 | KDBL 191 1 | KFLPO 164 3 | KIST 173 1 | KMBSL 218 4 | LBFIL 170 9 | LFLC 265 5 | LGIL 163 1 | LICN 580 0 | LUBL 265 1 | MDBL 170 3 | MKDBL 169 0 | NABIL 1869 1 | NBB 201 1 | NCCB 221 0 | NCM 420 9 | NDEP 153 2 | NIB 670 7 | NICB 540 0 | NLBBL 460 27 | NLIC 603 12 | NMB 280 5 | NTC 445 0 | NUBL 304 6 | PBSL 140 6 | PCBL 441 6 | PDB 121 3 | PDBL 315 5 | PIC 161 3 | PLIC 197 2 | PRFL 372 7 | SBI 649 0 | SBL 316 3 | SCB 2563 12 | SHL 232 4 | SIL 121 4 | SMBF 219 4 | SRBL 226 10 | TBBL 265 3 | VBBL 223 1 | WMBF 153 3 | YFL 278 0 |
  Tips for Beginners
Saturday - 20th June, 2009 | ResCon
 
 

Welcome to the stock market!! Here you can get maximum return by investing your savings. But the risk is also high. If you analyze the company carefully and the market news, these risks can be massively minimized. TIP: Don’t believe in what one broker or the investor says about the stock; study and be informed about the company before making any investment.

Most of the beginners in the stock market invest into securities without analyzing the company’s financial strengths, its future growth, income perspectives etc. based on irrational decision. Of course, the rate of return is very high in stock market but remember that investment should be done by judging the company’s performance and understanding the market sentiments. So in order to achieve high rate of return by minimizing risk, gather as much as information about the company’s performance, management, growth aspects etc. Information is the vital source to better investment.

If you are a short term investor, you need to focus on the capital gain (achieved from the price appreciation). And if you want to buy and hold the stock for a longer term, your focus must be on the capital gain summed with the ordinary gain from the dividend income. The investment on secure and good company does yield good returns in the long run. But it is always profitable to be a short term trader by buying the growth stock and selling up the declining stock.  

Golden Rule: Buy the stock which will appreciate and sell the stocks which will depreciate at the right time. For that you need to analyze the stock to see if it is undervalued or overvalued. Buying the undervalued stock and selling the overvalued stock (if you have) will increase your total return. Remember what Warren Buffett, the Oracle of Omaha, says on investment: Rule 1: Never lose your money & Rule 2: Don’t forget Rule 1. See.... it is easy.

You might want to consider this as the next important tip:

Though stock market is risky, if you invest with suggestion and advice from us, you can better channelize your investment. We, as a stock analyst, continuously research the stock market and monitor the price of the individual stocks. We know that whether a particular stock is overvalued or undervalued. We have different fundamental and technical tools to analyze and pick the best stocks that suit your investment appetite.