Thursday, September 2, 2010
Best Stocks to Buy Right Now
Which are the best stocks to buy right now 2010? This will be the question in the minds of several investors expecting to get fantastic returns from the stock market. This article has some of the top stocks to buy right now. So, read on to know more
Understanding the stock market ups and downs is not an easy task for all of us. With the economic recession behind us, we expect the market to bounce back sharply and make new highs in the time to come. However, what many experts have observed is that this time, the movement of the market will be slow and steady and hence it is advisable to be cautiously bullish on select sectors and companies. Good stock research is imperative before you take any investment call. The next section has some of the best stocks to buy right now 2010.
Top Stock Picks for 2010
Consumer Goods Stocks
Consumer goods producing companies have seen a surge in the demand from the market due to increased buying power which is possible from the improving job scenario. Consumer goods are those which we use in our daily life and our life comes to a standstill without them. A long term investment perspective can help get good returns in consumer goods, stocks along with other benefits such as dividends. So, you can buy stocks in the top companies in this sector with a time horizon of two to four years which can easily give you average annual returns of twenty five percent or even more depending on the performance of the firms. These are indeed the best stocks to invest for aggressive as well as defensive investors.
Health Care Stocks
Stocks of health care companies are expected to do exceedingly well in a very volatile market according to several investment advisers. The need for health care facilities will always remain with the growing population and hence the hospitals, which have the latest technology, infrastructure and provide world class facilities for treatment of all kinds of disorders and diseases will benefit directly. So, track the stock prices of leading hospital chains and take a decision to buy them at attractive levels. How to buy stocks for beginners will guide you in a proper way.
Pharmaceutical Stocks
The pharmaceutical industry is termed as 'recession proof' by many technical as well as fundamental analysts. With improved research and development activities, expenditure on developing new medicines, excellent marketing strategies and a growing market, pharmaceutical companies will fare well in the days to come. Though you can benefit from short term trading in these stocks, you should invest with a time horizon of eighteen to twenty four months to beat the volatility in the market.
Banking Stocks
Banking stocks have been included in the best stocks to buy right now because with the signs of growth in the economy, banks could outperform the broader markets. So, you can pick stocks of well established banks who have a wide range of businesses from consumer loans, corporate loans to broking, asset, and portfolio management.
Power Stocks
As we all know, the entire industry needs more and more power to meet the production demands. There are some old and well established power companies on the stock exchange which can give handsome returns to investors over the next few years. These companies have a large power generation capacity, less debt and also power transmission business which adds value to their stock prices. Unaffected by recession or meltdown, stocks of power companies could be the best bet for you.
Many technical analysts have recommended Johnson and Johnson which makes and markets health care products due to tremendous growth potential and fabulous results shown by the company. If you wish to invest in the oil sector, then Schlumberger Limited could be the right choice considering its financial and past performance. Among the banks, Bank of America is on the radar of several brokerage houses and the increased investor interest in the stock can be a positive sign.
So, these were some of the best stocks to buy right now 2010. You should invest only the extra amount you have in the markets to avoid risks and understand the basics of stock market investing. A disciplined investment approach, proper financial planning and right guidance are the necessities for a safe financial future. So, good luck and do well!
DISCLAIMER: This article is just for reference purposes and does not recommend any stock market transactions.
By Charlie S
Published: 8/18/2010
Beginner Investing: Stock Market Investing for Dummies
Before investing in stocks, you should know the functioning of the stock market. This article will serve as the beginner’s guide for stock market investing.
The Stock Market
The stock market is an organized system of buying and selling stocks and shares, and a place in which these transactions take place is called the stock market. The stock market deals with stocks of listed companies. In short, the stock market aims at the overall stocks sold and bought at stock markets. Before investing in the stock market, you need to know how it works.
How Stock Market Works?
Every investor is allowed in the stock market to make transactions with stocks, shares or bonds. In the stock market, small investor or a beginner investor to big traders everybody trades with each other. The price of a stock depends on the demand and supply of that particular stock. In stock markets, a middleman does the share dealing. This person is known as a share broker. The seller and the buyer mutually decide the price of the trade.
There is an open place in the stock market for trading and the process is known as open outcry. At this place, the traders gather and wildly shout their individual quotes or bids to sell their stock in the stock market. This is called "bidding" where the bidding price changes simultaneously and stops only when a bid is singled out as the highest.
There are other virtual trading places like the computer terminal to carry out the stock investing. Here, traders sitting on computer terminals bid through computers within a network.
Investing For Beginners
It must be kept in mind that beginners will not find it easy to make money at the stock exchange. If it were easy, everybody who's an investor would be a billionaire. The path to investing success takes time, serious study, disciplined efforts and most importantly, independent thinking.
The Stock Market Investing can be confusing, especially for the beginner. Getting some basic tips can help a beginning investor to make informed choices that fit their needs. Each person has a different goal when investing and that plays a big impact on how you invest. Investing is a rather touchy subject for most of the beginners because of the fact that they are intimidated by what they don't know about it. But investing in the stock market is probably not complex, as some financial advisors believe. In fact, it is something that almost anyone and everyone can do. With that intact in mind, following tips can be useful to get started in stock market.
1. Understand that there are no set rules for investing. There are no guarantees and no perfect way to invest.
2. Make informed or knowledgeable choices. Before investing in any way you should completely understand how your investment will work and all of the details of the transaction.
3. Make a simple plan to determine your goals and needs. This will help you to determine what investments to make and how much money to invest.
4. Look at the value of the stock instead of the price. Low cost stocks may be low for a reason. Look at the whole picture. See why the price is low and if there is a possibility it may rise.
5. Check the companies return on net worth. This is the profit after taxes divided by the net worth. It is important to see a trend of growing return on net worth.
6. Spread out your risk. You should not put all your money in high risk stocks. Try some lower risks and some higher risks. This is the best way to protect your money.
7. Understand the basics of stock prices. Prices move up or down depending on future projections.
8. Keep on learning and discovering new things and plans about investing. The Knowledge is a key to success.
These short tips can help a beginning investor start investing in the stock market. These tips are just the beginning to understanding investing and how to maximize your return but you have to keep on learning.
While investing in stocks, it is easy to become distracted and lose focus. Maybe your stock has been going down recently and you are afraid of losing any more money. Maybe you have found another stock you are interested in buying, but you need to sell your other stock first. Maybe you don't like the ups and downs associated with investing in an individual stock. In such a scenario, these simple questions might come handy while investing in the stocks:
1. Is the money I invested "extra" money that I can afford to lose or at least hold on to through the rough times?
2. Do I have additional money to invest if another opportunity arises or am I locked into one stock?
3. Should I still buy the stock today?
4. Should I consider investing in something that has less volatile price movements?
By Jayashree Pakhare
Friday, July 23, 2010
Penny Stock Trading - An Easy Way to Make Profitable Investments in the Markets
Are you aware that penny stock trading can be as profitable and secure as any other type of market investment? If you know the penny market well then you can make money again and again for several years to come. Read further to know how you can become a successful penny stock trader by mastering the ins and outs of share trading.
If you closely observe the successful traders then you will realize that they are profitable only because they start slowly and do not take too much risk in the beginning. They invest into smaller stocks which will gradually gain momentum in the market.
The penny market in general is highly volatile and is a significantly manipulated market. One must be thoroughly knowledgeable about the latest market news and current market trends in order to safely invest.
How the "pennies" market works?
Companies having share prices below $5 and market cap of about $200 million constitutes penny stocks. Usually they are very cheap and offered to the public by companies who are new to the market or going through the start up phase.
Anyone can become profitable by investing with these shares. But the problem is very few people really know where to invest and what is the right time to invest. This is the reason why several investors lose their hard earned money while trading these types of shares.
How to become a profitable trader?
The only thing which can help you to master the art of penny stock trading is to gain the right amount of market knowledge to make trading profitable. You have to have a good amount of knowledge about current hot companies, products or services which are ruling the market.
You should start to learn and document the different market trends and how small cap companies are gaining momentum in the market. Start out small which means start with a small investment by purchasing reliable company shares. If you still do not want to take risk then play with demo accounts. Watch the trends and make investment decisions accordingly.
There are some reliable courses online which offers thorough stock trading education. You should take advantage of these courses to enrich your knowledge base and improve your trading skills. Additionally, there are also some good newsletters that perform the research for you and alert you of good penny stocks via your email address. Many provide this service for free.
Do you want to get hot penny stocks sent to you for FREE? CLICK HERE To Start Receiving Free Penny Stock Alerts!
If you closely observe the successful traders then you will realize that they are profitable only because they start slowly and do not take too much risk in the beginning. They invest into smaller stocks which will gradually gain momentum in the market.
The penny market in general is highly volatile and is a significantly manipulated market. One must be thoroughly knowledgeable about the latest market news and current market trends in order to safely invest.
How the "pennies" market works?
Companies having share prices below $5 and market cap of about $200 million constitutes penny stocks. Usually they are very cheap and offered to the public by companies who are new to the market or going through the start up phase.
Anyone can become profitable by investing with these shares. But the problem is very few people really know where to invest and what is the right time to invest. This is the reason why several investors lose their hard earned money while trading these types of shares.
How to become a profitable trader?
The only thing which can help you to master the art of penny stock trading is to gain the right amount of market knowledge to make trading profitable. You have to have a good amount of knowledge about current hot companies, products or services which are ruling the market.
You should start to learn and document the different market trends and how small cap companies are gaining momentum in the market. Start out small which means start with a small investment by purchasing reliable company shares. If you still do not want to take risk then play with demo accounts. Watch the trends and make investment decisions accordingly.
There are some reliable courses online which offers thorough stock trading education. You should take advantage of these courses to enrich your knowledge base and improve your trading skills. Additionally, there are also some good newsletters that perform the research for you and alert you of good penny stocks via your email address. Many provide this service for free.
Do you want to get hot penny stocks sent to you for FREE? CLICK HERE To Start Receiving Free Penny Stock Alerts!
Friday, May 21, 2010
High Return Investments – Which Offer the Best Returns?
If you want high investment returns you need to take a risk but the amount of risk you take for the reward you get is important. Which are the best high return investments in relation to risk? Let's find out and the answer may surprise you.If you want high investment returns you need to take a risk but the amount of risk you take for the reward you get is important. Which are the best high return investments in relation to risk?
Let's find out and the answer may surprise you.
Let's look at a variety of different investment sectors the facts show that there are good investment managers in all sections but lets look at them for the purpose of our analysis as a broad sector
1. Mutual Funds
Are these a good high return investment? Were told they are but do the facts add up. No they don't. The overwhelming bulk of mutual funds cannot out perform the S & P Stock index and very few make double digit gains consistently.
Fact is, asset managers promote the ones that do well, then drop them when they don't and find another with short term performance that's good, then that's dropped.
The fact is they make their fees anyway and most people just take the sales hype and end up disappointed.
Their a poor high return investment and best you can expect is double about 10 – 15% and with downside swings of up to 30% so the risk reward is not great.
2. Leveraged funds
These can include futures options and currencies but the facts show that while there are some great performers most put in mediocre performance.
You can get managers in this sector that only make on performance and this is the way to go should you wish to be involved in this sector. Normally you risk you entire investment and the best upside is normally 20% and this is a minority.
3. Real Estate
Although not seen as a high return investment, it beats mutual funds as an investment hands down in terms of risk – reward.
Most people who are careful with location and who hold longer term normally get good solid returns and low risk. Pick the right location and rewards can be stunning.
4. Land
Not as well known as real estate, but its cheaper to buy and can produce gains of similar magnitude or even greater.
Howard Hughes was a big fan of this high return investment as are most of the world's richest families.
Land is a short supply their not making it anymore! and land bought in prime locations that gets developed produces spectacular gains.
Low risk investments can actually be high return investments
If you take the above 4 high return investments, it's a fact that land and real estate produce far bigger gains on average than mutual funds or leveraged managed funds and they also do so with low risk.
If you want a high return investment forget the hype and the minority of mutual funds and leveraged funds that make stunning gains most don't.
Hedge funds are a perfect example. Very few win. Their cloaked in secrecy, in offshore locations most of the time. So, you never know what's going on and when you find out it's too late.
High return and low risk
If you take real estate and land the way to turn these into high return investments is simply to pick the right location. If you do this you will have a high return investment with low risk.
Double your investment quickly with low risk!
There are many overseas locations in particular where you can buy easily, cheaply and have stunning potential rewards.
Costa Rica is a well known favourite of American and other foreign investors. Many savvy investors are making double or triple digit returns in just a few years with low risk.
It's a safe country, investing is easy, its tax efficient and your investment is liquid i.e it can be bought and sold quickly to bank profits.
If you have never thought of land and real estate as high return investments you should.
You can get high returns and low risk in the right locations and Costa Rica is a perfect example of a location that gives you low risk and high reward.
Take a closer look and you may be glad you did.
On how to make money by investing in land and real estate is available FREE which gives you all the facts so you can decide for yourself go here
By sacha tarkovsky
Let's find out and the answer may surprise you.
Let's look at a variety of different investment sectors the facts show that there are good investment managers in all sections but lets look at them for the purpose of our analysis as a broad sector
1. Mutual Funds
Are these a good high return investment? Were told they are but do the facts add up. No they don't. The overwhelming bulk of mutual funds cannot out perform the S & P Stock index and very few make double digit gains consistently.
Fact is, asset managers promote the ones that do well, then drop them when they don't and find another with short term performance that's good, then that's dropped.
The fact is they make their fees anyway and most people just take the sales hype and end up disappointed.
Their a poor high return investment and best you can expect is double about 10 – 15% and with downside swings of up to 30% so the risk reward is not great.
2. Leveraged funds
These can include futures options and currencies but the facts show that while there are some great performers most put in mediocre performance.
You can get managers in this sector that only make on performance and this is the way to go should you wish to be involved in this sector. Normally you risk you entire investment and the best upside is normally 20% and this is a minority.
3. Real Estate
Although not seen as a high return investment, it beats mutual funds as an investment hands down in terms of risk – reward.
Most people who are careful with location and who hold longer term normally get good solid returns and low risk. Pick the right location and rewards can be stunning.
4. Land
Not as well known as real estate, but its cheaper to buy and can produce gains of similar magnitude or even greater.
Howard Hughes was a big fan of this high return investment as are most of the world's richest families.
Land is a short supply their not making it anymore! and land bought in prime locations that gets developed produces spectacular gains.
Low risk investments can actually be high return investments
If you take the above 4 high return investments, it's a fact that land and real estate produce far bigger gains on average than mutual funds or leveraged managed funds and they also do so with low risk.
If you want a high return investment forget the hype and the minority of mutual funds and leveraged funds that make stunning gains most don't.
Hedge funds are a perfect example. Very few win. Their cloaked in secrecy, in offshore locations most of the time. So, you never know what's going on and when you find out it's too late.
High return and low risk
If you take real estate and land the way to turn these into high return investments is simply to pick the right location. If you do this you will have a high return investment with low risk.
Double your investment quickly with low risk!
There are many overseas locations in particular where you can buy easily, cheaply and have stunning potential rewards.
Costa Rica is a well known favourite of American and other foreign investors. Many savvy investors are making double or triple digit returns in just a few years with low risk.
It's a safe country, investing is easy, its tax efficient and your investment is liquid i.e it can be bought and sold quickly to bank profits.
If you have never thought of land and real estate as high return investments you should.
You can get high returns and low risk in the right locations and Costa Rica is a perfect example of a location that gives you low risk and high reward.
Take a closer look and you may be glad you did.
On how to make money by investing in land and real estate is available FREE which gives you all the facts so you can decide for yourself go here
By sacha tarkovsky
Safe Investments - How safe is your money?
Are you interested in preserving your principal? Here is a Safe Investment Guide to help. We review Treasuries, Government Agency Bonds, and Certificates of Deposit.After working hard to build a nest egg for retirement, you want to know that your investments provide a good return but remain safe. Although well managed stocks, mutual funds, and corporate bonds can provide superior returns, risk goes hand in hand with reward. Your principal and earnings are not guaranteed and can be dramatically affected by a down turn. As people near retirement, it makes sense to move investments into fixed income products such as Treasuries, Government Agency Bonds, or Certificates of Deposits.
Here is a safe investment guide with pros and cons for each product.
Treasury Bills, Notes, and Bonds
The only difference in the above is the length of the term. T-Bills are offered with a term length of 1-year or less. T-Notes are offered with a term length of 1-year to 10-years. Finally, T-Bonds are offered with term lengths greater than 10-years. We will collectively call these Treasuries. Treasuries are issued by the Federal Government and you are basically loaning them your funds for which they guarantee to pay you a certain interest rate. They are guaranteed by the 'full faith and credit' of the United States Government. You will always get your principal back at maturity. Treasuries can also be purchased in large denominations. Their safety and ease comes with a relatively low rate of return. They can also be bought and sold in the secondary market. Treasuries are a safe investment, but as with any of these fixed income investments, they do carry the risk that interest rates and/or inflation will rise during the term, thus eroding their spending power. Treasuries are exempt from state and local taxes.
Government Agency Bonds
Government Agency Bonds are issued by agencies of the Federal Government and with the exception of the GNMA (Ginnie Mae - Government National Mortgage Association) they are NOT backed by the 'full faith and credit' of the government. As far as safe investments go, GABs are considered next in safety to Treasuries and Certificates of Deposit. GABs carry a AAA rating, but because they aren't backed like Treasuries and there can be a prepayment or call risk, they offer superior rates to Treasuries. A prepayment risk comes into play if the underlying loans that the security is backed by, pay off early and thus decreases the life of your bond. GABs are usually offered with maturities from 2-years to 15-years, but have call periods where the principal can be returned to you without having to pay further interest. This is a call risk. In a falling rate cycle, your bond will most likely be called and your re-investment rate will be lower than what it was. Many people find themselves having to buy long-term bonds to try to maintain an attractive rate. In a rising rate cycle, your funds may go the life of the bond and miss out on higher rates. Many GABs are exempt from state and local taxes. Government Agency bonds can be purchased in large denominations and are considered a very safe investment.
Certificates of Deposit (CDs)
Banks and credit Unions offer Certificates of Deposit for terms usually from 90-Days to 5-years. As long as the CD is offered by an FDIC insured bank or NCUA insured credit union, your principal is guaranteed by the federal government up to $100,000 for a single account; $200,000 for a joint account; and $250,000 for an IRA. If you open a CD that compounds and open it for less then the interest you will earn, the principal and interest would be guaranteed up to the above amounts. Because, they carry no risk (as noted above), certificates of deposit are an attractive and very safe investment. The interest from CDs is fully taxable. Most CDs are fixed for the term you select, but there are banks that offer callable CDs and even CDs linked to different market indices. Certificates of deposit generally offer yields that are better than Treasuries and GABs, but you may want to do a tax analysis to see what the Tax Equivalent Yield is. You can open Certificates of Deposit at multiple institutions and receive $100,000 of FDIC insurance at each institution. Searching for multiple institutions can be time consuming. Deposit brokers can assist you and save you time with this search.
Chris Duncan is a NASD Registered Representative. He specializes in helping clients find the best and highest CD rates nationwide. His clients include individuals, financial institutions, corporations, and public agencies. Visit us at www.jumbocdinvestments.com or our Certificate of Deposit Rates page.
By Chris Duncan
Here is a safe investment guide with pros and cons for each product.
Treasury Bills, Notes, and Bonds
The only difference in the above is the length of the term. T-Bills are offered with a term length of 1-year or less. T-Notes are offered with a term length of 1-year to 10-years. Finally, T-Bonds are offered with term lengths greater than 10-years. We will collectively call these Treasuries. Treasuries are issued by the Federal Government and you are basically loaning them your funds for which they guarantee to pay you a certain interest rate. They are guaranteed by the 'full faith and credit' of the United States Government. You will always get your principal back at maturity. Treasuries can also be purchased in large denominations. Their safety and ease comes with a relatively low rate of return. They can also be bought and sold in the secondary market. Treasuries are a safe investment, but as with any of these fixed income investments, they do carry the risk that interest rates and/or inflation will rise during the term, thus eroding their spending power. Treasuries are exempt from state and local taxes.
Government Agency Bonds
Government Agency Bonds are issued by agencies of the Federal Government and with the exception of the GNMA (Ginnie Mae - Government National Mortgage Association) they are NOT backed by the 'full faith and credit' of the government. As far as safe investments go, GABs are considered next in safety to Treasuries and Certificates of Deposit. GABs carry a AAA rating, but because they aren't backed like Treasuries and there can be a prepayment or call risk, they offer superior rates to Treasuries. A prepayment risk comes into play if the underlying loans that the security is backed by, pay off early and thus decreases the life of your bond. GABs are usually offered with maturities from 2-years to 15-years, but have call periods where the principal can be returned to you without having to pay further interest. This is a call risk. In a falling rate cycle, your bond will most likely be called and your re-investment rate will be lower than what it was. Many people find themselves having to buy long-term bonds to try to maintain an attractive rate. In a rising rate cycle, your funds may go the life of the bond and miss out on higher rates. Many GABs are exempt from state and local taxes. Government Agency bonds can be purchased in large denominations and are considered a very safe investment.
Certificates of Deposit (CDs)
Banks and credit Unions offer Certificates of Deposit for terms usually from 90-Days to 5-years. As long as the CD is offered by an FDIC insured bank or NCUA insured credit union, your principal is guaranteed by the federal government up to $100,000 for a single account; $200,000 for a joint account; and $250,000 for an IRA. If you open a CD that compounds and open it for less then the interest you will earn, the principal and interest would be guaranteed up to the above amounts. Because, they carry no risk (as noted above), certificates of deposit are an attractive and very safe investment. The interest from CDs is fully taxable. Most CDs are fixed for the term you select, but there are banks that offer callable CDs and even CDs linked to different market indices. Certificates of deposit generally offer yields that are better than Treasuries and GABs, but you may want to do a tax analysis to see what the Tax Equivalent Yield is. You can open Certificates of Deposit at multiple institutions and receive $100,000 of FDIC insurance at each institution. Searching for multiple institutions can be time consuming. Deposit brokers can assist you and save you time with this search.
Chris Duncan is a NASD Registered Representative. He specializes in helping clients find the best and highest CD rates nationwide. His clients include individuals, financial institutions, corporations, and public agencies. Visit us at www.jumbocdinvestments.com or our Certificate of Deposit Rates page.
By Chris Duncan
Subscribe to:
Posts (Atom)