Mainmonides PDX Shares with you the Basics No One Tells You About the Stock Market
Mainmonides PDX is offering the following lines as means to be used as the most basic information you can gather about the stock market. The internet, as powerful as it is to offer information, is not the right venue to learn every single thing you need about stocks if you are planning on getting started in this world. Before you embrace the violent tides of the open market, we recommend you look for proper assistant from stock firms as well as attorneys, such as https://philly-injury-law.com/ who can supply all the information you might need. Philadelphia Injury Lawyers is one of our biggest clients who have had great success with our services. Mainmonides PDX is willing to help you dip your toe in these waters, but keep in mind that this not everything you need to know. Law firms are very helpful as well. Also, knowing most of this is not a guarantee of success, but it’s a good starting point for any investor.
Let’s get started with this show:
Follow the Proverbial Rule of thumb: Buy Low, Sell High
You probably have heard these thousands of times, and it probably sounds like the simplest of rules, right? And yet at Mainmonides PDX, we can tell you that almost nobody knows in this business what’s going to be the next big thing. Most of us are not familiar with investments, especially when it comes to means of securing our financial future. Buying something non-existent for cheap feels like lack of common sense. However, ask your firm representative or your attorney what they would give to go back in time and buy stock on Google, Microsoft or Apple when they went public. It’s likely that most of them will answer that they would gladly offer a piece of their souls for that chance. Investing in the mineral market is always the fastest option with the prices of oil and Gold (the two most valuable assets) still going strong and steady.
Never Trust a Sure Thing
Six years ago oil prices were soaring high at $100 a barrel, and the price stuck for a long time. ESPN seemed to be immune to the shifts and power plays of the cable industry and it was the most significant source of income for the Walt Disney Corporation. These are just two cases of past times that went by as now we have oil prices on $60 on a good day, and Netflix dominating the market on streaming services as cable loses ground every day. Disney just bought two of the biggest IPs in the world to diversify their portfolio (Marvel Comic and Star Wars). The point of these cases is: what seems to be safe now is not what is going to be safe tomorrow. The only ones with the ability to keep making profits with the stock market are big firms who have dipped their toes in almost every corner of the business world such as Warren Buffett, Carl Icahn, and other firms. Small investors placing individual bets on single corporations or markets are playing a riskier game.
You Need to Get Familiar with Fillings
As we stated earlier very few players have what it needs to foresight the market’s behavior. And even the most experienced player can’t make the call on a sure thing. In Mainmonides PDX we believe that the best course of action is to do your homework on the companies you wish to invest in. The best way to start and make that happen is by studying the regular filings that are made public from all companies going to the open market. All of them are required to offer full details on everything having to do with their creation, from the origin of the company finances to the potential conflicts and risk factors they can face in the market.
Unless you Plan to do this for a Living, Think Long Term
Unless you Plan to do this for a Living, Think Long Term
Playing the stock market daily is a sure way to get an injury in your pride, especially if you don’t have the capital for it. Almost all stock transactions pay taxes, so unless you plan on making a living out of this short-term trading is a no-go play for novice investors. If you are a newcomer looking to win some money slowly and steady, you should consult Mainmonides PDX into buying and selling shares that report quarterly earnings. This long-term method is always handled by third parties like us as well as automated trading platforms.
Unless you Plan to do this for a Living, Think Long Term
Keep an Eye on Your Dividends
Big companies like Apple, Google, Samsung and other multinational may have an uneven behavior at the market with lows and highs every year. But if an investor has placed his money on these companies, he probably is still set to make a profit unless the company declares losses or goes broke. The reason is pretty simple: Dividends are collected during the year. Beware though: this form of profit is not immune from declines, but they offer some degree of insulation that other forms of stock can’t. The right consulting firm will advise you to go for periodical collections instead of single payments since they may reflect a bulk that is not really as big as it should be.
No One has the Magic Metrics to Define the Market
Always take into account the fact that if you are working with an investing firm compromised of professional advisors and lawyers your investments are set to be smarter, efficient and measurable to the naked eye, but they don’t have a magic formula to make it happen. Even amateurs in the market create their methods to keep measures of growth and value, as well as price-earnings ratios, and dividend yields with profit margins. In Mainmonides PDX we are pretty sure that there is no magic trick to tell the good stock from a bad one. A stock that looks promising and reports ten times its value in a day can go down to five after a single occurrence. It’s more common than you think.
Be ready when Uncle Sam Comes to Collect
Take a look at the dominant names in the business right now: Facebook, Amazon.com, Netflix, and Google all had a high performance since 2015, with reported profits going from 34% to 134% in a single year. Tax-wise the investors who bought stock on any of these companies over the last three years and is looking for an exit needs for them to keep going up. Strong brands perform better after a year or two and the best part out of the price hick is that they can report enough money back to the investor to pay the fees demanded by the IRS. Keep in mind that according to legal regulations an asset that you have owned for more than a year pays a 15% tax, while short terms investments pay nearly double of that.
Never believe a 100% on the Word of Analysts, Not even reputed Ones
It’s a sad state of affairs, but many business outlets offering “advice” about investment sometimes are bought and paid for. Look at the opening lines of any new fiscal year. Tragic occurrences such as the fall of the Chinese market in 2016 or the insane price drops of the stock in General Electric and General Mills this year received little to no coverage even as some of the biggest players in the market saw them coming a mile away. Here in Mainmonides PDX, we are not telling to be paranoid, but if your gut tells you to stay put on something you want to keep, maybe you should do it.