Tuesday, 12 November 2013

Share Dealing- finding companies worth investing in



Finding a company worth investing in.

Actually easier done that said.

This is the first stage of the technique of finding companies worth investing in. I won’t be ambiguous and I will also not go into figures. You just need to understand and remember this simple analogy.

Companies are like people. (Because they are run by them)

Let’s take two test cases A & B

“A” Earns 100K per year he has a large mortgage and spends most of his earnings per year. He has quite a big loan on a flash car and has also taken a loan for a luxury holiday. He is in debt but does have the money to pay back his loans. In essence he earns well, lives well but is in debt outside of his mortgage.

“ B “ Earns 60K per year, has a mortgage, an average car, but no debt and is a bit tight with his money and saves about 30 % of his income per month. In essence “B” is saving money to reinvest in his future.

Which one would you invest in?

We will discuss why in the next post. There is no right or wrong. Just a probable outcome.

Friday, 8 November 2013

Share dealing-The tools of the trade



Tools of the trade

What you need to start trading and share dealing

Below I will list what I use to trade shares. Its not as complicated as you may think! But there are a few things that you will need.

First up the most obvious Money! To start with I would say around 2K but only trading with about half the amount at one time. This is just in case things go wrong and you still have some money to trade with.

When I first started trading I made about 70 % my 2K in a year, which wasn’t too bad I guess. What was better is that I only made four trades.

A free account with ADVFN. This site is where you can get all your performance figures from about companies so you can make a choice. It also has many other features. An outstanding source of information. Great for stocks,shares and general market news.

Third up a trading account. There are many out there and they all pretty much are the same. But some have better newcomer offer than others.

Fourth a smart phone! Basically if you are on the move.

And that’s all I use!

I will go into detail on the four items above in the next posts so have read of this again and then we can take a deeper look at stocks and shares and the general market.

Wednesday, 6 November 2013

Share dealing from home



This is my intro post for one of my favorite subjects…… Share dealing.

Back in 2009 I went on holiday to France for a holiday and stayed in some guy’s villa. It was amazing. I don’t know how much it cost but I am sure that it was well over two million Euros. I just had to know what he did for a living. Coming near to the end of the holiday the pool cleaner guy turned up and started talking about the villa owner. I could not resist and just asked him outright. “What the hell does this guy do for a living”? His reply was that he is a stock market trader and he trades from his own home. This got me thinking. I’m not a stupid man! Could I do this? Or at least make some money from home.

Well this was the start of my journey. And what a great one it has been.

Yes there is money in trading stocks and shares from home. And I will explain how I do it.

Stay tuned for my working diary and my strategy!