financial independence

Stock market investment plan

Many investors are attracted to the stock market because they beleive it has potential to help them in making quick Cash. People with less appetite for risk either get a managed account or don't invest at all for fear of losing.

However, the stock market is not all about speculative gains or black Monday's. The only way to invest successfully in any financial market is to empower your self with information. See my investment ebooks You have to know and learn about the companies you invest in, from past records and future plans. One foolproof way of knowing that a company is doing well is to keep a track of how much dividend income does it pay to its share holders every year. If the dividend rates have been rising steadily every year, you know you have a safe bet. Is it a good idea to put returns back into the same company? I think it would be better to spread your profits around into different shares and maybe different markets this reduces your exposure and risk.

Many investors wait for prices to fall before investing cash, prices on the markets always fluctuate up and down. Now would probably be a very good time for those with risk capital to invest, if the share is a good bet waiting for these market fluctuations can often mean lost opportunities and wrong decisions.