Thursday, October 7, 2010

How to Invest Stock

How to Invest Stock


            My “how to video” I choose to write about is talking about how to go about investing stock. I feel this is a good topic, as a lot of people want to invest into stocks because they hear about the great benefits that can come from investing. However, what people do not realize is that it doesn’t happen that easily. It takes a lot of knowledge and a little bit of luck to make money of the stock market.
            This video starts off by telling you to ask yourself two important basic questions before investing, “ What is your end goal?”, and “What is your budget?”. I feel these are two very important questions, as you should know what you are trying to get out of your investment as well as know how much you are willing to lose if your stock crashes. Another good point the video makes, is telling the beginner investor not to use all the “trade yourself” online stock websites like E-Trade, but to get a real stockbroker that knows what they are talking about. The third good point this video explains to talking about how many shares a person should buy when starting out. You should buy as much shares as your budget allows for. Do not spend more than your budget allows. This is how you get into finical trouble as you may very well lose a good portion of your shares. If you can only afford one stock of the company that you want to buy, only buy one.
            This video has a lot of good points and suggestions in it. However, the drawback to this video is how monotone the speakers voice and how the speakers voice could turn away people from watching this video and getting all the great investing points that are in the video. Overall this video has a lot of really good points for investing and is a good video for the person who wants to learn about investing to watch.

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