Investing Questions and Answers

Which is better edward jones or merrill lynch?




Answers: Unless you're 6 digits plus then maybe a better question is why you just don't get Vanguards S&P 500 fund?

If you are 6 digits plus and close to a local office then I'd say Edward Jones will be the firm that gives you more attention and not just about stocks. Also you'd gain the benefit of a person you can get to know and trust.

If you're 7 digits then probably MER would be better for you...
Merrill Lynch has the better brand name, but the reality is that it depends very much on who you're working with.

If your representative is reliable, knowledgable and is clearly in your corner, go with that person. Find someone who is highly qualified, as been doing this for more than three years, and is clearly a professional, dedicated to his clients and the industry as a career.
better for what catagories?
safety.execution.low comission??/
what??///

How does currency trading in actuality work? What does a trader do?

In your own words too... I am kinda dense right now. lol


Answers: Currency trading is be either a company/broker private individual or club will speak buy one currency like the United States Dollar and trade the British pound. What determines if you buy or sell is determined o what an reduction is currently doing. If say today the market in the US started acquirement value and utter the fed lowered the prime rate by a partially percent, Then the dollar would gain on most currencies so you would want to sell the dollar while it is at its low and put on the market when it hits a high. As far as what determines that, is you entail to watch charts and net an educated guess that the direction the currency is going it will verbs to do so for a short period, long satisfactory to cover your pip spread and then win out with a profit. Personally because of the above and more I use an investment club, as in attendance are no fees charged by the club, and they have three different investments the complete thereby reducing possible loss. If interested look at near web site http://www.freewebs.com/mnthighinvest well-mannered luck in adjectives your investments
Bob
Very simple, a currency trader LOSES HIS/HER SHIRT. Don't do it!

Actually, they mostly trade futures or options, totally highly leveraged and RISKY.

But, if you MUST, stir to www.forex.com
First you open an story with a regulated brokerage. In the United States, that method a member of the National Futures Association (NFA). Otherwise, you could tip out victim to some unscrupulous brokerage that will steal your money.

Second, you plain a "demo" account next to the brokerage. This lets you play near "fake" money in the "real" bazaar.

Third, you learn what the 50% trading rule is. This is a simple, totally reliable rule for when to enter a trade. G00GLE it.

Fourth, you decide for respectively trade how much money you are willing to use. You want to maintain it small, because every trader, even professional floor traders, enter a lot of trades that dance bad. Limit your losses.

Fifth, practice trading near the demo account for a couple months. See how much money you variety or lose.

Sixth, if you feel confident, deposit some money near the brokerage. The minimum is usually $250 dollars.

Finally start trading for real.
you may want to check out this site. they hold out free e-books and live one on one help to interested traders.

As an investor, what would you look for in a company when investing in debt (bonds)? Or equity (stocks)?




Answers: Bond investors are looking for a repayment of the principal and a return in the form of interest payments, or "coupon" payments, usually semi-annually.
The main criterion one should examine are the ability of the company to repay the debt ("times interest earned" or "interest coverage" is the yardstick) and one's expectations regarding inflation and interest rates.

Equity investors also want a return, generally in the form of appreciation or gain, and (less frequently) dividends. Capital gains are taxed at a more favorable rate than dividends, so firms tend to plow earned income back into the firm, seeking more positive net present value projects.

Equity investors should examine earnings growth, the firm's cash flow, the firm's management, the firm's assets and earning power, the value of the firm over time, and the values of similar firms or securities.
A good framework for qualitative analysis is Porter's 5-Forces model; formulas and models using discounted cash flow, comparables/market multiples, and net operating profits after taxes should be used.

With a bit of training and proper research, it is entirely possible to value a firm properly and accurately, particularly if one adopts a "buy, hold, and monitor" approach.
It's also exceedingly doubtful that the conditions that existed worldwide from 1929 to 1949 will ever repeat themselves any time soon.
Equities are the ONLY investments that have repeatedly beat inflation, over time. Any portfolio or savings plan that does not have a well-chosen exposure to equity investments may contain fewer short term losses, but the investor will over time surely lose significant amounts of money to inflation.
This is well-documented and verified by years of academic study. Miss out on equities and you'll be like the man who buried all of his gold and when he dug it up later found that he was much poorer.
Bonds barely beat inflation, not nearly enough to bother with in a long term sense, and precious metals fare even worse.
I used to invest in stocks, but I don't anymore, for the following reason:

- Financial statements, balance sheets, news, and ratings have absolutely nothing to do with stock price. Stock prices go up and down at the whim of the stock market. You can research all you want into the "soundness" of a company, buy some stock, and see the share price do the absolute opposite of what you expect.

So if one is to make money in stocks, how is one to do it?

First learn the 50% retracement rule. This is a simple, reliable rule for entering trades. You may G00GLE it.

Second, develop a trading plan for controlling your risk. This may be done by using "stop losses" or some sort of "hedging" strategy.

Lastly, open an account with an online discount brokerage. You may consider trading "futures" and "commodities" instead of "stocks", as the futures and commodities tend to charge much less commissions and fees. The trading principles are the same.

And remember the following relevant quote from Richard M. Salsman: "Anyone who bought stocks in mid-1929 and held onto them saw most of his adult life pass by before getting back to even."

This makes you realize that "investing in stocks" is not necessarily all its hyped to be.

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