Investing

Research houses – sell and provide customised research solutions for wholesale clientele, which consist of dealers and the large financial planning entities which on sell their advice to retail clients - the public.

Examples of Australian Research Houses

• Lonsec
• van Eyk
• Zenith Investment Partners
• Aegis
• Morningstar
• Standard and Poor's
• PIR
• Mercer
• ... and more.

Examples of Dealers and Financial Companies Which Buy Research

There hundreds of companies that you can invest in. If you are a newbie scanning the market to decide what you should buy or where put your money in, the list can be overwhelming. Apart from that the research can be daunting. You have to go through a lot of websites or paperwork. But even before you begin what is it that you have to look for in a company that will make it a good investment?

Before you delve into share trading, you have to ask yourself if you have the qualities of an investor. Making consistent profits from the stock market isn't about discovering some ultimate strategy that will guarantee money. Ultimately all your decisions will determine whether you will earn money or blow your account.

Am I Suited for Investing?

Consider the many factors that affect returns like timeframes, trading strategy, your particular portfolio, and social and economic upheavals. A stock may outperform 20 percent in a given year and maybe even 10 years, but this is the exception. Anybody can also get a one-year, one-time 20 percent return, but to expect the same rate year in and year out leans more toward the unrealistic. Learn more here.

Market returns fluctuate like the tides. Consider the many factors that affect returns like timeframes, trading strategy, your particular portfolio, and social and economic upheavals. A stock may outperform 20 percent in a given year and maybe even 10 years, but this is the exception. Anybody can also get a one-year, one-time 20 percent return, but to expect the same rate year in and year out leans more toward the unrealistic.

Traders come from all walks of life. Some may start early with a finance degree under their belt. Others may start a bit late to earn extra income and study on their own. Whether you’re a newbie or a mum and dad investor, deciding on your trading capital is an integral part in the beginning.

Stock market trading is a big risk. No matter what your trading capital is money lost is still money lost. So before you buy any stock it’s always important to know if it’s worth your hard earned cash. The problem is with a variety of stocks and the uncertainty of the stock market, its not easy to pull out the good ones from the bad. Fortunately there are ways to find out if a stock has potential.

Intrinsic Value

Here are some things to consider before investing your $2000: personal research, putting your money into managed funds, studying investment risks and developing a trading strategy. Learn more by reading this.

Investing makes your money work for you. Some people invest to increase their personal freedom, while others want to retire comfortably and maintain their current standard of living. Investing isn't that hard to do, but there is a learning curve. Once you learn the basics and procedures, you can manage your own finances without hiring a professional.

Here are some things to consider when investing your first $2000:

Research

What will be your initial reaction if you come across a trading headline that reads 20% return above cash rate guaranteed: Would you invest? Of course, you might want to know the company which is behind the offer even before venturing to invest on the offer made. To make an investment that promises returns in the 20% above the Australian interest rate - guaranteed, the quintessential feature an investor should be looking for is the creditworthiness of the establishment floating the offer, as in the case of WBC which reeks of rich credentials, coming with such an offer.