Image : http://www.flickr.com
When it comes to investing your money, you must understand the relationship between risk and return. If you assume the risk of investing in a way that you expect a reward. The award must be reasonable, given the level of risk they assume.
But the reward is only a potential. Because of the risk, there is no certainty.
You should still find what your reward should be an investment. The good news is that it is difficult to know if the opportunities and risksare consistent with each other.
Return with the determination of "risk-free", which is currently available on the market. This is the basis for measuring income. Most investors use as a benchmark U.S. Treasury bonds - in part because governments are not expected to default. For example, a risk-return government bonds of 5% could be your base. Any investment risks that you need a better return than 5%.
The level of return that you get over the baselineof 5% is the risk premium. If you are in an exchange with an expected return of 10%, a risk premium of 5% to the return leg.
Then you must decide whether the prize is large enough for the risks associated with the particular stock. Note that you can not reach the warehouse, the expected return. Depends on the type of action. Large cap stocks have established very solid units. New Small-cap stocks are too many risks for the prize. Justify
When it comes to analysis should be performed on a stock before buying, there is much evidence that it should enforce the fields. However, it is important to know whether the investment risk is worth the risk that the posts on your stock portfolio.
You should also remember that there are so affected the return on the stock market due to inflation and taxes. If you calculate the return on investment, you must ensure that deepCalculation. What you are looking for is the real interest rate, not the nominal rate.
The nominal interest rate shows the growth of your money. The real interest rate tells you how much your purchasing power is growing. Your money could be raised without seeing an increase in purchasing power.
For example, if your investment grow by 6% in one year and the rate of inflation for the year is 3%, the real return is only 3% (6-3). If you are employedDividends or interest on bonds, which will be affected by the costs of inflation.
If held in a warehouse in a position to build profits. An investment of $ 1000, with a nominal interest rate of 8% may easily in a real rate of 2.6% after inflation and taxes again. This is something that you plan your portfolio and investments.
Friends Link : Traveller Program Thaitripstoday.com sitemap
ไม่มีความคิดเห็น:
แสดงความคิดเห็น