How To Make a Fortune in Investments
By: Lil Waldner
People work and save a part of their salaries. They try to make more money out of their savings. Some of them try to achieve more: They want make a fortune and change their life. How can you make a fortune out of your money?
With a New Business Idea
The most promising way is to develop a new business idea. Young scientists or professionals detect a problem. They do a lot of research in order to find a solution. They develop a new product or service. If they are lucky, they meet a demand on the market. They bring their innovation to the market. This is a long way that can last years. Entrepreneurs as innovators need all their savings in order to realize their business idea. They have to spend hundreds of thousands of Dollars from their savings. They even need to acquire more investment funds from other people.
By Funding of a New Business Idea
Not everyone is able to develop something new that is promising for making a fortune. They can finance others, if they feel confident in their marketing strategy and their dedication to work. Some of this people are acquinted with pioneering entrepreneurs. They act as so called “family, friends, fools” network. They invest in the hope to get their money back. They can benefit great, if they are lucky.
As Professional Venture Capitalists
Some people can use their assets in order to work as professional venture capitalists. Some of them have experience in building up of a new business. They act as business angels and provide young entrepreneurs with both: investment capital as well as advice. They usually maintain a good network to universities, research centres and startup contact centres. They try to choose among the best ventures. A lot of skills and the ability to risk own funds are needed to do this job.
By Trading from Home
People with experience in the financial markets can trade on the stock and options markets from home. There are a lot of opportunities and software programs for day trading on stock markets and for investments in futures and options. This is a highly risky business.
For People Who Prefer Resting on a Safe Pillow
Most of the people want to sleep well on a safe pillow. They have family duties and they may not risk their savings. They are well off by investing in their own home as real estate. They further invest some remaining savings in a basket of bonds and shares of high quality and a small portion in private equity funds. They do not get rich, but they can prepare for their old days or needed extra expenses.
You May Draw a Comparison:
It’s possible to multiply the invested capital ten or hundred times or more as business innovator, business angel or venture capitalist. Otherwise all the funds can be lost in a venture. A professional trader who invests from his computer from home on the financial markets can make or lose a lot of money. This people do this kind of job usually only during a few years, because it is highly hectic. They withdraw from trading because they either have lost all their money or because they are saturated. The cautious investor who prefers a quiet life achieves a yearly performance of 3% to 6% a year for bonds, of 5 % to 10% for shares. If a young person of 25 years reinvests the yearly revenues of a start capital of $10,000, she or he can accumulate a fortune of $43,219 in the age of 55 just with bonds of 5% interest yearly.
Read also:
Guide to money clubs or investment clubs
Real Estate Investment
Real Estate, Luxury or Investment
Investment Basic
Thursday, April 16, 2009
Money clubs or investment clubs
Guide to money clubs or investment clubs
By: Mansi gupta
A money club is a great place for people to get together and share thoughts, ideas and goals about money, planning, finance. Here people learn about finances and ways to reach ones financial goals. Friends in the money club provide encouragement that each member needs to succeed.
This is one major reason why money clubs have picked up significant momentum since their inception a couple of years ago. Their aim is not to evaluate price/earnings ratios, but to help members navigate pricky personal finance dilemmas.
In a time of economic unease, by joining a money club people can establish and follow through their personal financial goals, which may include improving money management, increasing ones savings for retirement, spending intelligently, saving for children’s education, diversifying portfolio, curbing debt and advancing estate planning or buying a home etc.
In order to have a successful club take certain precautions
A new investment club must have a solid structure to ensure the club's agenda is carried out efficiently and without friction with legal agreements and bylaws in case the club invests jointly in order to avoid any unscrupulous person joining the club. make sure that the number of members is such that it is not too much to find a meeting place and also this would mean a higher retention and too much management would not be required.
An investment club must have a clear way of determining each member's share at a given point in time as members are likely to contribute funds on a periodic basis, and may intend to withdraw funds from their share of the club's assets at some time in the future.
Make sure that all members equally share the work. Pick a leader or rotate leadership. Stay organized. Help the members to learn and polish their stock researching capabilities, this way all the members can contribute.
There should be regular guest speakers and field trips so that the club members are able to sustain their interest instead of sticking to the same routine.
Meeting should be once a month since more of the meeting would be a burden for some people and if it is less than people would gradually loose interest. The meeting should be regular with time and venue set. Changing venues could be inconvenient for people and can derail them from their focus and subsequently lessen their zeal to attend.
Make sure that the members are performing correct maths. This will not happen if careful attention to paid to club accounting system. The National Association of Investors Corp. (NAIC) offers instructions and software on how to keep track of contributions and gains.
When looking for members of the club, one can select friends, coworker or search internet in order to make sure members have similar interest, goals and backgrounds for them to understand each other and contribute accordingly.
When a member attains a financial goal, it should be celebrated with adequate prize or gift certificate. This would drive competition and thereby encourage everyone to do well.
Read also:
Real Estate Investment
Real Estate, Luxury or Investment
Investment Basic
By: Mansi gupta
A money club is a great place for people to get together and share thoughts, ideas and goals about money, planning, finance. Here people learn about finances and ways to reach ones financial goals. Friends in the money club provide encouragement that each member needs to succeed.
This is one major reason why money clubs have picked up significant momentum since their inception a couple of years ago. Their aim is not to evaluate price/earnings ratios, but to help members navigate pricky personal finance dilemmas.
In a time of economic unease, by joining a money club people can establish and follow through their personal financial goals, which may include improving money management, increasing ones savings for retirement, spending intelligently, saving for children’s education, diversifying portfolio, curbing debt and advancing estate planning or buying a home etc.
In order to have a successful club take certain precautions
A new investment club must have a solid structure to ensure the club's agenda is carried out efficiently and without friction with legal agreements and bylaws in case the club invests jointly in order to avoid any unscrupulous person joining the club. make sure that the number of members is such that it is not too much to find a meeting place and also this would mean a higher retention and too much management would not be required.
An investment club must have a clear way of determining each member's share at a given point in time as members are likely to contribute funds on a periodic basis, and may intend to withdraw funds from their share of the club's assets at some time in the future.
Make sure that all members equally share the work. Pick a leader or rotate leadership. Stay organized. Help the members to learn and polish their stock researching capabilities, this way all the members can contribute.
There should be regular guest speakers and field trips so that the club members are able to sustain their interest instead of sticking to the same routine.
Meeting should be once a month since more of the meeting would be a burden for some people and if it is less than people would gradually loose interest. The meeting should be regular with time and venue set. Changing venues could be inconvenient for people and can derail them from their focus and subsequently lessen their zeal to attend.
Make sure that the members are performing correct maths. This will not happen if careful attention to paid to club accounting system. The National Association of Investors Corp. (NAIC) offers instructions and software on how to keep track of contributions and gains.
When looking for members of the club, one can select friends, coworker or search internet in order to make sure members have similar interest, goals and backgrounds for them to understand each other and contribute accordingly.
When a member attains a financial goal, it should be celebrated with adequate prize or gift certificate. This would drive competition and thereby encourage everyone to do well.
Read also:
Real Estate Investment
Real Estate, Luxury or Investment
Investment Basic
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