Teaching Teens the Value of Money

Teaching Teens the Value of Money

Does your teenager think you’re an ATM?  If you’re constantly being asked for a never ending stream of cash, it’s time to put the brakes on and teach some basics to your teen on the value of money. There are two schools of thought on how to best approach this. Some financial experts suggest giving teens and allowance and other suggest teens actually work for their extra spending money. This approach espouses the notion that in order to spend, you must be prepared to earn. Follow these recommendations from the financial experts to get your teen on a path to sound money management.

Simply giving a teenager a defined amount of allowance every week and teaching them to either spread their expenditures over the course of a week does little to teach the value of money. They will know the cost of everything on their wish list, and begin to presume that simply accumulating this gifted allowance is a path to constant acquisition. Nothing could be further from the truth. Unless your child is set to inherit a substantial trust fund, you’re doing them a disservice. We teach our children to read, be kind and be responsible for their own actions. We must also teach teens that money must be earned. Teens need to understand the correlation between working and earning.

Encourage your teen to secure a part time position and work weekends or a few nights each week. Have the discussion with them about the options they have with their earnings. Savings for gifts, trips or large ticket items should be part of the discussion. If a younger sibling has a birthday on the horizon, have your teen take advantage of the awesome deals offered by Groupon coupons and select from one of the fun kits available from Lego as a gift. This might well require savings a few dollars each week from their paychecks.  Instill the value of savings. Do not be controlling on what your child spends their earnings on. Their choices will no doubt be different … Read the rest...


5 ways to Avoid Day Trading Mistakes

Before you get lost in stock trading software reviews and underground stock alerts, its critical to do the foundation of learning required to be a day trader. Its a risk filled environment, going against classic hold and accumulate stock advice by making money in tiny increments from price fluctuation. There is a reason it hasn’t been available to the public until now- the tools needed simply weren’t there without the internet. Now the potential rewards- and risks- are there for everyone. Here is how not to be a stupid trader.

Stock trading software is less important than a tangible plan

Before you even think of signing up for a penny stock newsletter, let alone buy custom software, stop, breathe and make a plan. There’s a ton of different trading strategies, styles and more you can use- this isn’t what that is about. You need to know how you will identify successful trades [performance metrics], what particular facets you intend to look for to identify your good trades, what stock you are interested in trading and what your exit strategy will be. Then, stick to the plan. Emotional flipping is the single best way to lose money on the stock exchange. Don’t let fear and impulse sales control you. Don’t change strategies because they stopped working. Losses are part of the game. Change because market dynamics say so, not because you panicked.

Follow the news

A penny stock newsletter can be helpful to you here, but you should consider other, mainstream news too. The amount of day traders who try to trade with no knowledge of the wider economic impacts on the market is staggering- and stupid. Be smart, know whats happening.

Journal and review

Unsuccessful day traders don’t analyse whats happening with their trades. When the day is over, analyse your trades and why they worked/didn’t. Keep a journal so you can monitor where you win and lose over the long term. Most good stock trading software will have this feature built in. You cant learn what you cant … Read the rest...


Automated Stock Trading Software. How to Choose the Best

Advancement in technology is a big advantage today to many businesses and companies. The stock trading software gives stock businesses a huge boost because it is easy to realize huge profits. Today there are several technology based businesses across the world that involve the use of electronic devices. The good thing about the automated stock trading software is that it enables you to maximize your returns and at the same time it simplifies your investments. To be successful in using stock trading you must first of all be able to know how to use the stock trading software and also know its benefits.

  • Learn all the features of the stock trading software

Learning these features is very important because it enables you to know if the software is working well or not. Technical indicators are the first thing that you should look at because it will enable you to know if stock trading is done in the right way. There are multiple technical indicators today and this means that you must be very careful when looking for the best stock trading program. Before you look for software to use it is also important for you to look at the ease of use of that software. Avoid that software that is complicated to use or that require programming expertise which you cannot afford. Another feature that you need to look at when looking for the best stock picking services is the number of strategies per account as this will help you to know the number of accounts needed.

  • The cost and software support

Before you consider the cost of the software and software support, there are other factors that you need to look at as they will assist you to know the right software to purchase. First of all you need to check at the initial software and also the monthly fees of that software. You need to know the miscellaneous fees if there are any including stock charts fees, data feed fee and ongoing support fee. Once you have checked … Read the rest...

risk and danger

Risk and Volatility in the Stock Market

Stock market trading can be a difficult and risky process. Investing here is not for the faint of heart, especially for those with less disposable income. Some stocks are clearly a higher risk than others.

Consequently, it is important to ask yourself whether you are willing to venture into some risks with your money to determine if the stock market is right for you

If you are a risk adverse person whose stomach churns when taking chances with money, then you should probably avoid the stock market altogether. However if you don’t mind at least some risk, investing at least a small portion of your money might not be a bad idea.

risk and danger

Of course there are innumerable investment options outside the stock market that are lower risk, such as CD’s and mutual funds. So it is not like publicly traded stocks are your only investment choice. Don’t allow yourself to be pressured into ANY investment you’re not comfortable with.

Business risk –Some business operates in industries that are highly volatile or competitive in nature. Think of the personal computer hardware industry. The profit margin can be very low and unless you have strong distribution channel or retail network, it is very difficult to stay viable in this market. Airline industry is also another highly competitive industry. It needs very high capital expenditure to stay in the business and the operating cost is also very high due to the high volatility of jet fuel cost. Airline needs to run a highly efficient operation and strong marketing strategies in order to generate decent profit. On the other hand, public transport operator such as mass transit operators typically have very stable business environment even during an economic downturn. If we understand the business the company operates in, it can help to significantly reduce their level of risk exposure.

Corporate governance —It is common knowledge that behind every good company lies a strong and capable team of people managing the company. Is the business run by capable and honest leaders with a high level … Read the rest...

stocks going up

What Are Stocks?

A stock is mainly referred to as capital that amounts from the allocation of shares by a company, business or corporation. In addition, we have a stock market. Since the stocks are in form of shares, we must have a stock market that plays the major role in enhancing issuing and trading in form of exchanges.

The stock market investment may seem as more of a terrifying experience, but in reality, investing wisely may result in huge profits, i.e. by investing in shares allocated by banks, societies, and other corporations. This is attributed to the fact that, this is a type of investment that is risk-free. The only problem is that ups and downs are experienced at times. As usual, for every beginner, there is always what we call the basics, which act as a guideline. Hence, we will now discuss the basics of the stock market.

stocks going up

Furthermore, we can elaborate more and say that the stock market can also be referred to as a trading market. This trade market is a source of information for passing messages from one trader to another. A set of rules are set aside, and the messages passed from one trader to another are transformed into prices among participants of the stock market.

The stock market is made up of direct investments and indirect investments. Direct investments involve buying shares in a single company thus resulting in becoming a shareholder. On the other hand, an indirect investment in the stock market involves investing in a group of companies as a way of spreading risk. Indirect investment is normally aided by the use of open-ended funds such as unit trust, which is made of shares from as many as 100 companies.

When a person decides to venture into the stock market, the term investor now comes in. An investor is an individual who seeks to spend money with the sole aim of making more money. It is evident to note that after investing, the returns are either negative or positive. As a result, it is … Read the rest...

buying stocks

Buying Your First Stocks

An investor can find and research the best stock on the market, one with huge potential but if the general market indices are negative, it will most likely be the wrong time to buy. A stock with tremendous accelerating earnings, rising sales, an up-trending chart pattern and a strong industry group may sound excellent to buy but will mean absolutely nothing if the market is positioned to move in the opposite direction of your expectations. As soon as a stock is purchased, the time comes for an investor to make a decision to hold or to sell. If the position shows a profit, hold as your judgment is correct. If the position shows a loss, cut it quickly and don’t rationalize the situation before it doubles in size. Timing will play an important role in determining if you are right or wrong.

Losers must be cut quickly, long before they materialize into enormous financial disasters. They company and stock may not be a loser but rather your timing may be premature to a strong movement, forcing you to sell on a pullback. After a stock is cut from your portfolio, the transaction must be forgotten about and eliminated from your subconscious mind and/or emotional bank. The trade must be studied to capture the true essence of your mistake but the specific security involved must be blocked from any sentimental attachments, allowing you to consider reinstating the position at a higher level. This repurchase may take place immediately or well into the future but the important fact is that you were wrong with the timing on the initial position. The timing, also known as the ‘M’ in CANSLIM by William O’Neil, may have been wrong even though all fundamental and technical criteria related to the individual stock seemed to be perfect.

buying stocks

A quote from the great Gerald Loeb: 
“Cutting losses is the one and only rule of the markets that can be taught with the assurance that it is always the correct thing to do.”

The wisdom shared by Loeb is … Read the rest...

money centers

Money Center Banks And International Banking

The increase in global business and travel means more and more people are moving around for business, and indeed pleasure purposes. Regardless of why you are traveling, money is an essential item for your trip so you should investigate international banking options before jetting off.

Money center banks are similar to other banks regarding the services offered. Payment accounts, debit cards, and lending opportunities are all part of international banking. Personal and corporate accounts are available when banking internationally so both individuals and companies can benefit.

There is an abundance of reasons why individuals and companies opt money center banks for with tax rules ranking high on the list. The tax rules that govern offshore accounts differ from those of bank accounts.

money centers
Interest accrued on an offshore savings account is paid gross without income tax being deducted. Interest paid on the gross amount amounts to more, thereby producing a more sizeable final payout.

A lot of people use money center banks to protect their money from resident country’s income taxes, but you must remember to sort out the finer details to ensure you are avoiding, not evading, tax.

Remember that if you are liable to pay tax in another country, then it is your responsibility to declare the interest to the relevant authorities. If you are a resident citizen and bank offshore, the interest earned from money held in your offshore account is classed as taxable income and must be declared on the self-assessment tax returns which are completed at the end of each tax year.

From a business point of view, money center banks make it easier to operate globally as one bank can be used for all accounts, as opposed to using a different bank in each country business is conducted within.

Why You Need International Banking

One thing many are thinking of is retiring to other countries with a lower cost of living and that are somewhat foreign and exotic to their present lifestyle. This is causing many to look into international banking services to see if … Read the rest...


Ways of Becoming Successful In the Stock Market

Are you a trader? What trading methods do you employ? If you employ the best methods ad use the best approach then you are likely to be successful in the stock market and this can bring a very difference in your business. Stock trading has been there for years and in fact it is on the increase due to the advancement in technology. The stock trading software has made trade to be easy and faster. Nowadays stock trading is one of the most competitive fields because most people have ventured into it and therefore you need to set some simple strategies that will enable you to be successful.

The main secret that lies behind the stock market is the trading set ups that you use because they are the ones that guide you on the way you should buy or sell your stock. Therefore it is advisable for you to ensure that your set ups are clear from time to time because this will enable you to easily establish a potential profit making scenario. The stock market systems that we have today are complicated and therefore you need to know how to handle them and avoid information overload and any kind of confusion.

Trading software tools

Trading software tools and other trading platforms enable the high-level trading capacity personnel to do their trading with easy and effectively. Even the beginners are able to use them well hence making it easy for them to meet their investment and trading goals. There are some top trading tools that you need to consider and especially for stocks, futures and forex and they include the streaming quotes, stock screeners, trading strategy builders and watch lists. These trading software tools make the stock picking services faster and effective.

Has stock trading brought and difference?

The way stock trading was being done in the past and the way it is being done today are not the same. Why do you think it is not the same? The new inventions, new stock trading programs and new developments … Read the rest...

Stock Trading

Understanding Losses and Profits in Stock Trading

P and L (profit and loss) also known as the income statement used to plot the details of all company’s expenses and revenues. It tell how much is the company gets the sale and how much is the company is spending to arrive at a particular figure. Once everything has been carefully calculated, the last count lets you know whether the organization earned a profit or endured a loss and even how much. This figure contains the crucial operating for each business: but this could be done easily by using stock trading software.

Sales – your expenses = company’s net income

A positive net wage demonstrates the organization is in profit. Zero means it equaled the initial investment. A negative number demonstrates the organization has made as loss, which could be bad news. Though this all really clear, losses or profits are usually based on much more detail, covering the accompanying things:

1. Revenues: Total sum acquired from deals. This is called the top line since it’s the top line of the wage explanation, incomes record the organization’s aggregate (gross) offers of items and administrations.

2. Costs of items sold: Also called expense of income and expense of merchandise sold, this figure speaks to the expenses of purchasing crude materials and creating the completed items.

3. Gross benefit: Deduct the expense of items sold from the aggregate incomes to land at gross benefit.

4. The first benchmark comes right here, the gross edge or net revenue, otherwise called the arrival on deals. Separate gross benefit by incomes to get overall revenue.

5. Selling, general, and regulatory cost: This class incorporates all expenses to keep up the business.

6. Selling costs incorporate all uses to offer the item, for example, showcasing and travel.

7. Administrative incorporates compensations and different administrations, for example, bookkeepers and legal counselors.

8. General costs envelop the expenses to keep up plants and gear.

9. Operating pay: The distinction between gross benefit and offering, general, and managerial costs. Working salary speaks to the aggregate sum of … Read the rest...

stock markets

Stock Trading Picks – Finding Your Own Vs Using a Service

For somebody who has no experience in the stock market, but is eager to make great investments on stock markets, they would definitely find it hard knowing where to make the first move. However, the most necessary thing you have to consider is that you should not let it stop you from moving forward and gaining more experience. There are lots of options and ways which you can invest on your money on the stock market, and you can pick your stock using stock trading software.

But before you go on with your decision, it is important to consider these few questions:

1. How much the needed time for you to commit?
2. How much of your money you have to invest into?
3. Are you open to learn on how you will invest in our stock markets?
4. What kind of leverage you are expecting to trade in?
5. What could be the kind of instruments do you really need to trade for? Could it be Options, stocks, or Forex?

Managing a Fund Portfolio.

Utilizing a managed asset can be an answer for financial specialists who have almost no opportunity to commit to securities exchange contributing. Basically, with a Managed Fund you open a record and store your speculation capital into a bigger asset account, which is overseen by an expert Fund Manager.

The asset supervisor is in charge of purchasing and offering an expanded scope of stock and different interests in various classes, and has admittance to an extensive choice of statistical surveying. There is a huge extent to oversee stores that are centered on various targets and techniques, so it’s vital to pick one that fits your motivation.

Here are few key guides for a managed funds which to which you can also see and read about on penny stock newsletter:

1. Enormous diversified portfolio.
2. Basically have a minimum investment amounting to $1000.
3. Managed funds like all other investments will not guarantee for a returns.
4. There will be an associated costs on the … Read the rest...