Investing your money is the best way to get wealthy over time. With compounding interest on your investment returns, you can start to make your money work for you and possibly even retire early. However, there are many different ways to invest, and some are more effective (and safer) than others. Here are all of our articles about investing.
Investing can be risky. Risky investments sometimes lead to big profits, but many people end up losing a lot of money. However, there are also many low-risk investment options that can help you grow your savings slowly but safely. At the very least, they are much better than leaving your … [Read more…]
Investors are often told to buy both stocks and bonds in order to diversify. But what is the actual difference between the two? Put simply, stocks are shares of companies that represent part ownership. When you buy a stock, you become a part-owner of the business. However, bonds represent debt, … [Read more…]
If you own stock in a company that goes bankrupt, then you will probably lose your entire investment. When a company files for bankruptcy, common stock owners are last in the order of who gets paid. This is the order of priority of the claims on the company’s assets: Secured … [Read more…]
Warren Buffett is the world’s most famous investor. According to the Forbes billionaire list, he is the third richest person in the world with an estimated net worth of $70.5 billion at the time of this writing. Most of his wealth and investments are concentrated in his massive conglomerate, a … [Read more…]
Shorting, also called short selling, is a way to bet against a stock. It involves borrowing and selling shares, then buying them back later at a lower price and returning them while pocketing the difference. If the stock goes down, the trader makes a profit, but there are several major … [Read more…]
Stock analysts use many different words to describe their ratings. They commonly use the terms buy, sell, or hold, which are easy to understand. But other analysts use more confusing terms like strong buy, outperform, overweight, underperform, underweight, and several others. This article explains what all the different ratings mean … [Read more…]
Dividends are one of the best things about investing. You get paid regularly simply for owning stocks, which you can use to buy even more stocks so that your wealth grows over time. Some investors also like to use their dividends for passive income, especially after they retire. How often … [Read more…]
Some months have better average stock market returns than others. The stretch from November to May tends to be positive, while June to September is often flat or negative. This is why the phrase “sell in May and go away” was coined. From 1980-2018, April has been the best month … [Read more…]
It is incredibly easy to buy stocks on the internet these days. No matter which country you live in, you can easily buy stocks in all of the world’s biggest stock markets — including the US. Here are the 3 simple steps to buy stocks online. 1. Open an account … [Read more…]
Stock buybacks are the preferred method of many companies to return money to shareholders. This involves the companies buying back their own shares on the open market, then effectively destroying the shares. When done right, this is good for investors as it reduces the number of outstanding shares and raises … [Read more…]