Category: How To Invest In Stock – The Fundamentals

Duration Of The Bear Markets And Percentage Drops of S&P500 During The Last Century

  S&P 500 percentage drops and duration of declines for the last 15 bear markets Bear markets are something inevitable and they are even good for the stock markets because they regulate and align it aligned with reality to ensure the most optimal allocation of capital in the changing economic environments. Bear markets come and go, and they will proceed to do so for the times markets exist. This is why it’s extremely important for any investor, trader, and market participant to know bear markets well so they can take advantage of them whenever they occur. Here is a nice...

Mutual Funds - The Basics

What Is a Mutual Fund And How To Invest In It? Finding The Best Mutual Funds For Your Money

What Is A Mutual Fund And How Does It Work? A mutual fund is an investment company that allows a company to pool money from its investors and put it in various securities and financial instruments such as bonds, stocks, short-term debt, commodities, and stuff like these. All the holdings of any mutual fund are commonly referred to as a portfolio. Investors are allowed to buy shares in mutual funds and then each share the investor buys represents her portion of ownership in the fund and the revenue it generates. Mutual funds offer to ordinary people the opportunity for potential...

The basics of dividend investing.

How To Invest In The Dividend Aristocrats – Directly Or Through ETFs

This one is another interesting and lucrative investment strategy. The so-called dividend aristocrats are a group of stocks from the S&P 500 index, that have increased the dividends they pay to shareholders for at least 25 consecutive years. Sounds good, isn’t it? Not only these companies have paid dividends for a quarter of a century, but also they increased them every single year. For the last 25 years, a portfolio containing all Dividend Aristocrats would have beaten the SP500 index big time. If you invested $1 000 in the index 25 years ago, you would have made around $7 990...

What futures are, a simple explanation.

What Are Dow Jones Futures? How To Invest In Futures

What Are Dow Jones Futures? Futures are derivative instruments, which means that their value derives from the value of another financial instrument. In this case, the value of a Dow Jones Future contract derives from the value of The Dow Jones Industrial Average Index. In very simple words, a future contract is a negotiated deal between a buyer and a seller, on an exact day in the future. The buyer agrees to buy the contracted amount at a predetermined price and the seller agrees to sell under these conditions. So a Dow Jones Future is a standardized contract in which...

How To Invest In Dow Jones

How To Invest In The Dow Jones Industrial Average Index

If you can’t beat the market – follow it! This is a popular maxim, briefly describing that it’s not so easy to beat the market, but it’s really easy to follow it. As you may know, “The Market” here means the overall performance of all traded shares which is measured by stock indexes, like the Dow Jones Industrial Average Index and S&P500 index for example. So, to follow the market you simply need to invest your money in a market index. But how could you do that? How can we put some money in the Dow 30 and take advantage...