Where To Invest

If you are a smart investor, you rely on a lot more than just a tip from your uncle before you invest in a stock. Since penny stocks have the reputation of being slightly more risky than regular stocks, most people need quite a bit of evidence that a penny stock is going to be a sound investment before they are willing to part with their hard earned money. Here are a few of the major signs you want to look for before you fork over your cash and invest in a hot new penny stock.

Buzz

Since the technology that governs our 24/7 world is always updating, always refreshing and always searching for the next big story, it is almost impossible for any stock, penny or otherwise, to hit it big without a groundswell of buzz preceding it. Before the news organizations can begin talking about Penny Stock A, you hear people on websites chattering about it, your broker may call you and alert you about a possible investment opportunity or you may hear something from a friend at work. The problem with buzz is that there is nothing concrete behind it, only speculation. If you are making your stock investment decisions based solely on buzz, than you need to take a second look at what you are doing before you end up in the poor house.

News

The next signal a penny stock to watch is going to increase in value is a flood of good news. When you look at the continuum of stock evolution, concrete news is always the next step along the line after solid buzz. The rumors that a stock was about to receive government approval come true and, often times, penny stock prices begin to take off that very day, but sometimes, there is a small delay as more and more people realize the potential this penny stock has. This is a good time to get ready to buy.

Spike In Activity

While it is always good to get in at the point where the stock price is the lowest, it is also risky because you never know if you are going to be the only one buying when everyone else is selling. Once you begin to see genuine forward momentum on a stock that didn't have it before, than you know it is a good time to buy. The trick here is to get in just as the stock price begins to rise. In the olden days, stock tickers weren't quite what they are today. Now, monitoring stocks is much simpler than it was before, so getting in while the getting is good is easy.

Universal Praise

If you see that your penny stock is making headlines in the financial press and receiving universal praise from analysts across the board, the stock price has likely already begun going up, but it isn't too late to get in on the fun, especially if forecasters are predicting big things for your penny stock in the future. There are many signals that a penny stock to watch is going to be increasing in value, the key is to know when to buy and when to show restraint.

Author: Brent Crouch
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Penny Stocks are sometimes considered a 'risky' investment. However, if you know how to look for stocks, then you can eliminate the risk. Then what is the key to penny stock picking? I will start off by saying that research is perhaps the best tool to help you find successful penny stock. However, if you are new to investing, you might have some trouble going about this "research".

When investing penny stocks you have to be on top of your game. You need to be ready to buy and sell at the drop of a dime. How will you know when to buy and sell? When you research, you look for trends in a stocks history. By looking at this trend you can figure out what the stock is going to do. Whether the value is going to go up or down. Sounds pretty simple right? If going about this research sounds like a hassle to you, that is because it sometimes is. It can be tedious. That is why I recommend using two different resources to help you with your penny stock picking.

The first is a penny stock newsletter. When you subscribe to one of these, they will send you a number of stock picks, which they have researched and predicted will be successful. For the most part, they are pretty accurate, because the research is done by professionals that have a ton of stock trading knowledge.

The second is a stock picking program. These are computer programs that will assist you in your penny stock picking. They work by rapidly researching the stock market looking for successful trades. This is perhaps the most accurate way to find stocks because the amount of research they perform is so much faster than any person. They will time and time again provide you with successful penny stock picks.

Penny Stock Picking can be a tedious task especially if you aren't a pro. If you want to greatly increase your chances of being successful, and decrease the amount of work I suggest subscribing to a newsletter, buying stock picking software or both.

Author: Josh Lewis
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After hour stock quotes and other information pertaining to the stock market are available to traders and investors, thanks mainly to the Internet which provides updated trading activity data, news, analysis and other information that traders and investors need.

After hour trading gives institutional investors and those with high volume the opportunity to trade beyond the usual 9:30 AM-4:00 PM regular market schedule. These investors can participate in late trading through Electronic Communications Networks or ECNs.

According to market observers, activities during after-hour or late trading are good indications of what market activities would be like in the regular hours. In addition, late trading can also give traders the advantage of being privy to trends and movements in markets outside of the United States since these foreign markets open after the regular hours of trading in the U.S. have ended.

However, there are also downsides to this type of trading; one of which is the alleged inferior stocks being offered during these hours as compared with what's available during regular hours. Less liquidity is also said to characterize trading beyond the 4:00 PM regular closing time and prices are likely to move more quickly than what's usual in the regular hour market. These risks have made most after-hour traders use limit orders to lower their chances of incurring losses.

Ticker tape or stock quotes

Ticker tapes pertain to the rolls of paper that contain information such as ticker symbols that represent the stocks and the price and volume of securities being traded. Ticker symbols are a group of letters that identifies the company involved in the trading. The number of letters varies depending on the exchange where the stock is being traded. These ticker symbols and other pertinent data are then relayed to investors. Basically, after-hour ticker tape or stock quotes are such information provided during late trading hours.

There are a number of Web sites that offer online information about stocks that are trading in the after hours; some of these are Nasdaq, CNNMoney, Midnight Trader and Market Watch. Aside from the necessary information needed by investors and traders, these sites also provide data analysis, news and other trends that can affect the trading market.

After hour stock quotes and data are not always up-to-the-minute. NASDAQ.com, for example, has a 15-minute delay in terms of providing stock market updates. However, this has not discouraged traders from participating in late trading, particularly individual traders, mutual fund traders and those with huge volumes of shares to trade.

Author: Dean Forster
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Everybody seems to be amazed about the stock market. People often hear success stories of individuals trading in stocks. People can become millionaires overnight just trading in equity. That is such a dream to all us of - to be wealthy. Some of you might be very curious how it works. You may also want to be a trader yourself. Don't be in such a hurry. You must first understand the stock market. Just like any other business venture, you must study the environment of the industry before venturing. Learning the nature of the stocks and the market itself is to your advantage.

The stock market is considered an equity market where in company stocks and derivatives of company stocks are traded privately or publicly. New York Stock Exchange is the largest stock market in the world. Participants are usually big corporations and even individual traders like wealthy businessmen. The traders can be found in any parts of the world. Professionals usually handle their dealings. It is such a huge marketplace which can accommodate everybody interested. Why it is that stock market is such a hit? The market is very important for some companies who want to raise additional money. Businesses can be publicly traded thus the additional capital they want can be raised by selling their stocks in the public market.

In addition, buyers can easily sell because the exchange provides liquidity. The liquidity aspect of the exchange is what makes it attractive to investors. If you want to invest, obtain basic knowledge in investments. What you will be doing is investing- money is involved in the transaction. The money can either be in small or big quantity. Investing in stocks is one way of achieving your goals of being financially independent. If you know how to deal with stocks, you'll surely hit the jackpot. Bear in mind that the risks involved in here is quite high. The market is a volatile meaning; there is no assurance of you getting profits all the time.

Stock prices can either go up or go down. You should be very keen about the stocks you'll be investing. It would be better if you will run down all the companies included in the list. You must choose companies with excellent financial performance. The stock market jargon should be also familiar to you. Some terms used can be very confusing if you don't have any idea. The proper trading procedures should be noted too. Reading financial books can be a great help in analyzing financial statements of companies. Financial statements will give an idea to the investor about the financial position, performance, cash flow and changes in equity of companies.

Being knowledgeable about statements will help you choose which companies to invest for you to earn money. Trading in stocks is not always a "bed of roses". There will be times when you'll be trading at a loss. Succeeding in the world of stocks is a matter of discipline and having the right techniques in trading. Once you'll know the secrets of the trade, earning becomes easy. Why don't you try it, maybe you'll earn your first million just by trading stocks.

Author: Rick Goldfeller
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So you've decided to sort your finances out some way or another, this might be risking your hard earned cash by investing in potentially profitable ventures, or a simple savings plan, which ever it is, make sure you make use of the tool that investors call compounding.

Compounding is the affect of leaving enough of the initial investment where it is, so that it will keep growing year on year, take out to little, and there is no point investing in the first place, you'll get bored and blow the whole lot. On the other hand, take out to much and what was compounding and starting to give you a small return year on year will be gone for ever.

There are two main traps that are associated with storing money:

1. Not letting the benefits of compounding take place
2. Not reaping the benefits of compounding

I will go as far as assuming that the number 1 relates to the average savings account. You decide you want to sort your finances out, whether that is a sideline, to pay off a loan, or to even pay off your mortgage. You start out with enthusiasm, and keep saving you aim of £50 per week.

What happens then is most savings accounts start to see a nice balance accruing, which is gaining minimal amounts of interest every year, the owner of the funds realizes that the £3,500 in the bank, that they have saved, on top of the sale of their current car, would get them that convertible they have been dieing for!

They proceed to blow their savings and never have the will power to read an article like this again!
Number 2 is slightly different. Most investors are so hung up on making money; they never structure a plan that will allow them to release equity from their portfolio for themselves. Sure they increase the value on a property, sure they make wise investments in businesses, but all they do is re invest and re invest until there is nothing left to invest in, or there is no time for them to reap the benefits of the empire they have created.

Use an effective money management strategy that suits you. Set goals for what you want to achieve.

If we use this as a following scenario:

If you made a series of investments over five years, which were on the same date, once every year, and created a 10% return every year on average, £5,000 investment every year, you'd have £30,525 in the final year of your investments, after investing £25,000.

This in its self isn't particularly impressive, but at this level, you can start to reap your rewards slowly, or carry on investing. Your profit for year 6 would obviously be £2,500 meaning you could take £104 per month as an income, and still be compounding and increasing your income every month for life, as your compounded bank balance increases, you increase your 'payment' or 'profit' to yourself.

Information about short sales is hard to come by even though in many parts of the country, the real estate market is littered with them. A short sale is when a person owes more on their home than the home is worth, and the bank is willing to sell the home for less than what the owner owes.

Until a few months ago, short sales were a dead end for buyers. In April 2008, approximately ten percent of short sales that received offers ended up selling. Back then, banks were not willing to own up to the staggering losses that they were about to take. Most companies were still in public denial about the looming real estate recession.

Times have changed. Banks are not only admitting they are losing money but they are running to the government for bail outs as well. Even though banks are now willing to negotiate, it pays to remember that banks are not the same as private sellers and they do not play by the same rules.

Here is a short list of things to remember when trying to buy a short sale.

- You must have patience Banks can take months to make decisions. This is especially important to remember when it comes to getting you mortgage. If you are buying a short sale, it may pay to lock the rate for a longer period of time.

- Expect to negotiate Know what price you are willing to pay up front and stick with it. Not all short sales are good deals. When the bank sends you a counter offer, consider the details very carefully and reevaluate based on current market conditions.

- The banks are companies and are not as emotional as private sellers This can work for you or against you in your transaction. Since banks are out to make a profit, they think in terms of the bottom line. They don't care as much about an individual sale as a private owner would. On the other hand, they are expecting to take a loss on the sale of the property. In fact, this loss is now part of the bank's business plan.

- Find out if the short sale has already been approved by the bank If it is approved, your chances of success are much higher. This is particularly important because most banks will not allow a short sale unless the seller is behind on their payments. Short sellers who can make their payments but are just trying to avoid losses will be disappointed when the short sale gets rejected. If the short sale is approved, that means the bank has gone over the seller's financial situation and believes it is in the banks best interest to sell the home for less than the seller owes.

Author: Andrew Sturtevant
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"Don't put all of your eggs in one basket!" You've probably heard that over and over again throughout your life...and when it comes to investing, it is very true. Diversification is the key to successful investing. All successful investors build portfolios that are widely diversified, and you should too!

Diversifying your investments might include purchasing various stocks in many different industries. It may include purchasing bonds, investing in money market accounts, or even in some real property. The key is to invest in several different areas - not just one.

Over time, research has shown that investors who have diversified portfolios usually see more consistent and stable returns on their investments than those who just invest in one thing. By investing in several different markets, you will actually be at less risk also.

For instance, if you have invested all of your money in one stock, and that stock takes a significant plunge, you will most likely find that you have lost all of your money. On the other hand, if you have invested in ten different stocks, and nine are doing well while one plunges, you are still in reasonably good shape.

A good diversification will usually include stocks, bonds, real property, and cash. It may take time to diversify your portfolio. Depending on how much you have to initially invest, you may have to start with one type of investment, and invest in other areas as time goes by.

This is okay, but if you can divide your initial investment funds among various types of investments, you will find that you have a lower risk of losing your money, and over time, you will see better returns.

Experts also suggest that you spread your investment money evenly among your investments. In other words, if you start with $100,000 to invest, invest $25,000 in stocks, $25,000 in real property, $25,000 in bonds, and put $25,000 in an interest bearing savings account.

Author: Jamulco Setiawan
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Cash flow notes for sale encompass a variety of opportunities for both buyers and sellers. Currently, more than 60 types of cash flow notes exist. The most common include real estate notes, land contracts, business notes, structured settlements, and seller carry back notes.

Cash flow notes used to document real estate transactions are secured by tangible property. Nearly any type of property can be used as collateral including single and multi-dwelling properties, pre-fabricated or mobile homes, and condominiums. Investing in real estate notes can be somewhat risky. Experts recommend consulting with a real estate attorney to ensure proper legal documents are executed. Considering today's recessed economy and housing crisis, careful consideration should be given when investing in real estate notes.

On the flip side, keep in mind that real estate has always rebounded from previous economic disturbances. Investors willing to wait it out could potentially yield a hefty return on their investment. Business notes are another popular choice amongst investors. The three primary cash flow notes in the business sector include Factoring, Purchase Order Funding and Seller Carry Back Financing. Each uses business assets as collateral for funding.

With Factoring, account receivables owed to the business are used to secure the note. Receivables are sold to a funding source, known as the 'Factor'. The Factor can be a private investor, group of investors, bank or other lending institution. Purchase order funding uses the same principals as Factoring. The only difference is upcoming purchase orders are used as collateral. Seller carry back financing is quickly moving to the forefront of cash flow notes for sale. Seller carry back can be used to fund real estate or business transactions. With the current credit crunch, more investors, business owners and property owners are turning to owner financing. Seller carry back goes by many names including "owner will carry" and "owner financing".

In essence the owner carries all or part of the financing to close the deal. Some owners finance 20-percent of the purchase price, while others will finance 100-percent of the deal. Seller carry back notes can be sold to investors. For instance, Sam Smith owns a business valued at $1 million. He sells the business to Joe Jones and carries back 50-percent of the note, or $500,000. Sam Smith can then sell the note to a private investor and assign payment rights over for the entire note, or part of it. Chances are Sam won't receive 100-percent of the note value. However, he will have access to a lump sum of cash instead of waiting years for repayment. Real estate investors might offer Sam $750,000 toward his $1 million cash flow note. The investors now carry the risk and must collect the payments. They also must wait for repayment of the note unless they sell it to another investor; which is unlikely. In the end, the investors will earn a profit of $250,000, plus any new property value.

Many investors appreciate the value of structured settlement cash flow notes. Structured settlements are used to compensate individuals who have been injured due to negligence, as well as lottery jackpot winners. Structured settlements are paid out through annuity payments backed by life insurance companies. Annuitants (individuals who receive payments) can sell all or part of their structured settlement to an investor. In order to sell annuity payments, Annuitants must receive authorization from the court.

A true need to sell the structured settlement must be proven to the judge. Structured settlements are generally arranged to provide individuals with consistent cash flow to pay for medical expenses and healthcare. Judges usually will not approve the sale of structured settlements if they feel it will cause financial harm to the Annuitant. Buying and selling cash flow notes can be beneficial for both parties. However, it is imperative to work with credible professionals and obtain proper legal documentation. Doing so will help to ensure profitable investment opportunities.

Author: Simon Volkov
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