4 Smart Ways to Invest your Money

Most times, we always think that it is very easy to invest. We just believe that the most difficult part of getting money to invest. However, once you have the money, that is when you will realize that any wrong step could lose you the money or if you are lucky, get you only part of the money after some years after losing some. It is at this point that you start to appreciate how difficult it can be to invest. If you have some money that you want to invest, it could be daunting finding the right way to invest your money. This article will discuss 4 smart ways to invest your money if you have some money to invest.

Fixed Deposits
Fixed deposits is a very safe way of investing your money. The risk of losing your money to fixed savings is extremely low. All you have to do is look for a local reputable bank in your area and put your money in fixed savings account for a period. This could range from 3 months to years. After the period, you can go back to collect your money and profit. It is as easy as that. Your money is also treated as a deposit in the bank. Thus, you would be refunded if the bank, should for any reason, decide to close down.

Gold
Another smart way to invest your money is by investing in Gold. Gold is a commodity whose value continues to increase over time. The implication is that you would be with the gold, you could even be using it if it is a jewelry, and still, yet the price will continue to go up. Whenever you need your money, you could put it up for sale. Once it is not a desperate situation, you would get more for the gold than you paid for it. You just need to look for a reputable and honest store that buys gold. You can read about how to invest in gold to know more. Once your gold does not get stolen or missing, the price of the gold will continue to go up.

Stocks
Investing in stocks is another way to invest your money. Stocks allow you to be a shareholder of a company and a part-owner of the organization. You can look for companies with potential and buy their stocks. As they continue to get closer to their full potential, the value of their stocks will continue to increase and so will your money start to increase as well.

Real Estate
If you have enough money, you can also go into real estate. Just like gold, the price of real estate scarcely ever goes down. There are places where you could get a land or property and within 5 years, the price of the property would have tripled. At the very least, the value of your property should continue to increase by a minimum of 15 percent of its value every year. Thus, investing in real estate is also a low-risk investment that is very profitable. You just need to make sure that you don’t get the property in a place that is natural disaster-prone or notorious for criminal activities. Once this is not the case, the price of your property would continue to go up.

Benefits of having a credit card while traveling

Benefits of having a credit card while traveling
There are many things that we would need when we are traveling. The things we will need range from our passports and visas to our personal effects that we want to take with us on the trip. We would also need to have enough money with us for the duration of the trip. As opposed to moving around with cash, we could get a credit card. Here are some of the benefits of having a credit card while traveling.

Eliminates the need to move around with cash
Moving around with cash can be very risky. Apart from the fact that the cash can be stolen, your life could be at risk when you move around with cash. With credit cards, on the other hand, all your money will be on the little card. Thus, you won’t have to bother much about theft as even if your credit card is stolen, they would be able to use it unless they get the pin. Furthermore, it is possible to instantly block the credit card to make it unusable with your bank app if the card is stolen or misplaced.

Can be directly used for payment
Most stores have a POS terminal where all they need to do is swipe your credit card to get paid for any products or services you have ordered. With this, you don’t have to always make withdrawals, saving you time and ATM charges. These POS transactions are mostly completely free. Thus, you can easily make payments at hotels, supermarkets, grocery stores, and bars among many others.

Can be used to access cash
If you are short of cash, you can easily visit the nearest ATM to withdraw money. If you are in a foreign country, you might lose some money to forex and ATM charges. This is why you might want to get a free online bank account as most of these banks serve people from different countries. Based on this, you don’t have to bother about the forex and ATM charges since they allow withdrawal to multiple currencies as they also locally serve the people in most countries you will be visiting.

Can help you save money
Most credit cards have partners in virtually everything that range from hotels and supermarkets to fuel stations and mechanic workshop. Using your card in their partner stores will afford your discounts. You might want to check out the list of the partners of your credit cards and how many percent discounts you get for patronizing which partner and after spending how much. With this, you would be enjoying the same privileges with others and paying less.

Credit limit
Credit cards mostly come with a credit limit. With the credit limit, it means you can continue to spend after you have emptied your account until you reach your credit limit. Thus, it would be more difficult to get stranded as you can continue to spend after you run out of money. In most cases, once you pay back the credit within a short while, you might not have to pay any interest on it or it would be minimal.

How to Day Trade Forex Using the News

Every day, billions of pounds, euros and dollars are traded on the Forex markets. The foreign exchange markets provide an opportunity to make money by buying a currency when it has a low value, and exchanging it again when its market value has recovered.

The values of currencies can change greatly in response to a number of factors, including world events and the release of government and business reports. Forex traders can make quick profits from this by anticipating the changes in the markets and buying a currency before its value increases.

Here is a quick guide on ways to use the news and current events to create profitable opportunities on the foreign exchange markets, so you too can take advantage of this fast growing and popular investment strategy.

Know Your Trades – The Directional Bias

One of the most common and profitable ways to trade on forex markets is with a ‘directional bias’.

Having a directional bias refers to when you expect a market to move in a particular direction when an upcoming report is released, or a scheduled event takes place that has the power to influence the foreign exchange markets.

An election is a good example of this, as the results of a government election can change the value of a country’s currency. A forex trader who is confident on the result of an election can buy currency based on the movement in the market they expect when the winner is announced, often reaping huge profits when they do so.

The Non-Directional Bias – When You Know a Change is Coming

A non-directional bias trade is when you know that some big news is going to create a big change in the market, but you don’t know which direction currency prices will move.

With these trades, timing is the most important factor. You have no bias towards which way the market will move, but you need to be there when it does in order to make the right timely trades to make a profit. With this type of trading, you need several strategies planned, so when the market turns in whichever direction, you have a plan in place and know what to do.

How Do I Get Involved with Forex Trading?

Anyone can start forex trading, but you are going to need to find a foreign exchange broker to help you make the trades and advise you.

If you are having difficulty choosing a forex broker from all the options out there, a good idea is to check online reviews and reports from other people just like you who have decided to start forex trading as a part of their investment strategy. You should also research the history of any broker you are interested in and see what level of success they have had in the past, and what the type of services they offer to their clients.

With the right strategy, information and help, anyone can begin to trade on the foreign exchange markets and begin to build themselves a profitable portfolio of trades.

Why You Should Consider Investing In an Electric Car?

As latest statistics point out, motorists are starting to switch to ‘Alternately fuelled” cars from the ones that run on ‘conventional’ fuels such as diesel and petrol. Although electric cars are still rare enough on the roads, the change has started to happen. The clear air plans established by the Government obviously has a big part to play in this change. However, it is still some time and hurdles before electric cars begin to be prominent. Find out why you should consider investing in an electric car.

Grants

Electric cars are still quite expensive, although some newer models today are cheaper to buy. The one with the lowest price tag is available at about 14,000 pounds. However, the Government is extending a grant to motorists which could knock off as much as 4,000 pounds from your total purchase amount. This can make the switch worthwhile, or at least worth considering.

Great bang for your bucks

These cars can offer you great bang for your bucks. For every mile, you will have to pay about quarter of the costs that you spend on petrol or diesel. This can ensure high savings on your operational expenses. If you will only be driving in the capital, you will not have to deal with any congestion charges or road taxes. Thus, you can recoup your investment on such cars quickly. This can amount to saving a lot over time.

Longer battery life

Many manufacturers have managed to overcome the problem of short battery life that has been plaguing electric cars for a long time. In the last couple of years, the technology has progressed significantly. Thus, you can run these cars for more time on just one full charge. Even a small battery can offer a range of about 90 miles while bigger ones can let you drive for as long as 335 miles.

More charging points

With more and more charging points being set up, the problem of shorter battery life is minimized further. A survey conducted by the OVO showed that many people are disinclined to switch to electric cars due to insufficient charging points on the road. However, in a few years the total number of charging points has grown to more than 13,000 from just 2,812 when the survey was conducted. Every month, a few hundred are being added to this figure. By 2020, the number is expected to surpass that of petrol stations.

House Buying Hidden Fees – What You Need to Know

It can be costlier to purchase a new home than what you can expect. You can come across many hidden expenses that can add over 10% to your final costs, and you should know about the same and take it into your budget considerations. In case this is your first home purchase after having been in rental units for a long time, the additional expenses of maintenance can be very shocking. Find out about the hidden fees involved before buying a new house.

Mortgage

You should pay for a mortgage deposit and the monthly expenses following it. A mortgage valuation should be conducted to ensure that the property offers enough security for the home loan. Generally, you are expected to pay for the same although a few mortgage agencies offer to cover these expenses today in order to attract new clients. The mortgage arrangement fees frequently charged by brokers or mortgage agencies can be up to 1% of your mortgage, and can be a hefty amount.

Surveys and Conveyancing

Valuations or surveys can be quite costly, and can be more than 1,000 pounds in some cases based on your survey type and property value. The costs of Conveyancing, a legal procedure involved in property purchase that includes Land registry and different types of search fees, can be in the range of 800 – 1,500 pounds and even higher for leasehold properties.

Stamp Duty

It could make you several thousand pounds poorer, as up to 7% of the cost of home purchase. SDLT (Stamp Duty Land Tax) is the tax that you pay while buying a new home. Remember that it is you and not the seller has to bear the stamp duty costs. The cost is calculated exactly similar to how income taxes tend to work.

Insurances

You will need to show a copy of Buildings Insurance to your lender for your new house. Other than this, you have to obtain Contents Insurance for keeping other items in your new home protected. The cost can be as much as 1,000 pounds every year, based on what you are actually insuring, your profession, types of door locks, rebuilding expenses, building material for your home etc.

Service charges

In case you are going to reside in a serviced apartment, you will have to pay a regular service charge. In many cities and towns, you need to pay a yearly fee for keeping your vehicle parked on the street and for purchasing extra permits for guests or visitors to your home.

6 Inexpensive ways to live a high standard life

It isn’t important that you have low budget so you have to spend a bad life. It needs tricks to spend high standard life in low budget. You can enjoy your life to an extreme level without spending alot of money. Here are few tips that will help you manage a good and happy life in low budged.

Prefer quality over quantity:

It is very important to choose quantity instead of quality. Quality is the basic thing that shows that you are living a high standard life.

The best example for this is ‘’ it is better to save money for a good restaurant instead of spending it daily on fast food twice in a week’’.

Other thing is ‘’nicer items and experiences last longer’’

Eat well in low income:

Eat well in low income may seem impossible to you but it isn’t. This is possible if you act cleverly. You can get vegetable, fruits and dairy products at low price at the end of the day. The reason for this is most of the retailers are about to close their shops so they want more buyers and they are willing to sell things in low price.

Spend money on lunch instead of dinner:

It’s the third and most important tip if you want to live a good life. Choose lunch instead of dinner at a restaurant. You will get low cost on lunch with high quality. On the other hand you will get the dinner at high cost. Prices are low at the middle of the day.

Prefer nature for exercising instead of gym:

You can work out free of cost by benefiting from the nature. You can choose walking, swimming or hiking to take advantage from. On the other side, you have to spend a lot of money on gym to exercise.

Make coffee at your home:

Instead of spending money on coffee outside you can make it at your own home in a very low cost. Bring ground beans and make yourself coffee. This will save more bucks in your pocket.

Go for alternative accommodation:

When you are on low budget, keep in mind that spending nights at a hotel isn’t the best way when you are on the road. Instead of lodging at a hotel prefer alternatives like Airbnb.com, couchsurfing.com and homeExchange.com to save money. They are always inexpensive and offer a unique experience.

 

 

Are you under 30 years old?- How To Start Your Investment Portfolio

It is never too early to start investing. The illusion is that you need lots of money or need to be good with numbers and this couldn’t be further from the truth. Getting started is easy, its all about taking that first step. There are many different investment strategies depending on where you find yourself in life. Many people under the age of 30 choose to get started with the view to growing their investment enough to get a deposit for a new house. The truth is, whatever your aim, you can be successful in investing in your future, you just need to get going.

Getting the basics right
It is always important to walk before you can run and investing is no different. Learning the basics is vital to your ultimate success. You can find free online courses to learn about investing all over the internet that start from a really basic level to help you succeed.
You need something to aim for
Most people under 30 tend to have high outgoings and relatively low earnings, so it is important to budget correctly in order to put some cash aside for your investment. Firstly, you should start by deciding whether you are saving for a rainy day, or for something bigger like a deposit on a house. Stocks and Share ISAs are a good option for many as you often get higher returns than just a standard Cash ISA. Companies like True Potential Investor will open your account for you for as little as £50 and you can top it up whenever you can and with as little as £1.

Saving for retirement
When you are under 30 saving for a pension is far down many peoples priority list, however the earlier you start the better. Retirement may seem like many years away, but if you invest in your retirement now by putting a small amount away each month then this won’t break the bank and will ensure you have a comfortable returement when that time comes.

Investing even further
Most investors choose to start with a Stocks and Shares ISA or Personal Pension which will run alongside their existing investment portfolio. However this isn’t always the best option and can yield much less than other options out there on the market. If you’re unsure which option is best for you then you should consult a professional investment fund management company who will point you in the right direction.

Whatever you decide you should start investing today for a more confortable future.

Is the Rental Market Strangling Hope for Professionals in their 20s?

When is the best time to get on the property ladder by buying your first home? As reported earlier, there has been an uptick in the mortgage market by 0.7%, however, that upturn is not spread around the generations. Those in their 20s and 30s continue to be at their lowest levels ever in terms of homeownership and their highest ever levels for both renting and living with their parents. However, regardless of the difficult conditions, getting on the property ladder in your 20s is still the best option for living independently.

Why the Property Market is Stacked Against the Young

There are a myriad reasons why the homebuying and mortgage markets are stacked against younger professionals. These related primarily to changes in the market after the financial collapse of 2007 and the subsequent foreclosure crisis, changes in investment strategies by the better off, and population growth outstripping the construction of new properties. Each one has put up prices, increased competition, and made rules more difficult. These primarily affect younger people with less savings and fewer assets.

 

  1. Mortgage Lending: The terms and conditions, lending rates, deposit percentages, and income requirements of prospecting homebuyers changed significantly after the financial and subprime crises a decade ago. However, while the biggest victims were hard working Americans who lost their homes, the next biggest were those who wanted to buy their first property. Suddenly they were faced with larger deposits, higher monthly repayments and other rules which made it more difficult to get in through the door.

  2. Buy to Rent Portfolios: Since the invention of property, be it feudalism or capitalism, living in a place owned by someone else has come with a cost. However, the downturn in home buying has led to a rise in those wanting to rent. This has pushed prices up, which has only been compounded by retirees and investment portfolios buying up properties and converting them into often cramped high cost rental properties. In paying high rents, professionals in their 20s and 30s are wasting $80,000 a decade in rents, which could have put down deposits on two properties at least. In many places and countries this is further compounded by skyhigh letting agent fees just to apply to live somewhere.

  3. Population Outstripping Construction: Most markets work via supply and demand whereby something which is in ready supply costs less than something which is harder to get hold of. It is in the interests of many stakeholders, including homeowners tapping the equity in their properties, to limit construction in order to force up average property prices. The same goes for rents. This is pulling up the ladder once you’re in the attic.

 

Each element has severely hit professionals in their 20s but combined it has made life even more difficult. As noted above, this has led to people renting in order to move away from home, but the rental market makes it next to impossible to save for the higher deposits required for a house. On a macro level, it is obvious that governments and companies should build more homes, make it harder to snap up all the properties to rent out at high prices, and develop mechanisms for making buying a first home easier. For professionals in their 20s, they need to avoid falling into the rental trap, and work hard to find innovative ways to get onto the property ladder.

What You Must Know Before You Start Investing

Look before you leap. That’s an admonishment many a mother has given to her children. That’s a solid bit of advice that we should all apply to our life’s endeavors, especially those involving our money.

Before you start investing your money or giving it over to others to invest for you, make certain you’ve looked into the realm in which you’re about to leap. You need a strong foundation of knowledge in investing so you can make informed decisions rather than leaping into something you know nothing about.

Read, and then read some more

Most of us are woefully uninformed about the workings of economics. But you can’t set realistic, profitable goals for your investments if you don’t know anything about investing. Take the time to read up on the subject.

Start with investment articles that are easily found on the internet. Basic economic concepts such as supply and demand don’t have to be abstract theorems that mean nothing. With a bit of effort, these terms can become part of a base of knowledge that you use to grow your money through your investments.

You should advance your self-education to include investment books. When you’ve armed yourself with a solid foundation in the basics of economics, money management and investing, then you’ll be ready to leap into the markets without a fear of the unknown.

Play the game

One of the best ways to learn is through doing. Before you put your money at risk, play around with the stock market on paper only. Pick a company or two that you want to follow for a bit. Follow the price of their stocks on a daily basis and check financial publications for company news. Research the company’s history through their quarterly earnings announcements. If you see the price of the stock go up or down by more than 5 percent, find out what influenced the growth or loss in the company.

Once you’ve gotten a feel for how the buying and selling of stocks works, then expand your imaginary investments to other companies. You’ll want to work your way up to building a portfolio in your make-believe investing. This will give you practice in keeping track of multiple investments individually while watching them all for an overall gain or loss over a set period of time. It is much better to lose a large sum of make-believe money than it is to actually lose your hard-earned cash.

The end game is fiscal responsibility

With the volatility in the world today, practicing fiscal responsibility should be high on everyone’s list of priorities. When you’re managing your money in ways that see it growing, which adds security to your future, then you are being fiscally responsible. As you learn more about the world of economics, you’ll come to appreciate the difference between what you need and what you want.

If you want to attend university to obtain a degree in economics, you can certainly do that. But you can learn a lot about how money works through your own independent reading and researching.

Great Stock Market Tips From The Pros

A solid education on the nuts and bolts of investing is essential. Many helpful tips for increasing your profits exist. Keep reading this article to maximize your success in the stock market.

You should have a high bearing investment account with at least six months worth of salary in it saved for just a rainy day. This allows you to cover medical bills, unemployment costs, or even damage from a disaster which might not be covered by insurance until you get your affairs in order.

Choose stocks that can produce better than average returns which are about 10% annually. To project the potential return percentage you might get from a specific stock, look for its projected dividend yield and growth rate for earnings, then add them together. So for example, with a stock that has a 12% earnings growth and that yields 2% could give you 14% return in the process.

If you are knowledgeable enough to do your own research, you may want to look into getting an online broker. The fees to trade and commissions on these online brokers are much cheaper that a discount or full service brokerage. Since your main goal is to make a profit, having a low operating cost is ideal.

Consulting a financial adviser can help you weigh options, even if you have decided to proceed on your own. A good professional wont just give you great individual stock picks. They will help you see what you might miss on your own, such as common mistakes, how much risk you can afford, or a better path to meet your financial goals. Based on your goals together, you will put together a plan specific to your needs.

Do not allow you investments in the stock market to cloud your vision when it comes to other money-making opportunities. You could also invest in mutual funds, bonds, real estate and even art. Consider everything and if you’ve a lot of money to invest, invest it in different areas so that you have a diversified portfolio.

As a general rule, beginner stock traders should always start by setting up a cash account rather than a marginal account. A cash account alleviates some of the risk because there is a limit to the amount of money you could possibly lose.

Don’t be closed minded when you are considering the price of stocks you are purchasing. Keep in mind that the more money that you pay for an asset related to how much profit it will bring you, the lower the return you will have. A stock that might look like a horrible buy one day at $50, might drop over a week and be a steal at $30, the next week.

Sticking to the stock of major, well-established companies is a good idea in the beginning. Buying stock in large companies is less risky than investing in smaller companies. Once you have a solid foundation for your portfolio and are more comfortable investing, start branching out into smaller companies. Smaller companies have greater growth potential, yet there is also a much higher losing potential risk.

Consider investing on stocks that give out dividends. This is a way to help offset your losses in case the stock you invest in declines in value. When the stock prices rise again, the dividends will be like a bonus. They can also give you periodic income.

A United States resident should take advantage of a Roth IRA, putting as much money into it as possible. Most middle-class citizens qualify for this opportunity. This type of investment is definitely long term. It’s important that you realize that an IRA is an investment for the future and not a quick tool for profiting.

It is generally best to follow a constraint strategy. Doing this means seeking out stocks that have slipped past the notice of other investors. See if undervalued companies are good sources of potential profit. Stocks that everyone seems to want generally sell at higher prices than they should. That leaves no upside. More obscure companies that have solid earnings can be good investments.

An investment seminar is a great place to learn the basics of stock market investing. These are usually available for a small price and are taught by stock market professionals who can assist you in making the most out of your investment.

Before adding a stock to your portfolio, you should first analyze its price:earnings ratio. Use this information to forecast the stock’s probable return. For the most part, using price earning ratio in conjunction with the projected return, the PE needs to be two times that number. A stock that has a projected return of 10 percent, for instance, is only a good buy if the ratio of price to earnings is less than 20.

Look for stocks that have shown a stable, modest growth rate, rather than extrem growth. These types of stock will give you a better valuation than a high-growth stock. High-growth stocks are typically very popular and are therefore expensive; they can’t meet the raised expectations of investors that are very interested in returns.

Learn all you can about accounting. Although you need not become a CPA to succeed in the stock market, your knowledge will be greatly improved by learning the basics. You will make better buying and selling choices if you understand the system used to score the stock market, and a certain modest level of financial education can help you do that. Warren Buffet is someone who advises people on getting this type of education, and being that he is very successful, you should listen to him.

Consider more than a stock’s price; think about its value, too. Is this stock going to be a good long term investment? A low price might actually be an indication of a great time to buy, but deciding whether or not it is should be based on research. Don’t purchase a low price stock if you don’t know in advance that you will make money off of it.

Although there are countless ways to invest successfully in the stock market, one thing that every successful strategy shares is reliance on plenty of research and information-gathering. Do not put your faith in gossip, make sure you keep your information updated. If you use the tips you have learned here, you will profit from your investments.