Just enter the market and even many retail investors have some investment experience will often make a mistake, their feelings with the stock market’s rise and fall with the same from the end but that did not profit, which is why? Is there a method can guarantee the stability of the stock proceeds, can not lose it? excellent addition to the previous stock of the dark horse choice to share a few tips beyond the stock market today, come back to share the stock market’s long-term investment strategy.Stock Market Today – Stock Quotes | Market Watch | Financial News http://www.stockmarkettoday.cc/
The stock’s long-term investment strategy is to let investors know what to do when others are kept awake, and now many investors are fantasy flourishes, which means he has to take more risks, higher transaction costs, to Finally, they return the last serious than standing still received benefits. How can stock their own long-term yield? Gifted shares outstanding global platform for the Chinese stock information and remind you of the following is essential.
Reduce the expected stock returns
Over the past two centuries, from the point of view, excluding stock returns after inflation rate of about 6.8%. In fact, include reinvestment of dividend income, including the average annual rate of return of 6.8% will enable investors to buy the stock portfolio force double every 10 years. If inflation remained at less than 2% -3% annual nominal rate of return on equity will reach 9% -10%, and this will allow portfolio investors, the monetary value of the stock in every 7-8 years to double.
To have this income is quite good.
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Stable long-term return rate
Usually the proportion of stocks in the portfolio depending on different economic environments. But based on historical data, a long-term investment perspective of investors with shares held in its portfolio should occupy a large proportion. High inflation will eat the monetary value investors, even if the holders of bonds will be risky in the long term. But if we hold the stock to reach or exceed the period of 20 years, compared to stocks and bonds, higher returns, but risk is lower. Thus, with a vision of enhancing investors, the stock should the majority of its proportion of the portfolio.
Low-cost index fund investors
Unless you can find a dark horse, it was not necessary to a high degree of diversification of investments, does not try to beat the market index fund, through an appropriate proportion of holding large stocks, the market very low cost to keep pace. It also has an advantage, the turnover rate is very low. If an investor held by index funds consistent with the market every year, then in the long run, is enough to enable them to obtain excellent long-term investment rate of return.
Value stocks with low risk and high return
Large value stocks and large growth stocks a considerable achievement, even a small performance of value stocks are better than small growth stocks. Very small growth stocks is the worst kind of all stocks, the effect of long-term investors are very bad. So investors should focus on value stocks, because the lower price-earnings ratio over the past 50 years, a higher dividend yield and stock performance more than the market average.
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