Tuesday, August 9, 2011

ETFs Trading

Follow Me on Facebook Follow Me on Tweeter
When it comes to the beginning of trading of the Exchange Traded Funds it is very important to ask yourself several important questions as

1. What is your investments goal (except more money..) - are you saving for retirements? are you planing to become a professional trader? or do you want just to keep money safe and secure them from inflation ...
2. What type of trader are you? - are you long-term trader who puts money in the market with the purpoce of extracting them in several decades? are you mid-term investor who follows the market and keeps an aye on the economy and time on time reinvest money around the stock market? or are you short-term trader who basicaly leaves with the market and spend most of the time by analysing and trading it?...
3. What funds are you ready dedicate for investment?
4. How mush from your portfolio are you ready to loose?
5. ...

The list could go on on. As you see, before begging to invest into the stock market, you have to ask yourself general questions. Many novice traders are coming to the market without previous planing and you will be surprised to know that many of them o not have answers on these simple questions. Eventually, without previous planing a trader is marked to lose twice more money and to spend twice more time before he or she actually starts to make something on the stock market.

I know, this is boring stuff to do research, yet, if you are going to put your money on the table you better get know what kind of table is it. Only when you know the answers on these general and simple questions you may start trading ETFs.

No comments: