Be focused on the future
Complexity of investment consists in that we try to accept reasoned decisions, being based on the events which have already accrued. It is final, important to look at the data on company sales for last periods, but it is much more important to understand what will be with these sales next years.
Here in certain cases will be more important to make the estimation of all the company and industry. If this or that segment of economy grows and blossom for certain hardly more or less reasonable company will miss such chance.
Consider long-term prospect
High short-term profits can turn a head to beginners in the market. But accounting of long term investments and thinking negation in style “has seized and has escaped” is the main thing for the investor. It doesn’t mean that active trading it is impossible to earn money. But it is necessary to understand that trading and investments are different things, they mean different risks and different experience. Active trading demands as well other personal qualities from the person.
Once again we will repeat: it is impossible to consider any style of investment obviously better or worse than others, each variant has the pluses and minuses. But active trading can appear bad idea for people who have no corresponding free time, the sufficient financial resources, necessary formation and passion.
Escaping in active trade is one of the most serious errors of beginning investors. The main thing is that it has passed quickly and not too painfully for the deposit. Trading against investment is as debauchery against home life. The long-term and safe pleasure from the first can be received only being professional. For satisfaction from the second it is enough to be a reasonable “fan”.
Be curious
Thousands of present small companies have chance to become “blue chips” in the future. Besides, historically on a long time interval (since 1926 for 2001) the small companies traded at a stock exchange, on the average brought to investors greater income, than index S&P500. It doesn’t mean that you should generate completely the portfolio from shares of the companies of the second echelon, after all and “monsters” sometimes show rapid growth.
Be afraid of taxes, but don’t worry too strongly
Taxes can reduce considerably your profit on investment, but it is necessary to think of it only after you will think of profit earning. The main thing is to create a successful personal investment strategy that there was an occasion to reflect on taxes.
So I hope that these rules are pretty easy and understandable to you. Remember in investment there is nothing you should be afraid of, just act and make money and your freedom in financial life.
The days when governments have been flooding people with all sorts of grants are over. At least for some time. But that does not mean that one must forget the idea of getting small business grants.
Everything is possible with nicely balanced attitude; small business grants including.
Read this blog for more helpful tips about grants, how to apply for grants, grant samples, traps and ticks of the grants. This info will help you to get small business grants or any other grants faster.