PPT Basics of Investing PowerPoint presentation
Post on: 24 Июнь, 2015 No Comment
That’s one reason that stocks, which are perceived as riskier than bonds. cap stocks, energy vs. technology stocks, or growth vs. value stocks, for example. PowerPoint PPT presentation
Title: Basics of Investing
Basics of Investing
Over the long term, stocks have historically
outperformed all other investments. From
1926 to 2005, the SP 500 returned an average
annual 10.46 percent gain. The next best
Basics of Investing
Over the short term, stocks can be hazardous to
Basics of Investing
Risky investments generally pay more than safe
ones (except when they fail). Investors demand
Basics of Investing
A diversified portfolio is less risky than a
investments. Diversifying — that is,
spreading your money among a number of different
types of investments — lessens your risk because
even if some of your holdings go down, others may
go up (or at least not go down as much). On the
flip side, a diversified portfolio is unlikely to
outperform the market by a big margin for exactly
the same reason.
Basics of Investing
- Stocks
- Stocks aren’t just pieces of paper
- There are many different kinds of stocks
- Stocks are your best shot for getting a return
over and above the pace of inflation.
growth includes strong stocks from different
industries.
to engage in rapid-fire trading.
Basics of Investing
- Stocks continued
- Investors may talk about large-cap vs. small-cap
stocks, energy vs. technology stocks, or growth
vs. value stocks, for example.
- Since 1926, the average large stock has
returned more than 10 percent a year — well
ahead of inflation, and the return of bonds, real
Basics of Investing
Mutual Funds What exactly is a mutual fund? A
mutual fund pools money from hundreds and
thousands of investors to construct a portfolio
of stocks, bonds, real estate or other
Basics of Investing
Mutual Funds Returns aren’t everything — also
consider the risk taken to achieve those returns.
Before buying a fund, look at how risky its
investments are. Can you tolerate big market
swings for a shot at higher returns? If not,
stick with low-risk funds. Low expenses are
crucial. In order to cover their expenses — and
