How to start investing in the stock market

By TraderHQ Staff

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So... you've got your finances in order and are ready to start investing in the stock market? Great. Now you need to your investing goals, where you want to invest, how much and your risk tolerance.

How to start investing in the stock market

Get started early

Compound interest is an investors best friend and allows your investments to snowball over time.

If you invest $10,000 at age 20 and never invest more money you'll be sitting on $602,401 at age 63 (based on 10% annual return).

And your returns will be significantly higher if you added to your investment each year.

How much should i invest?

You need to decide what your investment goals are and what your timeline is to reach the goal.

Retirement is

Did you know that...

  • A 'flight to quality' or 'flight to safety' happens when investors move their capital to safer assets, like government bonds, during times of financial market volatility?
  • Warren buffett, one of the world's most successful investors, is a staunch advocate of long-term investing, often holding onto stocks for decades?
  • Even in the face of market volatility, staying invested and focusing on long-term growth is crucial to harness the power of compounding?
  • While equities are popular for long-term investing due to their growth potential, a well-rounded long-term portfolio might also include bonds, real estate, and other asset classes?
  • For volatile investments, understanding both the CAGR and the annual volatility can provide a more comprehensive view of performance?

Quotes of the Day:

  • "We like to buy stocks with a competitive advantage." - Walter Schloss
  • "The stock market is a reflection of the economy, not the other way around." - Christopher Davis
  • "Investing is about finding great companies and holding onto them for the long haul." - Ron Baron
  • "The best investment you can make is in a company with a strong management team." - John Paulson
  • "The best way to make money in the stock market is to buy low and sell high." - Julian Robertson

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