Wed 22 Apr 2009, 12:49 PM | Posted by admin
Tags: Business, Industry, Stock
The FT Article states: "State Street, a leading custodian bank which tracks equity flows closely"...thinks... “Institutional investors are backing this rally,” says the trust bank in its latest research. “The belle of the ball is the US,” it notes, highlighting the fact that the US institutional equity inflows that it measures are near their highest levels in 12 years.
Brad Durham, managing director at Emerging Portfolio Fund Research, says that since March 11, there has been an inflow of $3bn into US equity funds, excluding exchange-traded funds.
"With official interest rates set by central banks near zero in many countries, long-term investors fear there is a penalty for staying in cash and not investing in either equities or high quality corporate bonds. “We believe that investor excessive liquidity is playing a role,” say equity analysts at JPMorgan. "
Amid evidence that hedge fund redemptions are slowing, the bank says some funds “are deploying the sizeable cash cushions amassed in the past six months”.
The Financial Times goes on conclude by quoting its favored source: "Equity bulls argue that stocks should rally well ahead of the broad economy bottoming, as the market prices in a recovery.
For his part, Mr Niederauer cautions that trading volumes have not risen above levels that would indicate that investors had regained confidence in market fundamentals. “I think we’re waiting for another rally, in my opinion, in around June and July,” he said.
Meanwhile, flows into US equities are also facing competition, according to State Street. It says flows into emerging markets are running at their highest level since June 2007. Since hitting lows in early March, stocks in Brazil have risen 26 per cent, China has rallied 21 per cent, while Russia has surged 44 per cent.
State Street is quoted: “The cross-border equity flows of institutional investors suggest they are convinced that the US, UK and emerging markets will recover faster from the economic slump than the euro area.”
Wed 8 Apr 2009, 21:03 PM | Posted by admin
Tags: Business, Stock
These days, you can't retire without using the returns from investments. You can't count on your social security checks to cover your expenses when you retire. It's barely enough for people who are receiving it now to have food, shelter and utilities. That doesn't account for any care you may need or in the even that you need to take advantage of such funds much earlier in life. It is important to have your own financial plan. There are many kinds of investments you can make that will make your life much easier down the road. The following are brief descriptions for beginning investors to familiarize themselves with different kinds of investment options: 401K Plans The easiest and most popular kind of investment is a 401K plan. This is due to the fact that most jobs offer this savings program where the money can be automatically deducted from your payroll check and you never realize it is missing. Life Insurance Life Insurance policies are another kind of investment that is fairly popular. It is a way to ensure income for your family when you die. It allows you a sense of security and provides a valuable tax deduction. Stocks Stocks are a unique kind of investment because they allow you to take partial ownership in a company. Because of this, the returns are potentially bigger and they have a history of being a wise way to invest your money. Bonds A bond is basically a promise note from the government or a private company. You agree to give them a set amount of money as a loan and they keep it for a set number of years with a predetermined amount of interest. This is typically a safe bet and one that is a good investment for a first time investor because there is little risk of losing your money. Mutual Funds Mutual funds are a kind of investment that are based on the gains and losses of a shareholder. Basically one person manages the money of several or many investors and invests in a list of various stocks to lessen the effect of any losses that may occur. Money Market Funds A good short-term investment is a Money Market Fund. With this kind of investment you can earn interest as an independent shareholder. Annuities If you are interested in tax-deferred income, then annuities may be the right kind of investment for you. This is an agreement between you and the insurer. It works to produce income for you and protect your earning potential. Brokered Certificates of Deposit (CDs) CDs are a kind of investment where you deposit money for a set amount of time. The good thing about CDs is that you can take the money out at any time without paying a penalty fee. We all know life isn't predictable, so this is a nice feature to have in your option. Real Estate Real Estate is a tangible kind of investment. It includes your land and anything permanently attached to your piece of property. This may include your home, rental properties, your company or empty pieces of land. Real estate is typically a smart and can make you a lot of money over time
Wed 8 Apr 2009, 20:52 PM | Posted by admin
Tags: Business, Stock
MISTAKE ONE : Lack of Knowledge and No Plan It amazes us that some people expect to trade the stock market successfully without any effort. Yet if they want to take up golf, for example, they will happily take some lessons or at least read a book before heading out onto the course.The stock market is not the place for the ill informed. But learning what you need is straightforward – you just need someone to show you the way.The opposite extreme of this is those traders who spend their life looking for the Holy Grail of trading! Been there, done that!The truth is, there is no Holy Grail. But the good news is that you don't need it. Our trading system is highly successful, easy to learn and low risk. MISTAKE TWO : Unrealistic Expectations Many novice traders expect to make a gazillion dollars by next Thursday. Or they start to write out their resignation letter before they have even placed their first trade! Now, don't get us wrong. The stock market can be a great way to replace your current income and for creating wealth but it does require time. Not a lot, but some. So don't tell your boss where to put his job, just yet! Other beginners think that trading can be 100% accurate all the time. Of course this is unrealistic. But the best thing is that with our methods you only need to get 50-60% of your trades "right" to be successful and highly profitable. MISTAKE THREE : Listening to Others When traders first start out they often feel like they know nothing and that everyone else has the answers. So they listen to all the news reports and so called "experts" and get totally confused.And they take "tips" from their buddy, who got it from some cab driver… We will show you how you can get to know everything you need to know and so never have to listen to anyone else, ever again! MISTAKE FOUR : Getting in the Way By this we mean letting your ego or your emotions get in the way of doing what you know you need to do. When you first start to trade it is very difficult to control your emotions. Fear and greed can be overwhelming. Lack of discipline; lack of patience and over confidence are just some of the other problems that we all face.It is critical you understand how to control this side of trading. There is also one other key that almost no one seems to talk about. But more on this another time! MISTAKE FIVE : Poor Money Management It never ceases to amaze us how many traders don't understand the critical nature of money management and the related area of risk management.This is a critical aspect of trading. If you don't get this right you not only won't be successful, you won't survive!Fortunately, it is not complex to address and the simple steps we can show you will ensure that you don't "blow up" and that you get to keep your profits. MISTAKE SIX : Only Trading Market in One Direction Most new traders only learn how to trade a rising market. And very few traders know really good strategies for trading in a falling market.If you don't learn to trade "both" sides of the market, you are drastically limiting the number of trades you can take. And this limits the amount of money you can make. We can show you a simple strategy that allows you to profit when stocks fall. MISTAKE SEVEN : Overtrading Most traders new to trading feel they have to be in the market all the time to make any real money. And they see trading opportunities when they're not even there (we’ve been there too).We can show you simple techniques that ensure you only "pull the trigger" when you should. And how trading less can actually make you more!
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