Would you like to be a great stock investor? Do you want to reclaim your own money in order to make a better return in a safe way? Keep reading to find out how.
Being a superior financial investor and growing your profits is totally possible, however it is vital that you begin with knowing how to appropriately invest and that begins with understanding the typical stock market terms.
Stock terms can often leave us confused, and this was intended. If you are confused, then you are more likely to willingly hand over your money to “financial specialists” to invest for you.
Similar to the way that we are willing to leave law issues in the hands of lawyers because the terminology is confusing, investing can lead us to seek out a professional as well.
But the good news is that we can easily learn a few common terms to prepare for our own investing. And the better news is that we can easily outperform these financial professionals.
In fact, it has been demonstrated over and over that financial professionals offer no strong advantage as compared with a typical individual putting money into a their own investments. Truth be told, these financial specialists fail to beat the market over 90% of the time.
According to the S&P Dow Jones Indices active versus passive (SPIVA) scorecard, 91.9% of active managers underperformed the S&P 500 Index.
It is proven that we can beat the majority of financial advisors by simply putting our money into a low-fee S&P 500 index fund.
To make better returns, we can learn these terms and start to buy individual companies according to the strategies of Warren Buffett and value investing.
Read what Buffett says about value investing compared to financial advisors:
“Value investing is so simple that it makes people reluctant to teach it. If you’ve gone and gotten a Ph.D. and spent several years learning tough mathematics, to have to come back to this is like studying for the priesthood and then finding out that the Ten Commandments were all you needed.”
In summary, if you want to be a better investor, learn the terms and invest by yourself in individual stocks using a value investing strategy. Check out this infographic provided by BeatTheMarketANALYZER.com. to learn 31 stock market terms and get started on investing!