The “traditional” route of making money from investing in stocks and making money as they go up can be rewarding and can be extremely straight forward – but only if you know what you are doing. Most people do not.
You’ve probably read our Investor Training page and were surprised how rewarding investing can be. You can probably even smell the money… except it’s not in your back pocket… yet!
Transforming £10,000 into £242,014,323 in 30 years is something, I’m sure you will all agree, you can no longer afford to ignore.
The most interesting part is that many people have done this ten times over and their primary vehicle was the Stock Market. Trading in Stocks (for our American friends) or Shares (for our UK neighbours) is by far the most popular choice of wealth creation amongst the wealthiest amongst us today. Why do you suppose this is?
6 Reasons Why You Need To Invest In Stocks & Shares Today
It beats the banks
Imagine your bank manager’s reaction when you tell him you are actively managing your own portfolio – and trouncing what the bank offer. It would be quite a picture, would it not? Stock Market Investors tend to generate over 30%+ a year quite comfortably (those who combine with trading can reach over 100%+ a year!). But surely your local bank who you’ve stayed loyal to for years will beat that? Yes, you’re right they will not get anywhere close to that! In fact, they take your money and give you 3% (for example) in return for it (a.k.a Interest). Then they hand over your hard earned money to their ‘Proprietary Trading arm’ or ‘Investment Banking division’ so their traders can use your money in the markets. So, they’ve made 30% in the markets, using YOUR capital, and they pay you 3% of that. Big deal Well, it was for them – peanuts to us! Nothing will ever substitute you finding the right recipe from people who have done it, knowing what the best ingredients are to make money and putting a big dollop of hard work on top!
You get paid just to own it!
Yes that’s right! Not only do you make money on the capital growth in stocks (you buy for £100 then sell a few weeks later at £200 for a nice £100 profit) BUT you also get paid to own the stock during the period you have them. Welcome to the world of Dividends! Being a Dividend Investor is the strategy used by some of the biggest hedge funds today… it’s a great source of additional passive income. This is the other huge benefit to owning your own portfolio of stocks – you can get paid twice over!
Anyone can learn it
Don’t believe me? Most of the biggest hedge fund managers in the world started out with zero knowledge, one was actually a taxi driver! In fact, our very own founders of Trade-Vest began their careers in very different fields but through meeting the right people and discovering the right strategies and tools they made it work for them. And just so you know the taxi driver, Bruce Kovner, who tried writing, was a taxi driver and never managed to finish his PHD is now worth £3billion! Oh and he started at the age of 38. A late bloomer, he showed the world that there are no barriers of age, profession or background.
Tax advantages – UK Stocks/Shares ISA = tax free, US 401k or Roth IRA
Imagine being able to cherry pick the ripest and best opportunities out of an offering of thousands. Everyone in the UK over 18 can now invest up to £15,000 in a NISA (New ISA 2014) every year in a tax-efficient manner. In fact any gains made within a NISA are free from capital gains tax (CGT) and dividends (the free money for owning stocks and shares) are taxed at just 10%. If the government got one thing right it is this. There is a reason why most people are now DIY investors as you have everything at your disposal to make it happen. In the US, tax efficient ways to invest can be found in your 401k’s or Roth IRA. As always, it’s important to seek professional advice on your specific tax situation.
Opportunities are all around you
Many trading and investing ideas have been made by simply walking down the street and noticing a specific shop or brand that is busier than others. If one shop is making more sales than another then that could mean more profit which is very attractive for investors who want to invest in profitable companies. Similarly travelling the world to hustle and bustle of China and the magnificent lights of Tokyo are great ways to identify technology trends that will make its way to the western world at some point. A great balance of work and pleasure! It can be as simple as that! Well, nearly that simple. With just a little more knowledge you can find the very best investments for you and with our scans, we will do the hard work so you don’t have to.
You can live your life – lifestyle in retirement
Let’s face it we all want to be reaping the rewards of our hard work in retirement, if not a little sooner! The reality is you will only get there with hard work and smart investing. But that journey does not have to be a lonely one or a long one. If you learn from people who have done it, imagine how much time and money you would save? Whilst there is no shortcut to success, you can definitely get there quicker with the help and direction of people who have done it.
Read more about our team and how our founders can help you on your journey. We’ve done it and now we’re here to spread the word that you can do it too!
The TV Investor Academy’s library shows you how to get started and invest in a style that suits you and your goals. It covers:
- Introduction to Financial Markets
- Stock Market Fundamentals
- Risk Management Techniques
- Fundamental Analysis for Stocks:
- Value Investing
- Growth Investing and much more
- Technical Analysis
- All you need to read a chart and identify opportunities…so that you can take advantage of any opportunity in any market – at any time.
Also discover how you can enhance your exposure by being able to profit from falling stock prices as well as benefiting from double leveraged instruments. The world really can be your oyster with stock market investing.