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Abstract

'Everyone has the brainpower to follow the stock market. If you made it through fifth-grade math, you can do it!' - Peter Lynch, legendary mutual-fund manager and investor. Peter Lynch and Warren Buffet suggest that an individual can do well in the market by increasing his awareness and analysis skills. Unfortunately, for people keen on investing, there is plethora of advices given by experts on how to make profits in the stock market, most of which lacks technical fine prints and in majority of the cases they do not give clear directions on how to make profits. To further confuse the investors, there are studies discussing ill effects of the stock market discouraging them to invest. A 'cautious' investor thus starts investing in mutual funds, insurance policies or fixed deposits while they can make more money by investing in shares of good companies. If the fundamental and technical analysis is done appropriately and followed consistently, everyone can generate a good return in the stock market. Getting updates on the developments in the economy, industry and more specifically on the company helps investors in selecting quality stocks by reducing the probability to loose.

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Abstract

'Everyone has the brainpower to follow the stock market. If you made it through fifth-grade math, you can do it!' - Peter Lynch, legendary mutual-fund manager and investor. Peter Lynch and Warren Buffet suggest that an individual can do well in the market by increasing his awareness and analysis skills. Unfortunately, for people keen on investing, there is plethora of advices given by experts on how to make profits in the stock market, most of which lacks technical fine prints and in majority of the cases they do not give clear directions on how to make profits. To further confuse the investors, there are studies discussing ill effects of the stock market discouraging them to invest. A 'cautious' investor thus starts investing in mutual funds, insurance policies or fixed deposits while they can make more money by investing in shares of good companies. If the fundamental and technical analysis is done appropriately and followed consistently, everyone can generate a good return in the stock market. Getting updates on the developments in the economy, industry and more specifically on the company helps investors in selecting quality stocks by reducing the probability to loose.

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