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Stock and shares

What is a share ?
A share is a negotiable unit of ownership that represents an equal proportion of a company's capital. This entitles the owner of such units to the proportion of the company's assets and earnings. 
Shares are tiny fractions of a company and owning a little means ownership to a portion of that company. Shares are bought and sold on stock exchange and or through a registered broker.
When you own shares of a company that company recognises you as a shareholder and as a result you will have rights to attend the general meetings of that company , receive dividends when they are disbursed and also the right to sell your shares to somebody else. 
The fact you are privilege to a company's profit is the major benefit. The amount you earn from dividends is directly proportional to the amount of unit of shares you own.

BENEFITS OF SHARES1. Liquidity- it's easy to sale at anytime
2. Capital appreciation- The value of your shares may increase over time earning you a pro…

Business opportunities online that can make you a millionaire

The idea of a “job for life” is now a thing of the past. That's why around 30 million Americansoperate a home-based business, many of them pursuing an online business model of one type or another.
Wanting to start your own internet business is a smart move for a lot of reasons. But the biggest mental hurdle most of you face right now is figuring out what the best online businesses to start are. Maybe you've heard about affiliate marketing, but somebody mentioned Shopify during lunch. Plus…you've always wanted to write a book, and you’ve read stories about indie authors earning millions.
So, how can you possibly choose the right online business idea for you?
But there's good news! You see, you're alive at the best possible time in human history to start your own business. Never before has the barrier to entry been so low, startup costs so minimal, or the income potential so vast. You have access to resources and tools that didn't exist a decade ago, social media…

How to make money with Bonds

Bonds are fundamentally different from stocks. Bonds are a personal loan that purchasers of bonds are giving to a company, government, or municipality. Bondholders are creditors to the corporation, municipality, or government, and are entitled to interest as well as repayment of principal. Creditors are given legal priority over other stakeholders in the event of a bankruptcy and will be made whole first if a company is forced to sell assets in order to repay them. This inherently makes them significantly safer, and less risky, than stocks. Shareholders are last in line and usually receive nothing, or a few pennies, in the event of bankruptcy.

On the flip side, bondholders are ONLY entitled to receive the return given by the interest rate agreed upon by the bond, while shareholders can get great returns generated by increasing profits, theoretically to infinity. Bonus point: many municipal and government issued bonds are tax advantaged. For instance, a New York City (NYC) resident own…

How to make money with mutual funds

A Mutual Fund is an investment vehicle made up of a pool of monies collected from many investors for the purpose of investing in securities, such as stocks, bonds, money market instruments, and other assets. Mutual funds are operated by professional money managers, who allocate the fund’s investments and attempt to produce capital gains and/or income for the fund’s investors. A Mutual Fund will usually have a stated investment objective and as such, the investments are made to align with the stated objective.

When thinking about how these operate- just remember – MUTUAL. All the expenses are shared, all the costs are shared, all the gains are shared, and, of course, all of the losses are shared. The amount of each that a shareholder of the fund will experience is directly proportional with the amount of the fund that the shareholder owns. When you buy a share of a mutual fund, you are actually buying the performance of its portfolio. A mutual fund is both an investment and an actual c…

Understanding Exchange traded funds (ETFs)

An ETF is a type of fund that owns the underlying assets (shares of stock, bonds, oil futures, gold bars, foreign currency, etc.) and divides ownership of those assets into shares. Shareholders do not directly own or have any direct claim to the underlying investments in the fund, but they do own these assets indirectly. ETF shareholders are entitled to a proportion of the profits, such as earned interest or dividends paid, and they may get a residual value in case the fund is liquidated. The ownership of the fund can be easily bought, sold or transferred in much the same way as shares of stock. An ETF is a marketable security that tracks an index, a commodity, bonds, or a basket of assets like an index fund. Unlike Mutual Funds, an ETF trades like a common stock on a stock exchange. ETFs experience price changes through the day as they are bought and sold and typically have higher daily liquidity and lower fees than mutual fund shares. By owning an ETF, investors get the diversifica…

Dividends

What are Dividends ?You can separate the layman, investor and fund manager from how they describe their investments. The layman will refer to their holdings as “stocks”, the investor “shares”, and the fund manager “equities”.
If you are unsure what dividends are, this post will be a light introductory read to get you up to speed.
I will briefly talk about investing for dividends, and focus on what I really want to talk about in the next post which is franking credits.
Dividends are cash payments from companies to its shareholders. I believe there are multiple resourcesavailable on this topic is so I will just mention the important stuff.
All dividends come from companies, but not all companies pay dividends. Payments from profit from companies to shareholders are known as dividends, whilst the term distribution applies to payments from trusts to unit-holders.
A dividend paying company is like an egg-laying chicken. Suppose you have a chicken and it lays eggs every once in a while. It …

All you need to know about a budget

Budgeting is the process of creating a plan to spend your money. This spending plan is called a budget. Creating this spending plan allows you to determine in advance whether you will have enough money to do the things you need to do or would like to do.
Budgeting is simply balancing your expenses with your income. If they don't balance and you spend
more than you make, you will have a problem. Many people don't realize that they spend more
than they earn and slowly sink deeper into debt every year.
If you don't have enough money to do everything you would like to do, then you can use this planning process to prioritize your spending and focus your money on the things that are most important to you.
Why is Budgeting so Important?
Since budgeting allows you to create a spending plan for your money, it ensures that you will always have enough money for the things you need and the things that are important to you. Following a budget or spending plan will also keep you out of d…

Dropshipping as a profitable business venture.

When starting an online business, one of the key elements is having products to sell. So how do you get products, where do you find them, how do you know if they’ll sell, and how do you get them to customers?
In the vast world of internet entrepreneurship, there are many answers to all of those questions. You could create your own products—but that can be a long and time-consuming process. Or you could buy in bulk from a manufacturer and then ship out products to your customers as they buy. 
But that is an expensive solution, and you have to take the risk of investing that money in buying stock, storing inventory, and not having sales, which can be particularly troublesome if you're dealing with perishable goods to trendy items.
There is a solution that allows you to sidestep all those hassles. And it makes the whole startup process for your online venture that much easier. It’s called dropshipping. And it has taken the online business world by storm. A dropshopping business is one…

How to start a business you know nothing about and Succeed

Are you a first time entrepreneur with a new creative idea? If YES, here is a complete guide on how to start a business that you know nothing about and succeed.
If you have ever taken your time to study most of the successful business people around you, you would realize that a large chunk of them are involved in businesses that they aren’t trained in school to do. Being successful as an entrepreneur and an investor is all about leveraging on opportunities when you come across them.
It is a fact that it is good to have at least basic knowledge about any business that you want to go into, but at the same time, you can also start a business you know nothing about. All you need to do to get started is to look out for a profitable business, and then get all the information that can aid you to get started.
The essence of this article is to help you break free from the mindset that you can only start and successfully run a business that you are properly trained to do. There are several tool…

40 Entrepreneurs That Built Successful Family Businesses

Do you want to start a family dynasty? If YES, here are 40 entrepreneurs that built successful family businesses that outlived them plus lessons you can learn from them.
The joy of any entrepreneur is to build a successful business, hand over the business to his or her family members and after retirement look back to see the business grow in leaps and bounds. If as an entrepreneur, you can get your family members to buy into your business vision, and get them committed to it through hard work, you would realize that you have been able to build a successful business.
Without a shadow of doubt, building a successful family business doesn’t happen overnight. It takes years of team work, dedication, commitment to a common goal and unbreakable unity. If your desire is to build a successful family business, there are examples of great people that have walked this street before, and have been able to build solid and successful family businesses that you can learn from. Below are our top 20 E…