ONLINE TRADING

This is the final installment of our financial myth-busting series. We’ll close by going over the myths associated with investing. Be sure to check out the rest of the series.

When it comes to financial myths, there is no category with more mistaken beliefs than investments. Whether you’re talking about investing for retirement, in the stock market or even more sophisticated assets like real estate, commodities or bonds, there are so many “experts” with varying opinions that it’s hard to grasp just a few that really work for your strategy.

Thomas J. Feeney has been in the investment industry for over four decades. As the chief investment officer of both Marathon Asset Management Co. and Mission Management & Trust Co., there isn’t much of the financial world he hasn’t seen. As much as his schedule allows, he also breaks down his thoughts and strategies on his blog, Measure of Value.

Every other week, we’ll tap the insights of Tom to get a deeper perspective of what’s going on in the market and see through his eyes what the smart money is thinking about investments.

For the savvy investor who knows how to do his or her own trades, it’s no wonder that

online brokerages, also known as “discount brokerages,” are becoming a popular option. An online brokerage account is easy and quick to open, has low fees per trade, and responds to your buy and sell orders almost instantaneously. No longer do you need to wait for your broker to pick up the phone: you can do everything yourself, online, for a fraction of the cost of a traditional brokerage.

The life of a stock trader is a glamorous one. Well, maybe not exactly. The Wall Street hotshots we see in movies are for the most part fiction, but the allure of making money off investments while never having to leave the couch, or scoring a semi-fortune on that one hot stock, nevertheless captures imaginations. Most people love money and love things that are fast and easy. So the idea of making fast and easy money in the stock market is probably right up your alley.

However, there’s a popular statistic that stock traders like to throw around. Over 90 percent of stock traders lose all their money in the first year. Over 90 percent. If you’re ready for that kind of pain, then let’s get started!

Online trading is almost commonplace these days. Everyone from “investment clubs” in senior citizen centers, to financially savvy college whiz kids, to the average Jane or John living in middle America can easily become their own online money manager. All it takes to partake in online trading is some spare cash, the desire to invest, and creating an online brokerage trading account. Although the process of online trading is simple and just about anyone can do it, there are both advantages and disadvantages you have to consider if you are deciding on signing up.

Lets find out what the advantages and disadvantages are for online trading…

One positive that has come out of this current recession is the growing interest that people have in the stock market. For better or worse, the fluctuations of the market and abnormal volatility over the last few years have attracted a lot of attention from people either looking to get in on the action or just trying to protect their investments. However, not everyone knows how to do either of these things properly.

Stock market investing, if done shrewdly, is a very rewarding experience. Not only can you make money from it, it also serves as a good social conversation starter. Knowledge and perspective about investing displays a level of sophistication beyond basic financial management. People will always be interested in knowing better things to do with their money.

Have you long had a desire to invest but just don’t know where or how to start? The world of investing can definitely feel intimidating because there’s so much to know and seemingly not enough time to soak it all in. However, there are some ways to slowly get into the investment game where you’ll feel comfortable with both the pace and the amount of money you’ve started with.

Let’s take a look at investing for beginners strategies that could, in a short amount of time, help you feel like the confident investor you aspire to be.

Online trading can be a fun and lucrative pastime. By taking the time required to open an online trading account and backing it up with the efforts required to make wise investing decisions, online trading is allowing more individuals the ability to act as their own money managers.

Not only can you establish an online trading account to purchase and buy American stocks, many online trading brokerage firms also have the platforms set up so you can easily participate in the world wide stock market exchange.

Global Trading

Online trading is a powerful investment tool allowing consumers to become their own personal money manager. Setting up an online trading account is quick and simple with 24/7 access.

However, it is important to realize that online trading occurs with real money and in real time. There are conditions and actions that you may choose to make when redistributing your assets, and one such move may be trading on margin.

Margin Basics

Online brokerage firms have become a fierce and competitive business in the 21st century. With the advancement of the Internet and online banking, many companies are taking it to the next step and allowing individual investors to buy and sell securities online. Consumers can quickly and easily complete online trading account applications allowing them to become the masters of their financial domain, with no broker involvement required.

New Account Perks