Posts Tagged ‘investor’

Alternative For Investors When The Market Goes Down

Investing in the stock market takes sharp. When the market collapsed, the investor could do a number of alternatives. At least there are three things that can be done.

According to the President Director of  in his speech he, Tuesday, March 31, 2009, the third it is holding investments, add, or resell the shares owned.

The first option, namely to hold or not to sell stocks or mutual funds that have been, says Eco, can be done on the basis of the stock market will always volatile. Although there are still doubts about how long this condition will persist, but those who have the horizon (period) a fairly long investment still continue to believe that in time the market will come back later improved.

Option to survive are also based on an attempt to avoid the presence of the realization of losses in the hope of improved market conditions. Those who survive are aware, the purpose of investing in stocks for the long term so that it is still able to be patient waiting for improved global economic conditions and market conditions.

“Patience in sticking is indispensable in investing in the stock market and became one of the keys to successful investing,” he said.

The second option, i.e. purchase or increase investments in stocks or mutual funds. Investors who take both options decrease happens trust are temporary and still consider the stock market as an attractive investment for the long term.

Correction and a decrease in prices happened precisely be the opportunity to buy a stock or mutual fund shares at a cheaper price. Investors are also looking at potential investment more attractive results if the market back improved. For investors who already have an asset allocation strategy, drop in stock prices will be used by investors to increase its investments according to the strategy sets the allocation has been set. This is often referred to as the process of re balancing portfolios.

The third option, to sell back shares or mutual funds. This effort is usually made the investor to avoid bigger losses. Most investors are aware of the risk was not appropriate profit and timing the market is trying to. Usually the implications or sale of stock or mutual fund investors realize the losses, it is, do the other instruments, switching to and lost the opportunity if the market back up before it had time to buy.

How Fraud can Occur Under The Pretext of Investment

Business investment online more and more, either in the form of business cooperation, gold futures, and foreign exchange. In addition to promising great benefits, business is also considered practical because it is done in real time on the internet.

However, if this online investment including safe, given some time ago  claims to be fooled this business up to Rp1,5 billion.

originally tempted because this investment promises 300 percent. In addition, profits will be given on a daily basis.  started to join in early November.

How exactly can happen under the pretext of investing online fraud? Traders and analysts of investment gold share information on this subject.

According to him, in the case of fraud against  there are statements that investing will be promised a profit of 300 percent. “As well as investment, high return mean high risk,” when talking with  Tuesday, Then, Mulyadi continued, trading gold conducted that includes investment that makes no sense. This happens because as he had been seen in several ads that claim to be the online trading, promising the return of two percent in a day.

“As a rule, return shall not be promised. Just like shares, could lose out and be good thing. It is uncertain, “he said.

Mulyadi also claims to be active in one of the companies that offers trading in gold futures online. However, he reiterated that the Decree should not be promising advantages.

He suggested to would-be investors to follow training-training trading in order to understand in its entirety, so as to minimize the risks, including the risk of fraud. “It’s good for all types of investment are online or not,” he said.

Online Investment Tips

  • In the meantime, to avoid the various risks in online investment, investment including Mulyadi give tips for potential investors and existing investors.
  • First, make sure you understand the risks and benefits of such investment. Second, make sure the company is indeed legal in Indonesia’s legal entities. Third, before you sign anything, make sure to read the entire clause.
  • Then, the four, like all other investments, make sure investors or potential investors understand the workings of such investments. Lastly, remember any investment there is a risk, the higher the promised return, implied that the higher the risk.

long-term investment decisions

The United States government paid the Brazilia...

Central Bank of the United States will introduce quantitative easing in order to reduce the risk of double-dip recession. This policy responds to heavy fund inflows and currency appreciation will be determinant in the performance of financial markets and investor sentiment. Some investors also hope that Indonesia, the United States dollar value will be added value compared to other currencies and the renminbi will also value-added compared to the U.S. dollar in the next three months.

Indonesia expected to keep investors in the form of cash and deposits, gold, and housing as a safe deposit. While the share of domestic investment particularly targeted in the issuer’s investment in natural resources, information, and telecommunications, and consumer goods. As is known, in the third quarter of this Indonesian Stock Exchange has a new issuer through a stock listing debut Tbk PT Indofood CBP working in the field of consumer goods and PT Harum Energy Tbk, issuers engaged in the coal

Dumping could cause a domino effect and affect the value of investments

China can reduce its holdings of dollar assets, but not “exaggerated” as the country tries, dominates the structure of their assets in dollars adjusted foreign exchange reserves, analysts say.

The foreign-exchange reserves amounting to nearly 2.4 billion U.S. dollars by the end of last year – one third of the world – is concerned that the sheer magnitude of the undertaking could be counterproductive.

About 70 percent of reserves in dollar assets, estimated by experts, and the high ratio means that suffered after the collapse of the U.S. dollar, China with huge losses.

But it is also difficult for China to dump its dollar assets because it could trigger a domino effect on other investors and amortization compared to companies in China.

“China is faced with a dilemma,” said Dong Yuping, an economist at the Chinese Academy of Social Sciences.

The latest U.S. Treasury International Capital (TIC) data, China is a net buyer of U.S. government bonds in December, reducing its holdings of 34.2 billion U.S. dollars to 755.4 billion U.S. dollars.

Part of the total stock of the way from China into the short and long term, U.S. declined Among the owners of government bonds abroad to 20.9 percent in December from 23 percent in mid-2009, and sold its position as the largest investor in U.S. Treasury Japan.

The data suggest that China may be more actively diversifying their reserves away from U.S. Treasury bills, “says Jing Ulrich, managing director and chairman of the China stocks and commodities, JP Morgan.” We hope that the country something to change some of the exposure to other currencies. ”

Although it is unclear whether the sale is part of a coherent strategy, the country must obtain a share “substantial” assets in dollars from its reserves, said Sun Lijian, an economist at Fudan University.

“China should not unduly reduce their dollar assets, given its high liquidity of the market,” he said. Assets in dollars is relatively easy to sell if China Guide is the money to ensure their financial stability, he said.

More than a decade after the Asian financial crisis of 1997-98, there are indications that the increasing use of the reserves in growth in China for the purchase of resources, technology and attract top professionals abroad. Although important, Sun said, China should have enough reserves to protect their financial stability.

Asia was a blow against international financial crisis when speculators attacked the currencies of various countries appear not to fit you into a spiral of currency depreciation, economic contraction and social chaos.

Since then, Asian countries, increasing attention paid to foreign exchange reserves, and now has seven of the 10 nations.

While China’s growing reserves, but the fear increases the possibility of inviting speculative capital flows, especially if the economic recovery is faster than in other regions.

As soon as the transfer of capital from the country, there is no crisis on the domestic market and the economy, “said SO

To tackle the problem, China needs to accelerate its attempts to balance between the pace of domestic demand and exports, to spur consumption as an important engine for economic growth, “said Dong.

Top 5 Investment Tips

1. Get Up to Speed
It is very surprising that many investors do not place at the right time to inquire about investment opportunities. Instead, rely on what they say “experts”. Otherwise, it may not be a bad idea at first, but a better investor, you need to do their own work and very familiar with the concepts, theories and figures in the wonderful world of investments. In addition to research efficient and robust confidence aninvestment more in their investments and take some of the concerns that many people have with their plants.

2. Use of long-term
If you do not feel comfortable in an investment over a long period, it does not bother you invest in them. Pay attention to the long-term value of an investment and stay away from “get rich quick” investment opportunities. In addition, save as a bonus, the long-term investment makes you a little tax . In most countries the tax on capital gains that you receive on your investments. minimized by careful planning and long-term operation for taxes that ultimately you will be charged to earnings in capital on your investments.

3. Diversify
Portfolio diversification is a good way to reduce the risk of losing any possibility of making money. But beware that too much diversification may yield potential bands oninvestment acceptable. Reasonably diversify their investment portfolios, some of the crisis and make consistent returns on your investment portfolio.

4. Use invest extra money
Do not use the money they need to live. If you want to go into investment, it is advisable to use disposable income to invest. As mature as aninvestor, then he can leave with more money from their personal savings to invest. However, life can not invest money that you can. To invest in other words, not with food or rent money, because things simply can not afford to lose.

5. Define your investment goals
An important step on its investment objectives. What kind of money you reasonably expect from your investments? Some people invest for their retirement. Some invest in school children. Different people have different reasons for wanting to invest money, know exactly why it is very important. Know where you want to end their personal finances is easier to choose the right type of ofinvestment and how do.