Using the internet as a tool when you are investing is an excellent way for investors to find opportunities that they think will help to make them wealthy. It is easy for those with information, to reach millions by sending a mass e-mailing, by creating your own website, posting messages or engaging others in a chat room. It is difficult for even the savviest investors to wade through information that may seem credible, but only turns out to be false.
Investment Newsletters
There are hundreds, if not thousands, of newsletters that are available online for those who are interested in online investing. They seem to offer, free of charge, information that features either a company that is hot, or a “stock pick of the month. ” There are legitimate newsletters online that can offer the investor some sound advice, but you need to be careful as fraudsters can use this as a way to scam you out of your hard earned money.
There are companies that pay people to write newsletters, with securities or cash to write recommendations for their stock. This isn’t legal, and federal security law requires that the author of the newsletter must reveal who paid them, the type of payment, as well as the total amount paid. Many scammers don’t do this; instead they will lie about receiving payments, their track records, and anything else it takes in order for you to sell or buy a particular stock.
Online Bulletin Boards
Using an online bulletin board is a popular way for people, especially investors, to share information. On a bulletin board you will typically find threads that focus on a wide variety of investment opportunities. You may find that there are messages that contain truthful information, but there are just as many, if not more that contain falsehoods. When you are dealing with forums, or bulletin boards, you can never be sure who you might be dealing with, because it is easy to hide your true identity. Companies hire people to pose as observers who have put much thought and research into particular companies, when in reality they are paid to write these so-called unbiased opinions.
Using Spam E-mail
The cost of creating false e-mails is so inexpensive; many fraudsters use it as a way to find investors for fake investment schemes as well as to use it to spread false rumors about a company. When a spammer uses a bulk e-mail program, they can reach millions of users around the world in a very short period of time.
If you want to invest online and stay away from scams, you need to have cold, hard facts. You should never make investment decisions just on a newsletter you receive online or a posting on a bulletin board that you found. It is also wise to stay away from a company that does not file reports regularly with the SEC. This is only advised if you are willing to check that the statements the company is claiming are not false, and it can be a long and difficult process to find out the truth.
Posts Tagged ‘Sound Advice’
The Perks Of Online Stock Investing
December 19th, 2009Getting into the stock market can be a fun and rewarding venture. For those who are unfamiliar with its ups and downs, the prospect can be a bit daunting though. Dealing with brokers can be a little frustrating. Some brokers are very easy to reach and will do a buyer’s bidding no matter what. Others, armed with more knowledge than the investors, will sometimes be a little less responsive. Thanks to online stock investing, brokers can be virtually taken out of the mix for those who aren’t keen on dealing with a middleman directly. Online stock investing is a fairly new concept that has opened a lot of doors for investors of all financial means. Everyone from retirees to schoolchildren have managed to get involved in online stock investing for a whole host of reasons. There are some negatives to going this route to make investments, but there are a whole lot of perks that go with it, too. The cons for online investing involve the loss of a personal broker that can offer sound advice. When it comes to getting the best advice on what to buy, when to buy and when to sell, it’s hard to replace the expert. Beyond that, however, online stock investing does have a lot of perks that make it accessible to virtually anyone. Plus, many reputable online trading sites provide access to trained brokers and investment counselors when their help is needed. The overall perks of online stock investing include: Ease: Most online trading sites offer very simple interfaces that enable users to quickly and easily buy and sell stocks. All that’s generally necessary is setting up a free account, sharing some information and inputting what’s required to pay for stock purchases. Most sites offer a lot of help for decision making and even navigating through purchases and sales, too. Cost: The costs associated with trading stocks online will vary from site to site, but in general they are much more affordable than using direct brokerage services. Rather than charge huge per trade fees, these sites enable very small purchases and sales for pennies. This is what makes online trading so attractive to small investors looking to turn their milk money into extra cash. Control: Online stock investing tends to put a lot more control into the hands of the investor. With direct access to buy and sell commands, these services help ensure that what investors want done is truly carried out. This can present both pros and cons, however. With the ease for selling and buying, overzealous traders can sell prematurely or buy at bad times. Freedom: Online stock investors tend to have a lot of freedom to make their own decisions. This falls under control, somewhat, but the fact is this is one of the best options for someone who wants the freedom to make all of their own decisions regarding their money and investments. Online stock investing can be a great way for anyone to get involved in the market. Coming with fees that are more affordable to the masses, this trend is one that’s more than likely to continue.
Online Investment – Timing Is Everything
November 20th, 2009They say that ‘timing is everything’ and it’s never more than true when looking committing to an online investment. For the comedian, actor, athlete and politician timing is a key skill in success. Being in the right place at the right time is part of the skill (or luck) of any kind of success. The basketball or football player needs to be doing the right thing when the scout is about. The busker singing on the street can have their lives changed if a record producer happens to be walking past.
So is success down to luck – well yes and no. I’m a big believer in creating your own luck. If you put yourself about, take risks (albeit calculated ones) and put yourself in situations where opportunity can be seized.
The most common piece of investment advice given is ‘get into property’ and as a general rule it’s sound advice. Property in general appreciates in value over time and delivers a return on investment significantly better than any bank or savings scheme can offer. However – timing can make or break the investment opportunity. Many have been caught short by entering the property market at the wrong time and making very little – and in some sad cases ending up in negative equity. If you buy in a town that is on the rise – then you’ll make money from your investment. If you buy in town and a factory then lays of 1,000 employees causing widespread unemployment – there’s a good chance that you could lose money, see very little growth or have to wait a long time to see a return on your investment.
If I could give only one piece of investment advice it would be to develop the skill of being able to spot opportunities. Broaden your perspective – think laterally and learn how to read how events will shape things financially and then make calculated decisions based on those factors. If you can learn this new kind of thinking – then you will see investment opportunities others miss – and most importantly you will see them in time to get in early.
For a prime example of a time sensitive online investment opportunity that will give you a fantastic return on investment go to http://online-investment-secrets.com.
By: Steve Holloway
