Archive for the ‘investors’ Category
Difference Investment Alternatives And How To Access Them
As already mentioned in various entries, surpluses that occur because the expenses are less than income, are considered to be savings and that it could be applied to not only hold if the value of time but increase . That is ideal. These savings, if you do not save it under the mattress, going to the financial system or real economy of his country, when you put it available to those in need, through various intermediaries.
I mean, when you take him to a bank and open any of the instruments they have, from the traditional savings accounts, checking accounts with interest payments, time deposits or certificates of deposit, you receive a bank’s interest to “provide “them your money.
Of course the performance that they pay is the least market. The reason for these rates so low, is due to the fact that in theory, money in such institutions few risks and the state, read it, the state guarantees the deposits of savers up to a specified amount.
The savings that the bank receives from people, who have a surplus in their finances or surplus, is given to those whose finances are in deficit. May be individuals or companies.
This first entry gives us some idea of how the investment world: those who have provided over those who are in deficit and these operations carry a risk.
The greater the risk the higher the return on their money. Investors (those who have the money, because their income is greater than its costs) can channel their savings into a variety of assets that are classified into two groups: real assets such as buildings (houses, apartments, farms, land, plots, etc.) or works of art, and financial assets such as bonds, stocks, bonds, financial trusts, among others.
Talk about the purchase of financial assets traded in the capital market and are called securities.
As we said in a previous post, when you invest in the capital market, the various options will leave you totally confused and do not really know where to start.
To give a simple example, with a lake that you probably know, if you will, because of their limited knowledge decides to go to a bank with the intention of investing in some of the instruments before appointed, you must question everything, absolutely everything, although it seems a fool.
Ask about deadlines, penalties, how much do you charge for withdrawals before the deadline, what are the fees, as charged, and so forth.
Even wonder what would happen to your money if the bank cannot meet its obligations to depositors. What is the collateral, until the amount covered?
A tip, go one day and ask any questions, clarify everything. Go home with various brochures and reread, discuss with your family or closest friends, if in doubt, go to the bank again and once everything is absolutely clear and transparent, decide.
In the case of the stock market should do the same: ask and ask until he is in doubt? In the investment world there are only two major options: you can be the lender or owner.
You’ll see why. Now if you decide to invest in other products such as stocks, bonds, corporate bonds, financial trusts, among others, the investor must complete the following steps:
1. Proceed to open an account with an authorized intermediary, known in most countries or societies Exchange Agents.
This account will reflect purchases and sales of different instruments traded also will be reflected credit payment of dividends or interest on the securities you have in that account or portfolio.
Many banks, the same where you have your checking or savings, are also shareholders or owners of a brokerage house or brokerage.
The account you open with that agent, bears no resemblance to the account that you have in the bank, in fact many of these accounts are linked to the brokerage, and there to discount the amount for the transactions you make to your portfolio.
2. After opening the account, you can give orders so that his name shall purchase or sale of securities traded on approved stock exchanges or markets.
Such order may specify the amount of securities to be acquired as well as price and lead time.
3. Once you ordered, you must wait for confirmation from the intermediary, the conditions under which it has carried out his order (date, time, price, quantity, commissions and expenses, etc.).
4. After receiving the confirmation, the next step is to wind up the operation: if the investor made a purchase and must pay if you made a sale should receive the money in question, reflected in his client account, credit or debit values Negotiable
Trial Economy
10 years ago the Colombian economy had a new alternative to pushing the country into a broader level of development, “economic openness” but today we realize that it was only an idea, because in reality what he has brought to country is a stagnant domestic production, due to the entry of many foreign products which led to a marked decrease in the gross domestic product
But also must keep in mind that there are several factors that have led our country to the economic state that is, such as “armed conflict”, “The crisis in neighboring countries, etc.. These factors have affected production from falling as on the one hand, the crisis in neighboring countries make their economies in recession does not come to our market to import our products and we add the many investors who by armed conflict do not want to invest their capital by the risk that this leads to belong to a moribund economy.
Colombia from 2002 to 2006 entered a growth cycle of the economy due to the favorable international conditions which allowed the Colombian economy to perform well in its trade balance (a product of increased international demand for primary products) which due to the increase in the quantity demanded increases prices of raw materials globally, fostering the growth of its economy due to increased exports.
In addition, said economic growth in several countries allow Colombians living abroad were to achieve higher levels of income, which in turn causes an increase in demand and investment, resulting in a higher level Colombia’s gross domestic product. However, this growth was being accompanied by increases in general price level.