South American Stock Market Greetings
Wealth Educator Calls From South America
My good mate, US Sharelord ® Nik Halik emailed me from South America recently after subscribing to my Bull Hunters Guide to the US Stock Market Blog. It’s great to have good company in this industry and there are no other people in the Wealth Creation Education Industry that I would rather be associated with than guys like Nik Halik and Jamie McIntyre.
His email reminded me of the lifestyle that can easily be achieved when you have your finances in a healthy state. It is important to have a life outside of work. I now know many people that have earned a good life from learning and mastering these wealth strategies. It is important to note that the Stock Market strategies alone are not enough to achieve steady wealth. Not in my mind anyway. Many will differ to that opinion.
Balance Your Wealth Building Investments
To me, it’s important to apply synergy to your Wealth Building Investments. Most wealthy people I know make cashflow from the Stock Market or Business and build equity in Real Estate through domestic, commercial or industrial property investments. To the normal Mum & Dad investor, domestic property is what they understand. However when it comes to the Stock market, many choose not to educate themselves and put their money in the hands of Fund Managers and Financial Advisors who then are in charge of Mum & Dads hard earned money.
Who is Responsible for your Profits and Losses?
Well, like it or not: It’s you! Even though the Fund Manager or Financial Advisor gets a commission on your money, they don’t like to pay you back anything on your losses. Actually, if you find one that does, can you please let me know?
So you are responsible because you make the decision to make whatever investment you choose. Whether it be self managed in the Stock Market or with a Fund Manager. This leads to my question: “If you are going to make a loss, wouldn’t you rather be the one to blame?” At least then you know you have the power to correct the mistake and act differently next time.
Educate Yourself and Be In Total Charge of Your Own Finances and Future
I suppose that is exactly what you are doing now by reading this article. I’ve been doing it for 3 years now. I’ve gained mentors like Jamie McIntyre from 21st Century Academy and Nik Halik from FFI. Motivational and Inspirational people like Tony Christiansen and Kurek Ashley and let’s not forget Tony Robbins.
Thanks for your ongoing patronage of this stock market blog. If you like building your wealth knowledge, then you’re welcome in the Wealth Creation Forum, where hundreds of like minded people interact with each other for this kind of information.
You can join me in the Wealth Forum if you want to learn more.
But First, I’ve got One Burning Question for you:
What is the Area of Investing that You Like and Fear the most?
Please post your answers in the Comment section, following the link below.
Thanks for now and I’ll talk to you soon
Sean Rasmussen
Universal Wealth Creation © 2004 - 2007
May 31st, 2007 at 1:23 pm
This is where I’d like to hear your comment on the Investments that you like but also Fear the most.
Is it the Stock Market or Property investments?
Is it individual strategies within the market?
Is it dealing with the people such as brokers and financial advisors that could be biased?
Sean Rasmussen
Universal Wealth Creation
May 31st, 2007 at 1:23 pm
real estate I like but it is long term unless there is a boom so it can be a slow source of income, I dont know much about the stock market but it scares the crap out of me (too risky)
Ric
May 31st, 2007 at 1:23 pm
Thanks Ric
What scares me are the things I don’t know much about. That’s why I educate my self about areas like the stock market. Property used to scare me but that was based on things “uneducated” people where warning me about.
Fortunately, I realised that these people weren’t speaking from experience. Only fear of the unknown.
Regards
Sean Rasmussen
Universal Wealth Creation
May 31st, 2007 at 1:24 pm
Hi Sean
I read your book and it was very informative,now I understand what the Dow Jones is all about and what it consists of, I sit infront of the TV every night and watch what the Stock Report but when it came to the Dow Jones I didn’t have a clue and therefore never paid much attention, and keep track of the one I know.
Unfortunately I don’t have the amount of cash to invest yet, but I am working towards it.
Now you advised that you need to get a Broker account, who do you recommend and what is the minimum amount I need to start trading.
Regards
Eurika
May 31st, 2007 at 1:24 pm
Hi Eurika
It is hard to advise on exact amounts of money required to start investing in the stockmarket. Everyone has their own riskprofile and pain tolerance against investing. I will however give you some indication.
If you are renting shares (writing covered calls) on the US Stockmarket, generally you will only need 100 shares to form one contract. Shares are rented in contracts (100 shares).
If the stock costs $100 each, then it would cost you $10,000 to buy 100 shares and you get one contract to rent. Likewise, if the share is $35, then it will cost you $3,500 to get one contract.
Due to brokerage fees charged by the stock brokers, renting only one contract will probably result in a loss over one month. So it is worth looking at getting enough contracts to make it worthwhile. Of course, this depends on the premium paid on the shares.
The premium varies and changes due to many factors. The main one is the volatility of the stock. If the proce moves up and down a lot, then it’s likely to pay a higher premium than one that doesn’t move much at all.
I will make more sense of this in the next Bullhunters Guide.
Regards
Sean Rasmussen
Universal Wealth Creation
May 31st, 2007 at 1:25 pm
Hi Sean, l read the book and found it very interesting and an eye opener to say the least. The investment that l like (and fear)is the stock market.It’s the lack of knowledge that makes it scary but once that little problem is overcome it should be plain sailing, and with the help of the 21st CA and all of its team and fellow Grads and commitment to succeed, as l say , just plain sailing..
Regards Vincent
May 31st, 2007 at 1:25 pm
Hi Vincent
You’re on the right track with 21st Century Academy. I’ve seen some wonderful results from people that are committed to their future success. Remember, the results you experience are directly proportionate to the effort and respect you are prepared to invest in yourself and your learning.
Well done and good luck
Regards - Sean Rasmussen
Universal Wealth Creation
May 31st, 2007 at 1:26 pm
Hi Sean,
I read your book Bull Hunters Stock Market Guide and it has explained a great deal to me. However, there’s still a lot more to learn - I look forward to the next book.
I have a fear of the stock market because I’m new and have little knowledge of it. I have a lot less fear of the property investing because I already have an investment in this area. But after seeing Jamie’s DVD, I realise there’s much more to learn. And knowledge is the key.
Cheers,
Brian
May 31st, 2007 at 1:26 pm
Hi Brian
The new Bullhunter ebook will be available once I complete my stock market research and compile it. Stay in touch with this blog and you’ll be amongst the first to know when it’s ready to download.
Regards - Sean Rasmussen
Universal Wealth Creation
May 31st, 2007 at 1:28 pm
Thank you about that risk part,because i’am here for the education,when you drive a car you is at bigger risk every time you drive down the street so what is risk,every day life is risk so thats behind me when i make it home but again what about the next day same risk. Thank You E.Carter The most i like in invasting is knowing about what you are getting in to.The fear is not having the education that you need to know.
May 31st, 2007 at 1:28 pm
Thanks Edward.
The risk is something people use as an excuse (to stay out of investing) yet they expose themselves to it every day without paying much attention to it. I’m glad you liked it.
Regards - Sean Rasmussen
Universal Wealth Creation
May 31st, 2007 at 1:33 pm
Hi all thanks Sean for the blog and although we havent spoken yet the information you are providing is extremely helpful. Thanks for the brokers and financial people they have helped so far in getting over my fears and those fears are where will I be if I dont do it thanks for the all the information you and Jamie Angela and others are providing and thanks for the vehicle to quell fear.
Mal
May 31st, 2007 at 1:33 pm
Hi Mal,
On behalf of Sean and myself, I would like to say thanks for those kind words. It’s great to hear that you are getting over your fears. It’s all about the education. Keep on learning and you will get there.
Cheers
Angela Recchia
Universal Wealth Creation
May 31st, 2007 at 1:35 pm
Hi Sean,
I am in the middle of consolidating some of our debts and considering positive gearing what are your thoughts on this subject?
Kind regards Marnie.
May 31st, 2007 at 1:35 pm
Hi Marnie,
On behalf of Sean, welcome and this question is a good one to ask in the forum found at http://www.universalwealthcreation.com/forum
Please copy and paste this into your browser and browse around. You may even find your answer there already.
Cheers
Angela Recchia
Universal Wealth Creation