GROWING WEALTH THROUGH STOCK INVESTING
It is common to have read in the newspapers or heard from television news programmes, a phrase that goes "The Straits Times Index ended at 3,306.1 points, gaining 0,2".
Those who invest in securities and love financial markets would probably eat, drink and breathe its movements, while other might vaguely understand the concept of such investments.
Stock investing is just like any specialised form of investment, it has its jargons, its own rules and it fundamentally involves taking an amount of money and growing it to maximise profit. Hence, to grow wealth and have a good diversified investment portfolio, investors can opt for investing in the stock market
potential high returns of stock investing
The general rule of thumb is that the more time money is invested, the more money will grow. The mechanics of stock investing leverages on this compounding effect through long term investment in a well-diversified portfolio which includes stocks, REITs (Real Estate Investment Trusts), business trusts, ETFs (Exchange Traded Funds) and bonds. When Q&M Dental Group Limited was listed on the Singapore Stock Exchange in 2009, its IPO price was at S$0.27. Now after 8 years, its share price has risen to S$0.62, reflecting an increase of 130%, and this excludes dividend income over the same period. Stocks such as these give investors above market returns.
Building a solid and strategically constructed stock portfolio can offer high returns to investors over time and would even withstand the volatile cycles of the stock market. An experienced investor would know the many methods to investing that reaps positive returns. The widely used methods include value investing, growth investing and income investing. However, the best mode to investing is by performing trades and learning from the experience to improvise and create a consistent and personalised investment approach.
Head of Retail Equities of RHB Securities, Raymond Chin, has a simple tip for beginners, "Set aside a fixed amount every month to purchase blue chip companies. As Singapore Exchange listed stocks are amongst the highest dividend payers in Asia, this would be one of the approaches to quickly build wealth through stock investing.
investing at your fingertips
The first step is selecting a suitable brokerage to perform trading activities. A right firm offers compatible trading fees, full brokerage services with comprehensive support for trading, access to established markets such as Singapore, Malaysia, Hong Kong and the United States as well as an easy-to-use online platform.
Conventional stock investing is ever-evolving with time and the implementation of electronic trading has significantly increased access to the different stock markets around the world. RHB Securities introduced its RHBInvest online trading platform with unique features including global trading in Singapore, Malaysia, Hong Kong and US markets, live charting tools, schedule trades, mobile trading app and stock recommendations by RHB's award winning research institute. Newbies to stock trading can get to test the waters with an online demo account. To start trading or for more information, contact RHBInvest's Helpdesk at +65 6438-8810 or email to firstname.lastname@example.org.