After reading countless articles on investment, and learning about it from friends and family, you are now ready to take the plunge and try your hand in investing in the stock market.
One of the easiest way to do this is to do it online. To get started you need an online brokerage account.
Investing online can be beneficial to investment beginners. Here are three main reasons why it’s the smart thing to do:
1. Save money on fees
In the unpredictable world of investing, fees are the one thing you can control – no one can control how the markets move. So, making conscious effort to save money on fees would have your account balance thanking you.
The higher these investment fees go, the bigger dent it will be on your returns of investment, hence, paying less in fees is one of the easiest ways to get higher investment returns.
The traditional way of investment is through a personal financial adviser or private banker, who can also buy and sell stocks on your behalf. Most of them are professional, competent and capable. But they charge a much higher price to buy or sell stocks than what you would pay if you did it yourself.
With an online brokerage account, you can buy shares at a cheaper price, and you are doing it to make money for you, not for a private banker.
2. It’s easy
As with anything that requires you to part with your money, adequate research and homework should be done before making the ultimate decision.
Although investment can seem intimidating initially, it’s not something that can’t be remedied with a little effort in learning and understanding what you are investing in.
You need to learn the basics, understand how you want to invest and know how much risk you can tolerate – then you are ready to start investing on your own. You don’t really need a financial adviser to reach your investment goals if you are consistent in your investment.
Keep yourself informed with unbiased, easy-to-understand sources for investing and finance education. Look for articles online or books that can give you the insights and tools you need to make informed and practical decisions.
Most online brokerages have an investor education section as well.
3. It’s convenient
With an online brokerage account, you can check your account anytime and place trades at home or on-the-go whenever markets are open. All you need is an Internet connection and a laptop, computer or smartphone. You can also place trades with a real person over the telephone, if you prefer.
You can even buy and sells stocks in markets around the world, depending on the brokerage you choose. With a few clicks of a mouse, or taps on a smartphone, you can buy stocks in Singapore, London or New York.
Opening your own brokerage account is one of the best ways to start building wealth. It’s an inexpensive, easy and convenient way to take control of your own finances.
In conjunction with Truewealth Publishing, a Singapore-based independent investment research company, we’re thrilled to offer this free report to give you an idea on what to look for in an online brokerage, how to open an account and what’s being offered by Singapore’s most popular online brokers. It also tells you what to look for when placing your first trade and three pitfalls first time investors should watch out for.
Get the FREE report here.
For more financial tips and tricks to optimise your financial lifestyle, visit imoney.sg and learn all the best moves to make with your money.
Kim Iskyan is the founder of Singapore-based Truewealth Publishing and the editor of Asian Investment Daily. Kim has nearly 25 years of experience as a stock analyst, hedge fund manager, political risk consultant, and financial commentator in more than half a dozen emerging and frontier markets. He’s been quoted in publications like the Economist, The New York Times, and more. He has also appeared on Fox Business News, Bloomberg TV, and has written commentary for the Wall Street Journal, Slate.com, Salon, TheStreet.com, breakingviews.com, and other publications.
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