Thursday, April 06, 2006

Of Trading, Options and investing

History shows that if there is a place you can earn lots of money and consistantly, it is the stockmarket. For example, the New York Stock Exchange (NYSE) has over the past century, generated returns of an average of 11 %. (something like that la), which means that if you invested 1000€ in 1900, you'll have 30.6 million € by 1999. Impressive? Frankly, no. What if you add 100€ to your investment every month (not that hard right?), by 1999, you will have 402million €. Of course, other factor like tax rate, inflation rate, and broker fee will come in, but at the end of the day, there will be nothing like the stock market.

Personally, I first learnt seriously about it when I was 16 years old...at that time, it only seems like a distant reality, something that I could do nothing about. Now that I am in France, now that I actually receive my monthly allowance, I can finally start investing. I started scouting for a cheap online broker and spent lots of time comparing all their rates. After 1 week of comparing, I come to realize that I don't need a seperate online broker, my account with BNP Paribas will do. The next thing that comes into consideration was what stock I should buy: I ruled out all stock outside of France because the broker fees are too high for me to earn anything. i.e. 15€ from the side of BNP Paribas and another 15€ from the foreign broker, add in some taxes here and there and it will be around 65€ to buy and sell.

to be continued...

-gAvIn-

1 comment:

Bloggerbiz said...

Thank you for your blog. forex trading is a good way to make money online today.