Investment Basics

First off all I am not a professional investor and I have not invested any real money in the stock market. So any advice I give you here treat it as you like. I have studied economics and some financial courses as well as developmental economics. In addition I have spent a lot of time studying markets and some of the stocks I wish I invested in have become real money makers. So this is my investment strategy. I think it might be useful for those of you without any knowledge of investment. I also worked for as a student sales agent in a stock broker E*Trade bank. If you want professional advice go to a broker firm. Maybe this short outline can inspire you to invest in the stock market.

Markets are many and diverse and so are the investment strategies. I would prefer to invest in emerging markets particularly in South East Asia and China. Countries such as the Philippines have many real money making firms especially in the telecommunications industry. Thailand, Vietnam, Cambodia, Malaysia and Indonesia are other options. If I had to invest my money in a firm tomorrow these are things I would look for. How is the economy doing on a 5 year scale. How is the sector of the firm doing. How is the individual company compared to its competitors. What is the growth rate’s in stock price and in revenue the last five years. What are the market opportunities for that firm the next five years.

Then I would choose a company in a market which I had some knowledge of. Then I might use some statistical tool to determine if the stock value was correct or over or under priced. I might use price earnings ratio. The lower the price earning’s ratio the better. Then I would look at the board of directors to see if I trusted them and if they had experience in the field. Then I would invest my hard earned money in a company.

Philipinne Stock Exchange
http://www.pse.com.ph/

The German Stock Exchange
http://deutsche-boerse.com/

US Technology Stock Exchange
http://www.nasdaq.com/

US Industrial Stock Exchane
http://www.djindexes.com/

Tokyo Stock Exchange
http://www.tse.or.jp/english/

Thailand Stock Exchange
http://www.set.or.th/th/index.html