Wednesday 20 February 2008

8.Do not borrow money to invest in equities

It is true that equities tend to outperform other investment avenues in the long run. However, there is no guarantee that you will make money on your stocks either in terms of dividends or capital gains, if your sale of shares is time-bound. Therefore, if you borrow funds to invest in equities, it might be difficult for you to repay the interest or principal on the loan, on time. What really matters in equity investment is your withholding power. So, invest your surplus money in equities and only invest an amount that you will not need in the immediate future. If you borrow and invest, your withholding power to stay invested for the long term could be limited.

1 comment:

Anonymous said...

Hi !.
You may , probably curious to know how one can collect a huge starting capital .
There is no initial capital needed You may start to receive yields with as small sum of money as 20-100 dollars.

AimTrust is what you haven`t ever dreamt of such a chance to become rich
The company represents an offshore structure with advanced asset management technologies in production and delivery of pipes for oil and gas.

It is based in Panama with affiliates around the world.
Do you want to become an affluent person?
That`s your chance That`s what you wish in the long run!

I feel good, I started to get income with the help of this company,
and I invite you to do the same. If it gets down to select a correct partner utilizes your funds in a right way - that`s it!.
I make 2G daily, and my first deposit was 1 grand only!
It`s easy to join , just click this link http://inesavyn.servetown.com/onomak.html
and go! Let`s take this option together to feel the smell of real money