Canada Investing - Selected Resources For Canada Investing

by August Leo

Up to about 20 years ago, share investing was purely in the domain of the wealthy. For most people it was difficult to trade in overseas stock exchanges, there were no such thing as cash management trusts, installment warrants, exchange traded options, dividend imputation, reset preference shares and endowment warrants - to name a few. Now about 50% of investors are "mums and dads" investors who either own shares directly or in managed funds. Unfortunately, in recent years many investors have been "burnt" because they did not understand the risks of investing in financial markets.

Governments around the world have made it clear that it is important for people to take control of their own financial futures. The sustainability of government funded pensions is under pressure. If you do not save and invest, you will suffer a significant decline in your retirement living standard. The average life expectancy is about 80 years, so if you retire at 60 years of age, the savings you have accumulated in the 40 years of your working life will need to fund your retirement of 20 years or more.

Deregulation of financial markets, interest rates and currencies means that the market determines the value of investments and not government decree. This provides opportunities for educated investors to build wealth and for unwary investors to lose wealth. You must understand the opportunities and risks.

The ground rule is that if you want to be a successful investor in financial markets, you must educate yourself about investing. Even if you put your faith in a licensed investment advisor, not all are competent. It is essential that you understand how the financial markets work so that you do not put your hard earned money in the hands of an incompetent advisor who is only interested in the commissions available. How can you tell whether a particular investment is right for you? The only sure way is to become familiar with the language used in the financial industry and to have a sound investment strategy. Does this mean that you should keep you money safe by putting it under the bed or keeping it in the bank? No - but you do need to understand the risks involved and set ground rules for successful investing.

There are a number of ground rules in investing that haves stood the test of time. With time, patience and effort you can become a successful investor in all the areas that are open to you. This will not come overnight and you will have to be prepared for that fact there will be times you lose money. However,perseverance is a virtue above all others. The road is not always easy, but nothing worthwhile is.

Here are the ground rules for successful investing:
1. Be your own investment manager. No advisor or stockbroker should do it for you. Only you know what your real needs are, what your temperament is - and only you are motivated by your own best interests, not sales commissions. It is also more fun to do it yourself;
2. Confront risk and then reduce it through spreading your investments;
3. Take a contrarians view to investment markets. That is, look for opportunities and do the opposite of what everyone else is doing;
4. Do not be put off by investment jargon. Master it instead.;
5. NOW is the best time to start investing. Do not wait for the markets to improve. If the share market is filled with gloom, that is the time to buy;
6. Make good quality shares the core of your investment strategy. Then you can rest easy when you invest in more speculative areas;
7. Always consider tax implications of making investments but never let tax minimization be the main objective. The fundamental rule is to think in terms of after-tax returns;
8. Keep up to date through reading the financial papers and searching independent investment research websites;
9. Discussing investments is stimulating. Condition your mind to talk to others about investing, especially people who are more experienced and knowledgeable than you are;
10. Do not be greedy. Discipline yourself to cut your losses with bad investments and cash in when you have made a reasonable profit;
11. Be patient. Rome was not built in a day. Similarly, you may not become wealthy overnight, but you will over time;
12. Never invest in anything you do not understand. If a particular investment sound too good to be true , it usually is;
13. Pay yourself first. Most people invest money they have left over after paying the bills. Allocate yourself the first 10% of your monthly income to build up your investment capital. By doing this you will force yourself to become an investor and the long term benefits will be enormous.

If you master these 13 ground rules, you will be a successful investor. You will rival so-called professionals and will sleep easily at night knowing that money is the least of your worries.

About the author:
August Leo is the owner of AllTradingSecrets.com a fine website that offer free education facilities to their visitors. The other site he maintained is AllTradingBooks.com a complete resources for smart traders. He is also a practising in Stock & Options Market

Visit the site: http://www.AllTradingSecrets.comand http://www.AllTradingBooks.com

Yahoo! News Search Results for canada investing
Yahoo! News Search Results for canada investing

HEAL acknowledges federal government's commitment to investing in Canada's he...
7 Mar 2010 at 9:40pm
The Health Action Lobby acknowledges the federal government's continued commitment to investing in Canada's health system through the Canada Health Transfer, which will increase by 6% for each of the next four years.
Q&A with Blake Hutcheson, chief executive, CB Richard Ellis Canada (MalaysiaNe...
10 Mar 2010 at 3:32am
He left for two years to run the global real estate arm of New York-based Mount Kellett Capital Management, but long-time CB Richard Ellis Canada chief executive Blake Hutcheson has landed back in Tor...
Canada Urged to Seek Nuclear-Free Arctic Zone (CommonDreams.org)
10 Mar 2010 at 8:50am
by Juliet O'Neill Calling for the creation of a nuclear-weapons-free zone in the Arctic is not alarmist, says an academic report as foreign ministers of the world's Arctic nations prepare for a summit in Canada later this month. While the threat of nuclear-weapon use in the Arctic may be nebulous now, the ground should be prepared for potential future confrontations over competing claims for ...
Government of Canada Supports Major Renovation and Expansion of Innu First Na...
10 Mar 2010 at 8:39am
OTTAWA, ONTARIO--(Marketwire - March 10, 2010) - The Honourable Chuck Strahl, Minister of Indian and Northern Affairs and Federal Interlocutor for Métis and Non-status Indians, today announced the start of construction to renovate and expand the Uauitshitun School in the community of Natashquan, Quebec. This project was made possible thanks to an investment of $6.4 million under Canada's ...
Canada urged to seek nuclear-free Arctic zone (Canada.com)
10 Mar 2010 at 1:31am
Calling for the creation of a nuclear-weapons-free zone in the Arctic is not alarmist, says an academic report as foreign ministers of the world's Arctic nations prepare for a summit in Canada later this month.
Government of Canada Supports Major Renovation and Expansion of Innu First Na...
10 Mar 2010 at 8:30am
OTTAWA, ONTARIO--(Marketwire - 03/10/10) - The Honourable Chuck Strahl, Minister of Indian and Northern Affairs and Federal Interlocutor for Metis and Non-status Indians, today announced the start of construction to renovate and expand the Uauitshitun School in the community of Natashquan, Quebec. This project was made possible thanks to an investment of $6.4 million under Canada's Economic ...
Canada Now Somewhat Less Anti-Startup (Washington Post)
8 Mar 2010 at 8:40am
Canada isn't shy about making life difficult for startups, and we've had one or two personal brawls with the country as well. But a change in Canadian tax law last week is designed to spur U.S. venture investments in Canadian startups and make Canada less of a leper colony for tech entrepreneurs.The change allows foreign investors in most Canadian startups to avoid "literally hundreds of pages ...
Elk Hills Petroleum Canada Ltd. to invest $3,000,000 to acquire 50% of Elk Hi...
8 Mar 2010 at 7:30am
OTC:BB: SRRL HENDERSON, NV , March 8 /PRNewswire-FirstCall/ - Stellar Resources, Ltd. (OTC Bulletin Board: SRRL.ob - News ), is pleased to announce that Elk Hills Petroleum Canada Ltd. (EHPC) has agreed to invest $3,000,000 to acquire a 50% interest in Elk Hills Heavy Oil, LLC (EHHO) currently a wholly owned subsidiary of the Company. EHPC shall acquire a 50% interest in EHHO by investing US$3 ...
Demand for Lithium Is Poised to Take Off (New York Times)
9 Mar 2010 at 3:20pm
With the promise of hybrid vehicles that use lithium-ion batteries, mining companies are investing in new sources of the metal.

Ground Rules for Successful Investing