How to Invest in the Stock Market - Step-By-Step
The world of finance, particularly the stock market part, is intimidating to many people. Yet, investment decisions obviously play a huge role in determining future security, and the ability to provide for loved ones. Since the stock market is such an important component in most people’s investment portfolios, I wanted to make a simple enough video so that everyone can understand. Even my NON existing kids. I promise one thing in this video. I will make everything as understandable, clear and simple as possible. I won't sell you anything and I won't talk about a sponsored broker. How Does The Stock Market Works MORE PEOPLE OWN STOCKS TODAY than at any time in the past. Yet how many people have taken the time to understand what investing is all about? My suspicion is, not very many. Why does the market go up? Or sometimes goes down? Or does nothing? In fact it is highly simple... FIRST, Buy On Sale. “ON SALE” ARE TWO of the most compelling words in advertising. Imagine that you are in the supermarket, strolling down the aisles gathering your groceries for the week ahead. In the meat aisle, you discover that one of your favorites, Steak, is on sale—down to just $2.50 per pound from the usual $8.99 per pound. What do you do? You load up the cart while it’s cheaply priced. SECOND, Margin of Safety If your original calculations of the value of shares in a company like General Motors were too high or the car business unexpectedly took a turn for the worse after your purchase, the margin of safety in your original purchase price could still protect you from losing money. 0:00 Intro 0:58 How Does The Stock Market Work? 2:42 Why Choosing The Stock Market Over Other Investments? 5:09 FIRST, Buy On Sale! 6:00 Understanding Value Investing 11:35 SECOND, Margin Of Safety! 14:00 Apply Everything IRL 16:38 Outro
The world of finance, particularly the stock market part, is intimidating to many people. Yet, investment decisions obviously play a huge role in determining future security, and the ability to provide for loved ones. Since the stock market is such an important component in most people’s investment portfolios, I wanted to make a simple enough video so that everyone can understand. Even my NON existing kids. I promise one thing in this video. I will make everything as understandable, clear and simple as possible. I won't sell you anything and I won't talk about a sponsored broker. How Does The Stock Market Works MORE PEOPLE OWN STOCKS TODAY than at any time in the past. Yet how many people have taken the time to understand what investing is all about? My suspicion is, not very many. Why does the market go up? Or sometimes goes down? Or does nothing? In fact it is highly simple... FIRST, Buy On Sale. “ON SALE” ARE TWO of the most compelling words in advertising. Imagine that you are in the supermarket, strolling down the aisles gathering your groceries for the week ahead. In the meat aisle, you discover that one of your favorites, Steak, is on sale—down to just $2.50 per pound from the usual $8.99 per pound. What do you do? You load up the cart while it’s cheaply priced. SECOND, Margin of Safety If your original calculations of the value of shares in a company like General Motors were too high or the car business unexpectedly took a turn for the worse after your purchase, the margin of safety in your original purchase price could still protect you from losing money. 0:00 Intro 0:58 How Does The Stock Market Work? 2:42 Why Choosing The Stock Market Over Other Investments? 5:09 FIRST, Buy On Sale! 6:00 Understanding Value Investing 11:35 SECOND, Margin Of Safety! 14:00 Apply Everything IRL 16:38 Outro