Back to the Basics: Useful Tips on Investing
Sometimes, the most effective thing you can do is simply go back to the basics.
A great opportunity mentioned in the infographic is emerging markets. The East is the clear choice of regions to look to when considering foreign investment. According to Bloomberg, China, South Korea and Malaysia are the top three emerging markets. These nations have all experienced noteworthy growth in their GDP, with China seeing a whopping 7.35% growth. Here’s a list of the best emerging markets of 2014, courtesy of Bloomberg.com.
It is important to remember that even though some companies receive outrageous valuations due to industry or media hype, only buy stock that trades at a reasonable valuation. Markets will correct themselves in the long term and hype can only last for so long.
Penny stocks have a bad reputation, but they should not be overlooked. If you are willing and able to take the risk, they have the possibility of being incredibly profitable. As Warren Buffett is quoted, “the most successful investors have iron nerves and are willing to take smart risks.”
Here are some tips from the man himself Mr. Buffett on investing in the stock market.
Original infographic from: TimothySykes.com