investing Archives - Page 2 of 2

March 1, 2018 by Greg Underwood

Here’s all that you need to know before you start precious metals’ trading

Maximizing returns, minimizing risk and increasing stability is something that every investor is looking for these days. Thus, a diversified portfolio along with investment in metals is the need of the hour. Metals show stability even in the time of economic uncertainty.

The global market is highly volatile these days. Still, precious metals like platinum, silver, palladium, and gold offer multiple advantages to the investors. Consumption and investors’ demand drive prices of these metals.

Gold remains to be the most preferred

Due to its worldwide usage in jewelry and the metal’s conductivity, malleability, as well as durability, gold remains to be the most traded metal in several markets around the world.

Various currencies and stocks remain venerable during a war situation, recession, banking sector crisis, or political crisis in the given country. Even in such conditions, gold often manages to retain its value. Whenever the global economy or real estate sector starts falling apart, investors from all around the world turn to this shiny metal as a safer alternative. Gold is often preferred by long-term investors as well.

Silver and platinum

If you are a short-term trader, you can consider taking a look at silver. It is regarded as an industrial metal due to its usage in multiple industries. The metal experiences a lot of fluctuations as its trade value is dependent on the country’s business conditions. Thus, silver is often looked upon as metal suitable for short-term trade.

Platinum is used in a variety of industries. The metal’s price is more than gold due to lack of availability and is often considered as an alternative to gold when gold’s prices start getting impacted due to overtrading. It can cost as much as 50 to 100 percent more than gold. Still platinum remains to be one of the less frequently traded metals.

The automobile industry leads the list of sectors that creates demand for platinum. The metal is also acquired by the high-tech industry as it is widely used in items like LCD TVs, batteries, hard disk drives, etc. Analysts believe the demand for this metal would keep on increasing during the next five years.

Palladium is a substitute for platinum

Palladium offers almost all the properties of platinum. It is dust resistant, ductile, soft, yet cheaper than platinum. Thus, it is used by several industries these days. Car makers use the same to keep control on harmful emissions during various stages of production. It is also used as a part of medical instruments, as well as in crowns used for dental fillings. Even in spite of all the uses, palladium often remains out of the list of most precious metals.

There’s a high demand for this metal in the emerging markets around the world, especially, where the automobile market is booming. Investors who do not wish to invest in foreign currencies and gold can definitely look at palladium as an alternative. Due to constant demand from heavy industries around the world, this metal’s prices would only keep on moving towards the upward direction.

Like other metals, investors do not have to buy the metal in physical form necessarily. They can opt for futures contracts, CFDs, or purchase ETFs of companies that are involved in palladium mining.

Need to consider risk factors

Of course, while dealing in metals in commodities exchange, you don’t need to deal with physical metal. You can either opt for commodity futures contract or select metal CFD trading while trading in the precious metal. You should also make sure that you have your risk management plan in place as such deal also involves risk factors. Using risk management tools can definitely help in controlling losses during bad times. You can surely go ahead and trade in metals if you are good at predicting ups and downs in metal prices.

No doubt that the rate of return remains low while trading in metals. But, when it comes to comparison between metals and foreign currency, metals stay one step ahead due to their intrinsic value. On the other hand, any national currency’s value can decrease or increase quickly.

Documentation remains to be the most crucial part when it comes to opening an online trading account. Don’t hesitate to share information about your net worth, income, and creditworthiness. You would also have to sign forms related to critical risk factors involved in such trading.

Of course, every broker would prefer dealing with someone who has the required creditworthiness, sufficient income and at least few months of trading experience. Thus, some brokers end up rejecting account opening forms of people who are not suitable for trading.

Create your trading plan before you start using the real account. Make sure that you understand the fundamental part while using trading platform’s demo version. Training will make sure that you do not make any errors while placing orders.

Once you receive the trading approval and your account is active, you would require adding a certain amount of funds in the account as the initial deposit. Deposit amount should be chosen according to the investor’s risk-tolerance and comfort level.

Control yourself from overtrading during the initial stages. Placing too many bets may not prove to be profitable. Always keep selective approach.

Choosing the perfect online trading platform

When it comes to choosing your online trading service provider, you should select someone who enjoys a good reputation and positive feedback from existing investors in the market. Someone like Admiral Markets can prove to be a superb option for experienced as well as new investors who wish to trade in multiple CFD products and CFD instruments.

They offer trading platforms in the form of MetaTrader 4, MT4 for OS X, MetaTrader 5, MT WebTrader, Android App, and iPhone App.

Their demo trading account offers live market like experience along with access to virtual funds of up to $10,000. Demo account can be accessed on multiple devices. Their quick start guide makes things really easy for new users. They provide education and analytical tools to users that can help in making well-informed decisions while trading. Deposits can be made in multiple currencies.

The organization is authorized by Estonian Financial Supervision Authority as well as the Financial Conduct Authority (FCA) in the UK. It also owns and operates multiple regulated trading companies in various countries around the world. The company’s customer support is available between 09:00 to 18.00 Eastern European Time.

January 25, 2018 by Greg Underwood

How Blockchains Will Change the Property Market

What is a blockchain you maybe initially asking? Well it’s a term that has become all too familiar in the property market over the past few years. News has been circulating about blockchain technology being adopted by most businesses in today’s era but what is it and what impact does it have?

Well, in simple terms, blockchain is a highly secure way of recording transactions, contracts and transferring data. The clever part is that if a blockchain is implemented the sensitive information it holds is not held in one place, but it is instead broken down into thousands of tiny ‘blocks’. These blocks are encrypted using advanced mathematical algorithms and stored on multiple computer servers, linked together in a ‘chain’.

This practice makes blockchain almost impossible to hack. Once a block is added to the chain ledger, it would need the best hackers in the world to alter them as all parties involved in the network have to run algorithms to evaluate and verify the proposed transaction against the existing blockchain. Then if the majority of the parties agree that the transaction is secure and legit, matching past activity, it will only then be granted and encrypted into a block to be added to the chain. This then means that the blockchain then becomes a mutually agreed, highly secure and precise log of activity, which is viewable in real time and is water tight.

So what does this have to do with the property market?

Well, this has the possibility to rejuvenate and change for the good how we do business and how financial markets work. From a purely transactional look, acquiring or selling an asset on the traditional real estate market is not known for being quick and easy, however, blockchain can speed up the slower, more tedious elements of the process. If we look more specifically at the verifying of title deeds. Holding title data on the chain allows quick changes and fast transfers with reduced chance for fraud or error, which could even lower insurance costs. Furthermore, this process could allow funds to change hands immediately and securely from anywhere in the world, taking many of the issues around calculating exchange rates and taxes out of the equation, and minimising the potential for theft or fraud.

When we apply this to property management, it means that rental payments are closely tracked on the blockchain and are traceable in their fullest form, reducing the auditing process and risk for possible mistake. In addition, service charges can be instantly invoiced and paid. A process, which is being heavily pushed with the property giants in the UK, one of the leading commercial property agents Manchester has to offer spoke of how this has been one of the best moves in the industry. The way in which is enables the opportunity of setting up full contracts visa the blockchain – which are digitally signed and automatically enacted – makes processes much quicker and easier for companies. By getting instant rent payments or funds for deposits, it reduces manual admin and time wasted waiting for physical evidence.

Blockchain may be a new concept that is still off being the norm, – and even despite the fact that test are still ongoing for it – it is increasingly being looked at as the solution to some of the most frustrating issues property professionals face.

January 14, 2018 by Greg Underwood

Hot Places to Invest Your Cash

I have been investing money in various areas ever since I retired and I seem to be quite good at it, well, so far at least. Thanks to the success which I have had, many of my family and friends ask me where I think the best place for them to invest their cash is. Now, this is a tricky question to answer because you can’t take risks with the money of others as you would do with your own cash. I thought then, that I would put together a short article, with my top 3 selections for where you should be looking to invest your money this year. The amount you invest of course is entirely up to you, and please don’t come knocking if it doesn’t work out, I am a fellow investor, not a professional.

Cryptocurrency

Many people think that the cryptocurrency bubble has burst after the alarming success of the likes of Bitcoin in the last 12 months. I can honestly say that after reading extensively about this new form of currency, I honesty don’t believe that the bubble has burst and in fact, I would say it is only just starting. Thanks to the guys at brokerage firm Prescott Regency, I managed to get in before it all blew up, but it most certainly isn’t too late to get started now. Before you start investing in Etherium, Litecoin or Bitcoin, make sure that you have a full and complete knowledge about what it is and how it works. Get in now, and you could make some very strong profits.

Real Estate

For anyone who is just starting out in the investment game, I would always recommend that they look to real estate first. The reason behind this is that real estate offers a far more stable investment that the like of stocks and shares, futures, or any other kind of investment. When you own a property you can physically see your money in front of your eyes, you can rent properties out to keep the cash flow coming in, or you could see quickly for a profit, the choice is yours. Naturally you should have a solid understanding of the real estate market and the things that impact it, before you decide to buy your first property.

Start Ups

Angle investment is the investment into new startup businesses and if you are smart about this, you could make yourself a great deal of money in the long term. Young businesses require private investment in order for them to get off the ground and if you believe in them and you are convinced by their strategy, you could invest in them and take a small percentage of their company. I would recommend that you pick a start up business that operates in a sector which have worked in, or that you fully understand, before you start investing.