In all my investment coaching I tell my clients who want to venture into stocks trading or investment, to do one thing and that’s what you should do before buying any stock in 2017.
And that is; READ MORE ABOUT EVERY COMPANY YOU DESIRE TO OWN.
Knowing more about the companies you buy or sell always gives you some upper hand and courage.
So get to work. And this is how;
On the Ghana Stock Exchange for instance there are about 35 listed companies. In 2017, target to read the Annual Reports, related news and learn more about what each of these 35 companies do.
You can dedicate one week to study about one company and before you know it, you will be more abreast with what’s happening in the Market and then you can make informed decisions.
Most of the information you will need can be found here (www.annualreportsghana.com)
Fast readers can take two companies a week and read on.
Do not be scared of the figures and do not worry about interpreting the financial statements. The goal here is to know what these companies do to make profit, nature of their business, what industry they operate in, who is on their boards or management, who are the top 10 or top 20 shareholders, and any other relevant information you will get in their annual reports.
Doing this will not only get you informed but also build up some zeal or interest in you towards investing on the stock market.
You can apply this principle to other Investments you intend to hold, being it real estate, mutual funds, fixed income securities etc.
Simple task that always pays. Enjoy reading.