American Depositary Receipts (ADRs) are stock in foreign companies that are traded in the U.S., just as you would buy and sell stock in America, and are valued in U.S. currency, thereby also paying money in U.S. dollars. American Depositary Receipts represent the acquisition of American Depository Shares, otherwise known as ADSs. Both ADR and ADS are often used interchangeably. What Are American Depositary Receipts? An ADS shows that you own a piece of equity in a company outside the U.S. Therefore, the certificate supplies individuals in the … [Read more...] about What Are American Depositary Receipts?
There is a right way and a wrong way to begin investing in stocks. But sometimes new investors have to learn the hard way. A coworker recently talked to me about investing in stocks for the first time. He was proud of himself for finally taking the plunge into the market to buy a few shares. And, then I asked him what he had bought. He said that he had bought a couple of shares of Ford Motor Company (Stock Symbol: F). He also bought a few shares of some other well-known blue chip stocks like General Electric, Dow Chemical, Walt Disney, … [Read more...] about You’re Wasting Money Investing in Stocks
I have a confession to make. For the past six months, I have been buying and selling stocks at a rapid rate lately. It hasn't been day trading, but I haven't held a stock for more than a week before selling it. I've been swing trading. I have been swing trading with a small portion of my investment portfolio. I have been buying and selling stock and holding shares for only a few days in the hopes of short term price movements. And, I am really loving it I have to admit. Like when I started playing fantasy baseball and it renewed my love … [Read more...] about Confessions of a Short Term Stock Trader with Swing Trading
The initial public offering market is finally starting to heat up again in the United States. This week three big named companies went public along with several others, and much more are set to begin offering shares within the next few months. And, of course, the talk of an eventual Facebook IPO and Twitter IPO has the internet and technology sectors of the stock market all a buzz. But, that doesn’t mean that it will be simple for the average individual investor to get in on the action, but it isn’t impossible. Two Ways To Get In On The … [Read more...] about Top Two Ways to Invest in the Hottest IPOs on the Market
Dollar cost averaging is a well established, tested, and extremely reliable approach to accumulate wealth. An investor who wants to put a lump sum of money into the stock market or mutual funds is wise to invest the money over a period of time in equal installments in order to avoid the devastating effect of a drop in the stock or mutual fund's share price immediately after investing a single, lump-sum investment. What Is Dollar Cost Averaging? Dollar cost average, or DCA, involves buying the same dollar amount of an investment at … [Read more...] about What Is Dollar Cost Averaging? – Advantages and Drawbacks