Investing in the Stock MarketWritten by Charles M. O'Melia
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And then there are those words in English language where their meaning appears to be backward, so to speak - like parkway and driveway. When my car is parked at home, I would think it would be parked on, well, a parkway -and when I'm driving on road somewhere, I would think I'd be driving on a - a driveway. In stock market world, I think word analyst is a perfect word in English language and stockbroker sounds right to me ,too. And this leads me to what I call brainwashing mantras of Wall Street. The brainwashing mantras of Wall Street may take form of a number, such as a stock rating of 1, 2, 3 etc. Or mantras may be a star, 1 star, 2 stars, 3 stars etc. The mantras may be a word or a group of words - attractive, unattractive, neutral, market perform, market out-perform, market-underweight, market equal-weight, market over-weight, sector perform, stong buy, buy, sell, strong sell. These mantras are so ingrained in Wall Street and investor's minds that they have created multi-billion dollar industries. There are other types of mantras, such as RSI (relative strength index-a trading volume indicator), Bollinger Bands (named after its creator John Bollinger(he use to be a regular on CNBC)and bands deal with channel a stock trades in,in relation to its 'moving average'- another mantra). Stochastics (used to tell if a stock is 75% over-bought - too many people have been buying) or 25% over-sold (too many people have been selling), Momentum, MACD (Moving Average Convergence/Divergence-price of stock in relation, up or down, to its moving average, 50-day, 200-day moving averages, triple bottoms and tops, pendants, flags, bear and bull markets, head and shoulders formations, double bottoms, PE ratios etc,etc,etc. All these mantras serve a purpose -(and, I admit, if you are going to trade market they are useful)- they create commissions! And in my opinion, have no meaning what-so-ever for long-term, dollar-cost averaging, buying investor of company's shares, free of commission charges, whose companies raise their dividend every year, with investor's idea or purpose being to provide an 85% tax-free income, through ever-increasing dividends for rest of their lives, no matter what price of stock at any given time in market place be. (Whew! What a sentence!)For more information on 'The Stockopoly Plan' visit website www.thestockopolyplan.com or send an e-mail - mailto: charles@thestockopolyplan.com
An indiviual investor with almost 40 years of experience and passion for the stock market. Author of the book 'The Stockopoly Plan', soon to be published by American-Book Publishing. The introduction to 'The Stockopoly Plan' and excerpts from the book can be found at http://www.thestockopolyplan.com
| | List Your Company in the StatesWritten by William Cate
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As with many things in Financial Industry, Investor Relations costs are often set by ignorance of buyer. Be certain that you aren’t being charged far more than marketing service costs other public companies. Define your target market for shareholders as long term investors. If you attract small capital speculators that populate OTCBB Market, they will sell into any share price appreciation. Why have them sell your shares at a high price to long term investors? Let shareholder who will support your company profit most from your Target Company vision. Small Capital Investors buy shares motivated by greed. However, that greed must have a credibility component with it. The best credibility component is investor’s ability to buy Target Company’s product or service in their local area. A company selling something they can buy is credible. I believe that American Small Capital Investors make unlikely long term investors. I think Investor Relations techniques used in United States are not as effective with American investors as they would be else-where. The reason is that American public is over exposed to effective marketing techniques. In most of World, local population distrusts local currency. They tend to unwisely trust American Dollar. This viewpoint is a major reason that GRCM works outside United States. Owners of cash-producing assets want payment in American Dollars, not local, restricted currency. The principle applies to potential long term shareholders in these countries. It would simply be a variant of Five Step Path tactic. For these reasons, I’d advise Target Companies to target their Investor Relations efforts within their own region. They are credible to investors because their product or service can be found locally. They are more likely to respond to an Investor Relations appeal. They may want to hold their assets in American Dollar denomi-nated securities. It costs less to run an Investor Relations program outside United States. The Internet gives all investors and shareholders adequate access to relevant stock information. It costs money to be able to print your own money. The costs are worth it, if you use your shares to build your company. The potential leverage will compress development of your into an acquisition target to a few years. It will leverage your company’s value because your Target Company will be valued in American Dollars at Market Capitalization (Share Prices times issued shares). To contact author: Visit Beowulf Investments website: [http://home.earthlink.net/~beowulfinvestments/] Or, visit Global Village Investment Club Website: [http://home.earthlink.net/~beowulfinvestments/globalvillageinvestmentclubwelcome/]
He has been the Managing Director of Beowulf Investments [http://home.earthlink.net/~beowulfinvestments/] since 1981 and is the Executive Director of the Global Village Investment Club [http://home.earthlink.net/~beowulfinvestments/globalvillageinvestmentclubwelcome/]
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