This is article will help you to become a billionaire with the help of stock market. Well, this seems impossible when we listen it at first. But believe me this is possible. History has seen many billionaires who were self made and earned maximum part of their money through investments in stock. The greatest example is Warren Buffet sir. He started investment at a very young age and today he is the third richest person in the whole world. Don’t worry if you have not started investment since childhood because you can start it even now and you can also learn it even today also. This is not gambling that is not having any importance of your brain. You need to use your brain to make the most out of it. You need to study investment. But if you work hard in stock market, you can be rich.
If you fear that you will lose money in the stock market then don’t worry. I am having something for you. Just click hereand then you will go to one article that will help you to do investment without losing a single penny. So learn a few things from there and then again come here to know these tips. I want to be very true, that this is not going to happen overnight, but this will require months. So you need to wait for months. In the starting, you will not be earning much but keep investing. It is because later on, your money would be increasing by doubling in the day and quadrupling in the night. You need to wait to reach at that stage. Lets start this article which will help you to become a billionaire through stock market, but you need to put effort.
- Take time and study the market
You need to take time to study the market at first without investing. You can’t start by investing directly into the stock market. Try to study what actually is stock market, and why is it present? If you don’t know then keep reading. When companies want huge amounts of funds, and they can’t get that from anyone then they go public and register in the stock market. They sell some stocks of their companies to the public and they get investment. Some companies go public just to grow bigger or when the number of investors increase significantly. So they leave all these issues and register at the stock market. Then public tries to buy those stake, if you don’t know why then keep reading? They do so because they think that company will perform better in future and make good money.
In this way, they can sell the stocks to someone else at a higher price. In this way, they will get benefited. And many companies, give dividends also. Dividend is the money which some companies pay to their investors according to the amount of their investments. They pay dividends when the company’s revenue increases or is expected by the officials. The company does this attract more investors. The stock price of the company increases and the company becomes more valuable. This also gives the reason to investors to buy their stock. Investors are attracted to them because they want to earn benefits. And the company in also getting benefit from this so it also does this. In this way, both are happy with each other and this means that this is a good company if its users and investors all are happy with it. Have you understood everything?
I think now you know a lot about stock market, but it is not enough. Study the market continuously and never stop doing it. Even Warren Buffet studies the market all the time. The market is not the same everyday. So be aware of everything in the market. Remember everything which you have read above and then study all the tips below. You can easily associate them with the points above. You need to develop your base. I tell you a story of Facebook. When Facebook it actually didn’t need investment very much. But they went public because they wanted to grow big. When a company goes public then its officials and early investors earn a lot of money. So this is also a reason for companies going public. The other reason was that the number of investors increased so they loaded this responsibility to the stock market.
- Study about the companies getting most fluctuations
This article is about becoming billionaire so I will not talk about safe things. For knowing the safe ways go there, but this article is just about becoming extremely rich so this is risky. By risk I don’t mean gambling, remember. So this article is about taking calculated risk. Taking calculated risk is very necessary for becoming successful in this sector. But it is also very important in other sectors also for becoming very launch. So check which companies are getting the most fluctuations. Fluctuations mean that how much does the price of the stock of different companies change. So try to analyse which companies are getting the most fluctuations. See what is their minimum price is the recent days, and which is the maximum price of the stock. You should invest in these companies because they can increase your money very much quickly. Become very rich quickly.
You can buy these stocks at a lower price because some people don’t want to take any risk so they may sell you such stocks. You need to find the perfect seller which can help you. Wait for the price to fall and then buy the stock. Then when the price is at its peak try to sell it at maximum profit. You even need to pay tax after selling, so decide should you sell or not? If price is increasing with fluctuations but you could see that the price is increasing overall so try to buy more stock in the same company. If the stock reaches new heights and you have many stake then it may help you to become rich or billionaire. But it is about your mind, so think before selling or buying more stock. But steady stocks can never make you billionaire I promise.
- Check new companies that go public
It is extremely simple logic. Buying a baby horse is cheaper than a mature horse. If your choice was right then the horse will win many races for you and if it was wrong then sell it to someone else. You can sell it at little profit or approximately same price. And I say that the chances of profit are more than the chances of loss, if you use your mind to choose the baby horse. I don’t know how to choose a horse, but I know how to choose a stock to buy. Take a look at new companies registering in the stock market. Initially, the price is always low. They want can’t afford to set any price, because then very few people will buy the stock if the company does not worth that much. So check new companies and try to buy the stock.
If it is right choice then I don’t need to say anything but if it is incorrect then don’t worry. Just forget for a few months that you have those stake and then when the price recovers approximate price then sell it. Absolutely, it will recover or at least the company may give dividends that will recover the price. But I want to mention something. This is a story of Facebook. When Facebook went public the stock was good but then it started declining continuously for many months. But later on, the price overcame and now Facebook is one of the richest companies in the world. If you would have bought its stocks at that time then today prices have gone significantly high. You would have earned a lot or you could have been a billionaire if you believed on it by heart. So try it.
- Don’t just check the stats but study about the company
I want to say that a good investor analyses the stats of stock price perfectly and make good decisions based on that. He can analyse which price is going high and which is going down. On such calculations he decides what to do. He checks which company is doing well at stock market. This is the basis of the investment made by a good investor. He invests his time in studying the stats carefully. He predicts near future that what could happen to the prices of the stock of the company in which he is investing his money. This is the reason that he is a good investor. In this way, he makes a lot of money. He remains active and sell the stock of the company which is not doing well and buys the stock od the company which is performing well in the stock market to increase profits.
But great investors, like Warren Buffet, do something extra which makes them more successful than other investors. They don’t only check stats of the price of the stock but they also study about the company. They study that how does the company operates, what is the main aim of the company, what is the attitude of the company towards his customers, and much more. The more you study about them, the more successful you become. This thing helps them to predict long term future. Suppose the stock price of a company is still today, but that company is investing in future. For example, in the early years Amazon was not an instant success from the point of view of investors. But the reason was that the company was investing on future. And today, when the future arrived, Amazon is one of the richest companies in the whole world.
- Invest all the money at one stock
I know that what you want to say, that this is extremely risky, you could lose all your money or this is not practical. I know that this is not common. Many people avoid this thing. You may be among a few who are doing this. But I also want to ask a question, if being billionaire was so easy then why everyone has not been a billionaire? Billionaires are not on percentage, they are in numbers. There are 2208 billionaires in a population of 7 billion. So you can’t expect it to be easy. Actually, the motive is that when the price of the stock will increase then suddenly, your wealth also increases by the same pace. This will also reduce your tensions and stress of work. But don’t invest in any stock, wisely choose the stock which is going to make you very rich.
You can loose all your money at once, but this risk is stopping many people from being a billionaire. The method which you need to apply to choose the stock is told in the above paragraph. You need to see the working of the company. Then you can choose the perfect stock for you. This does not assure becoming a billionaire but your thinking and your choice assures that. The more time you spend in studying the market, and different companies, the lesser will be the chances of your failure. You can increase the amount of your profits in the same way. So take your time and once you are prepared then use this advice. This is not for beginners. Once you become used to the stock market, then use this tip. Don’t be in a hurry to try this. After a few months, you can try this.
- Read articles and magazines related to stock market
They are extremely important because they will help you to know about the market. They will tell you what you have missed. You can take risk to not know any particular thing. So always read these magazines. They will even help you to know the predictions of the experts about the stock market, and different companies. So this point is the base of the stock market success. They will inform you about the new companies registering. So subscribe to a magazine to read articles. But a very important point, don’t subscribe any magazine. You need to choose the correct magazine for you because it will decide the future of the stocks which you will buy. So don’t read any magazine, only read trusted magazines. If you will study wrong magazines then you can take wrong decisions because your information is wrong. So be careful about it.
But a very important thing, many things would be published and may be that a few are not correct. I don’t mean that they are wrong but I mean that their perspective is different and your will be different. So read them, but don’t believe on them. Try to get information from them and then analyse the information and then think what to do. Don’t always believe what is published there. You need to think yourself. Don’t believe anyone else.
- See what other great investors are doing
You should keep an eye over what other great investors are doing. I said, keep an eye, I don’t say follow them blindly. You should try to analyse that why are they investing in that company. What could be the reason? Then if you liked the opinion then invest otherwise don’t buy the stock. This thing may require time, but do this. I know that if I am saying great investors, then their decision would not be so stupid, but this thing can help you to develop the habit of thinking about the future. If you are new, then initially you can follow them blindly. But in the long term, this is very harmful for you. It is because you can’t develop the mentality of deciding what to do. You would always remain dependent on others for your investment strategy. So leave this habit.
- Train yourself before competition
This is very important and people don’t follow this and then say that they are having a bad luck, and other things. They say, they prepared themselves well, they did a lot of training and hard work. They say that they read a lot of books, but if you ask them from where did they learnt the skill of investment, then they are silent. Reading books is not learning the skill, it is just information gathering. Even analyzing everything is not learning the skill. Any skill is learned by practising. So do you practice it? I know that this is not so easy. But by practice I mean, that you should invest little amount of money at first. You should do practice of this thing. Then once you are confident, and you could predict the future, you should invest huge amounts of money. You need to learn this.
Once you are comfortable with little money, then invest more money but in many stocks. You can’t use the fifth point so quickly. If you will try this then you are going to face a loss. So you need to practice more, before you can use that tip. I believe that you have gathered enough information to start low investments. But please read the the other two points also because they are also very important for your success in the stock market.
- Don’t afraid with initial loss
If you invested small amount of money, and you face a loss. Then you don’t need to afraid. This was not a test, this was just practice. Again invest small amounts of money, so that you can learn. I hope, that this is one of the best practices. I could have said to imagine that you invested money, then what could be the loss or profit. You could easily judge that by knowing the prices, but I said, invest because this will leave a deeper impression on your mind and you could perform better. It is because you will learn more by this method at small costs.
Once Warren Buffet bought 3 stocks in the childhood. It was the first he bought it. He bought each for $38. Then price of the stock fell and he became nervous, as he was a kid. Afterwards, as the prices of the stock recovered he instantly sold his stocks. Then after a few months, the price went to $250 each stock. He was extremely sad, but this thing taught him a lesson to be keep patience. So learn from him and don’t be afraid with initial loss. Be optimistic. This will not only help you to become successful in the stock market, but this will help you throughout your life in every field.
- Clear your stock from the company which is not innovating
If the price is good of a company, and you think that the company is not innovating, then it is the time to clear stock of that company. The company may be having money at this time but soon it will lose all the money. The company will not get huge funds later on, because no one will use it because it is not innovating. Only the stock price is not everything. If you will keep your stock there then this will be a stupidity.
When Steve Jobs was out of Apple, company was making good money by the sales of Apple II. But the company lost its way of innovation and then the company started declining. The company was on the edge of bankruptcy, but Steve Jobs returned and saved the company, and today Apple is the richest company. So if Apple could go near bankruptcy, then any other company could also decline if they are not innovating. So you should see that whether the company is innovating or not. This should be one of the factors by which you buy any stock. Another example is of Yahoo. I don’t think that I need to say anything about this incident because this is so fresh. Once Yahoo offered to buy Google and once, Facebook. But today these companies are at another level and Yahoo bought by Microsoft.o