Investing strategies by age Essay -- essays research papers

Investing StrategiesPre-C arer (16-25) During this assignment period in my look my goal is to have safety of principal while still receiving income. This is a very wretched risk portfolio strategy. Income volition most li able-bodied(predicate) be low because I will hopefully be enrolled in a post secondary education and graduate school. During this prison term I will be taking very minimal risks by commit in securities such as T-bills, Canada, g all overnment and corporate bonds, stalwarts (blue chips), preferred shares, and possibly cardinal or three small cap arguments in order to radiate my portfolio as comfortably as incorporate some risk into it as intimately. Blue-chip stocks are very reliable and low risk because they are large companies with millions of assets and a great investing for this stage of my breeding.Early geezerhood (25-35) This sequence in my bearing will hopefully be angiotensin-converting enzyme where I am able to spend a proportion of my income on investing in order to grow my portfolio. Hopefully at this floor of my life I will have a high paying(a) job after graduate school and will have income to spend. Although interchange would be tight when attempting to raise and support a family, the portfolio must be balanced as well. Therefore, having money equally spread out amongst bonds, blue-chip stocks, and small caps would be the best scenario to grow my portfolio as well as keeping the risk at moderate degree. I would direction on all five types of stocks that I have previously researched even I will still have less money in speculative and potential turnaround because the risk is quite high.Establishment class (35-55) This is a very important investing stage in my life because I will have the money to be able to invest freely as well as be quite vulturine in the way I invest. The securities that I will most likely invest in are moderate to high-risk securities that can shekels in high return. Investing in a few undertake bonds for my possible childs education and for safety of principle. As well as some blue-chip stocks, and mainly higher risk stocks such as cyclical, speculative and potential turnaround. These stocks are the best for growing my portfolio, although they do pose a high risk, at this point in my life I will be able to afford the loss. The key to this time in my life is to use risk to my advantage and be able to receive capital gain and dividends.Pre-Retirement Years (55-65) This time period in my life will be mu... ...s on the economy. When the economy is doing well, the risk is low and visa-versa. AlarmForce The AlarmForce Company is a growth stock because of the constant growth that it has had over past years. The best stage to invest in this stock would be when you have a relatively moderate-low risk investment portfolio. This is because the growth stock usually rises at a slower pace but continues to rise, whence the best period to invest in this stock would b e during the early on years and the pre-retirement years because there is growth needed, but the risk take aim is moderate-low.Dimethaid Corporation The speculative stock that I researched was Dimethaid, which is a drug source and fabricator. This is one of the riskiest stocks that I researched because of their unstable history and their fluctuating stock prices. The time that I would choose to purchase this investment would definitely only be during the establishment years. This is because it is the only time when I will have emancipation to invest in companies and I will have a often higher risk tolerance. Because the stock is high risk, this is the only reasonable investing period where I can afford the loss of the original investment