A brief description of dollar cost averaging.
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A simple and brief explanation of cash dividends and reinvested dividends.
My brother-in-law recently decided he wanted to buy some stocks following a discussion we had around long term investing. However he has never bought shares before and asked me about the process. So this post is for him and others new to the stock market. It may look complex with all those charts and numbers but the good news is that in today's digital age, trading shares is simpler than ever. Just follow these two steps:
Stocks are looking cheap by historical standards and promise reasonable returns in the future.
When you are looking to purchase shares of any company, you should ALWAYS be comparing them to the industry and sector you find them in, as well as all of its major competitors. The P/E Ratio is a great starter’s tool for comparing companies’ prices.





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