In this article, we will talk about how to build long-term wealth and make an easy profit from stocks.
There is a straightforward method that anyone can apply to accumulate money and make a profit. The most direct investment remains in stocks. And if you want to be successful, this requires a long investment horizon and a long-term investment strategy.
Although the language used by analysts and brokers appears to be quite complex, it is designed to give precisely that impression. In many fields, stocks are no exception, “experts” create their terminology intending to make this or that field difficult for you.
Practically speaking, the information is simple if you want to be a portfolio investor to make an easy profit from the stocks, and you don’t need to be a professional or old market trader.
You primarily need basic information about the companies you want to invest in and how they perform. You need to read and analyze these companies’ financial data and numbers and analyze their economic events.
We recommend that those who do not know about it look for a financial broker that will help them make an easy profit from stocks. Like Axia Investment, which offers educational tools and webinars on stocks and how to invest in them.
These are essential recommendations for gaining knowledge and understanding the mechanism and terminology to make an easy profit from stocks to build wealth in the short term.
How to make an easy profit from stocks?
For example, invest in stocks listed on a US stock exchange (shares in large, stable companies with excellent growth prospects).
The minimum amount to open an account with a financial broker is usually $250.
You can only open a trading account with the help of a competent account manager provided by the broker.
It is necessary to diversify your portfolio; for example, you can invest in 10 companies. If you are willing to risk a bit, you can invest a small portion in stocks with medium risk but higher growth potential.
However, we do not recommend investing directly in Forex, nor is it recommended for non-professional or experienced investors.
Invest the $250 you open your trading account with and invest $500 or $1,000 in savings per month.
We use the $1,000 you invest per month to buy the same shares you bought with the initial $250.
The income you will get is dividends, not an increase in the number of shares (because we can’t be precise when we talk about the future price of the shares).
In 20 years, you’ll end up with only $529,000 in dividends. This is the power of compound interest. In the 20th year of investing, you will have an income of $35,000 per year just from this simple initial investment.
Monthly stock holdings will help you deflecting risk because you will buy both growth trends and declines, thus flattening portfolio volatility as much as possible.
You can also add ETFs (from Axia Investments) to your portfolio to expose global markets and stocks.
In a time of crisis, you can readjust your wealth by selling shares to redeem them even at a lower price (when you are already more experienced).