Investing In Shares Or Bonds :: What You Need To Know

Investment decisions are very difficult to make especially if you are not a financial analyst and it sometimes become even scary when you have no financial literacy background. The reason is simple; you are making a decision that might make or unmake you, or turn your whole life worth of savings into some few pennies. Even though financial analyst and investment brokers are there to advice you on what investment vehicle suites your need, it is usually better and much safer if you understand the basis of what these ‘experts’ are offering you. In this article, I will be comparing two major investment vehicles which are increasingly popular in the ‘investosphere’ – shares and bonds.
Shares literally mean parts of the whole and that is exactly it’s meaning in investment. It refers to part ownership in the entity whose share your are buying. Therefore, after buying the shares you legitimately become part owner of the company. The extent of your ownership depends how big your piece of the cake is. Owning a few hundreds, or thousands or even hundreds of thousands of the shares simply give you certain basic rights such as voting at annual general meetings or passing of certain emergency general meetings.

This form of ownership is referred to as non-controlling interest – because you have limited control in the business. However, if you own a very significant number of shares, usually 50% plus 1 shares, you are able to make any decision at all including but not limited to changing the company’s name, removing the directors, deciding on acquisitions and disposals, changing the company’s name and even changing corporate colors and location of headquarters if you so wish, except when a special resolution has being passed to limit the decisions that you may take and you voted in favor of that decision. This form of ownership is called Controlling interesting – because you have greater control in the running of the company.

Shares generally come into two forms namely ordinary shares and preference shares. Ordinary shares do not receive variation in income and such incomes are tied to the performance of the company. Preference shares however receive fixed income and such income may or may not be tied to the performance to the company. This makes preference shares less risky than ordinary shares. It is worthy to note that there are a lot of difference between ordinary shares and preference shares but for the sake of this article, I have only cited the most prominent and relevant one above.

Revenue from shares basically comes in two forms; dividends and capital gains. Dividends are the annual returns that the company pays on each share based on the performance of the company and it is entirely a decision made by the directors. They vary from year to year to year and as they are based on the performance of the company, previous years’ dividends practically are no indicator of future dividends. One thing worthy to note is that the fact that it is based on performance does not mean a company that pays dividend is doing well neither is a company not paying dividend automatically doing bad. Ideally, the only time a company should pay dividend on shares is when the directors are unable to identify any projects that yields returns more than what the individual would earn investing his dividend.
The other part of revenue from shares is the capital gain. Capital gain is the appreciation in the value of shares over a period. So if you bought 1,000 shares for $1000 a year ago and today you could sell the same 1,000 share for $1,300, the $300 difference is the capital gain. Capital gain rises as the company’s performance increases, the company invests in positive returns project and also when investors’ perception of the value of the company grows in a positive light.

Bond is a financial security that indicates a contract to repay an amount borrowed together with accrued interest at a future time. The bond is issued by the issuer and the company to whom the bond is issued is called the bondholder. Unlike that of shares, the bondholder does not become part owner of the company however he is a creditor to the company. Depending on the terms of the contracts and the type of bond however, the company may have to consult the bondholder before certain decisions are taken by the company. A bond may be a secured one, where the bondholder has a lien over some properties of the company in the event of liquidation. The company may also have to consult the bondholder before significant actions are taken on the properties such as using them as collateral, disposing them off or replacing them. An unsecured bond however, which may also be referred to as a floating bond, do not give the bond holder right over any specific property of the company. In the event of the liquidation therefore, the holder of the secured bond has priority over that of unsecured bondholder. Because of the riskiness of unsecured bond, holders are usually compensated with higher interest than that of the secured bond.

Revenue from bond is basically the interest payment which is usually paid half-year or yearly. The payment is referred to as coupon payment. Normally bonds may be convertible or non-convertible. Convertible bonds are those that can be substituted for shares in the company as per the contract whiles non-convertible do not have those option.
Before you decide to invest whether in shares or bonds, you must therefore note the following.
Ø Shares make you a part owner, bonds do not. It only makes you a creditor.
Ø Shares (ordinary shares) fluctuate in earnings, bonds have fixed earnings.
Ø Shares are basically tied to the performance of the company, bonds are not.
Ø Shares are easily tradable; bonds however require a highly developed bond market.
Ø Shares are generally riskier than bonds. Bonds are therefore usually safer than shares.

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The most effective ways to successful traffic building

Building a high traffic website or blog is not a day job but it should not be a 24/7 either. With a little bit of smartness and common sense, you will generate timeless traffic to your website even after you are dead. Traffic building isn’t based on techniques that are expected to fall out of fashion in the next couple of weeks. If you are aiming for effective traffic building, ask yourself where will this put me in the next 10 years? The following strategies should help you establish how succeed in effective traffic building.

1. Publish timeless content – if you are putting content that you wish will draw attention to your website, write content that will transcend age and generations. What will be the value of your website’s resources in 2010, 2015, or perhaps 2050, if your content is not time-bound, nobody will need to be following it after it has fashioned out. Ensure that people who will read your content in say twenty years to come will still see benefit in reading and forwarding them to their friends.

2. Think human first, then computer second. One common practice among webmasters is that we are so much engrossed in pleasing search engines that we forget the human element in traffic building. So for instance why will someone making a social bookmark submissions simply by putting the website address and few keyword there without any description? Social sites are supposed to engage you and the external world so make sure that any social bookmark submissions you make will be valuable to any person who comes across it. Avoid automated social bookmark submissions and if you can’t deal with their growing numbers simply outsource it to an expert. The same applies to directory submissions.

3. Create original content – when the first person visits your website, he should have an impression that what he saw has not being written, said or seen anywhere. Your content should set you apart from the competition. Write for humans by avoiding technical jargons. Don’t put untruth content on your website because people will link to it; if you are not ready to deal with then, the stay off speculations. The more original your content are, the more people will like to come back for more.

4. money is a means to an end. Maybe you want high traffic because you want to make money from your website. But do not make money be your strongest motivation right from the beginning. When you start blasting your visitors with money issues, they will simply back off. If you are paying for social bookmarking and directory submission services, consider this as a long term strategy and avoid over-monetizing your content.

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Article: Should borrowers get a loan or cash advance?

For every individual it is likely that one day our finances may run into deficit. The major advantage of a cash advance loan is that you might not even need a credit check. Mostly, payday loan centers offer customers instant access to cash advance loans. The borrowers have to make loan repayments when they get their next salary.

Companies or operators that manage cash advance, offer customers loan advances for emergencies and not luxury needs. Your loan application to cash advance operators make them deposit cash quickly without delay and extra charge. The cash advances can help meet everyday financial duty such as healthcare, electric payments, university fees, and automobile repair. When customers apply for a cash advance from lending institutions, it might take less time and needs before they approve customers for a financial solution. Because traditional credit takes a while before they become approved, cash advance is the fastest way out of debts and financial difficulties

A payday loan, for many, is an acceptable alternative when compared with pawning possession or selling earned assets. Anyone who considers to taking a cash advance must meet needs set by loan support dealers. To qualify to take the loan a person must be above 18 years, have a stable source of income, and possess a cash deposit placed in the bank. When the borrower can match the lenders needs, getting a cash advance is easy. Cash advance lenders will not interest themselves to get private information like bank statements or earlier credit card loan advances neither do they ask many questions. For whatever financial reason, cash advance lenders give loan borrowers funds for whatever financial need at least for short term consumption purposes

Bad credit and bankruptcy will not prevent a person from getting approved for a loan. Shopping online for cash advance firms is easier than strolling downtown to the physical store. This makes it to be faster, convenient, and reliable to get a cash advance from the comfort of your home. While cash advance firms provide customers personal service, a cash advance may help restore previous damaged credit reputation. When unexpected needs emerge, and on the look-out for your way out, payday loans might be they only source if you need fast cash.

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Review: Justhost.com – Just another webhosting service

Justhost.com makes commitment to costumer satisfaction an integral part of their business system. The webhosting giant provides you with combined features that will cost you a couple of $1,000 to put together from other sources on the internet. With as little as $3.45 a month, you have every reason to sign up with just host for your webhosting service.

The thrill starts with free domains. Choose a domain name from all the major extensions; .com, .net. , .org, .biz. and get your domain registered with any of these extensions of your choice. This webhosting provider provides unlimited storage space, unlimited email account and unlimited domain transfers in the package. Users also have access to free user-friendly website building tools with powerful features that allow client to save on paying for website development. If you are now considering owning a website, you may not have a better choice.

However JUSTHOST also features a single-click website migration tools that will move your website from an existing domain to their servers just in case you want to experience the wonderful package they have on offer. Running an online store from other webhosting servers require that you pay hefty fees for the tools for building your store. But at JUSTHOSE, it’s just a way of saying welcome! Its free. They also give you over $100 worth of advertising credit to advertise of Google, Yahoo and MySpace for free. This webhosting service provider claims to offer anytime money-back guarantee, an assurance I doubt you will ever need.

At the time of writing this review, JUSTHOST had received critical praise from webhostingchoice as number 1 for the year, it had received the Best Features award for 2009, and featured as Editors’ Choice at findmyhost.com in 2009. This hosting provider claims ‘This is the last hosting plan you will ever need’; it is possible to agree with them in every respect.

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Review: Ipage.com – A webhosting service

Getting all that you want from a hosting service at a price that you can afford in these times is not an easy one. If your business decides to go online, it dawns on you that the basic website that you use for blogging and sharing is not enough. You need more than that; storage, bandwidth, security, guaranteed uptime and a whole set of toolbox.

From registering your domain to setting up your website, ipage.com offers a robust package that really makes your presence on the web very professional. They have smooth and edgy web building tools that are novice-friendly with the choice to make from hundreds of templates none of which would ever get you bored making the end results being fantastic and apt. Ipage.com offers a free security suite, which I am yet to find a match anywhere on the web. Their real-time web statistics and traffic reporting provides you with detailed analysis of all activities on your site as well.

E-commerce clients can set up free online store, select slick-styled shopping carts with PayPal integration to enhance the security and appeal of their online businesses. For website clients, ipage.com offers a free $125 value in credit for advertising on Google, Facebook and Yahoo just to give you a head start. If you are a blogger, it is much of a delight. You enjoy a free domain, photo gallery, blogging tools, and enhanced security submission to all the major search engines for only a flat fee of $25! Is there really any web hosting service that offers such a complete package? I doubt. They also offer you unique set of blogging software for you to make a choice from.

Their 24/7 support service is unparalleled. Just pick up your phone, dial their number and they have a pleasant service representative to address all your complaint. I saved the best feature about ipage hosting for the last; all their servers are 100% green energy powered. So if you are shopping for technology support that has the ozone layer in mind, ipage.com should be your premier choice 10 years of consist web-hosting has really made them leaders in what they do.

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Making Every Dollar Count

The object is to begin somewhere! Here is a list of items to start your check up

1. Know how much income is coming in monthly & how much is going out in expenses monthly?
2. Evaluate insurances – you should do this every 6 months to see if you can save extra money there!
3. Take a check up of your debt and get on a program to pay down and eventually eliminate debt
4. Use any extra money to start an emergency fund and beef up retirement savings & automate it
5. Give – show someone else how to do their $pring Cleaning by sharing the solutions that worked for you!

The overall goal of Making Every Dollar Count is to make, save and accumulate more money. Think about this, if money weren’t an issue, what would you do differently?

Mine is simply not having to work for money, but making money work hard for me. To leave a legacy for the next generation of a wealthy mindset. The only way to do that is to educate yourself on how money works by first knowing where it’s going every month. Debt freedom with a positive monthly cash flow. Being able to do the things you want to do where money is not an issue – fund your goals and dreams, enjoying a better quality of life with your family, giving to your favorite charities or even starting a charity, building foundations, funding missions around the world, and answering the “call” without hesitation!

Posted in Uncategorized | Leave a comment

Making Every Dollar Count

The object is to begin somewhere! Here is a list of items to start your check up

1. Know how much income is coming in monthly & how much is going out in expenses monthly?
2. Evaluate insurances – you should do this every 6 months to see if you can save extra money there!
3. Take a check up of your debt and get on a program to pay down and eventually eliminate debt
4. Use any extra money to start an emergency fund and beef up retirement savings & automate it
5. Give – show someone else how to do their $pring Cleaning by sharing the solutions that worked for you!

The overall goal of Making Every Dollar Count is to make, save and accumulate more money. Think about this, if money weren’t an issue, what would you do differently?

Mine is simply not having to work for money, but making money work hard for me. To leave a legacy for the next generation of a wealthy mindset. The only way to do that is to educate yourself on how money works by first knowing where it’s going every month. Debt freedom with a positive monthly cash flow. Being able to do the things you want to do where money is not an issue – fund your goals and dreams, enjoying a better quality of life with your family, giving to your favorite charities or even starting a charity, building foundations, funding missions around the world, and answering the “call” without hesitation!

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