Long-Term Investment Strategy Essay Example | Topics and Well Written Essays - 1000 words

Long-Term Investment Strategy - Essay ExampleAgain, the nest egg have to be an equal amount of m wizardy that I get from my shelter fund every month. I really want that when I retire, I have enough money that nates en equal me to build a bigger and expensive residential home and also have business premises in the city. Therefore, in addition to saving for my children, Id like to hand over close to $6 million for the premises project. To be able to achieve all these goals, my monthly retirement savings must be put into an enthronisation that ordain enable this money to multiply. This will help me to both save and invest at the same time. By saving, I will be able to earn an interest every month and when I invest, there argon proceeds that I will benefit from in form of profits. My retirement savings per month is $1,000. Ill be able to resume this fixed amount of money monthly and invest it in appropriate enthronement. The low-cost mutual bullion and ETFs that attract popular market indexes will be preferable for this strategy but dollar costing can be done for any investment. This has devil benefits, first by putting aside the same amount every month one builds the habit of saving and investment at the same time. Secondly, one would obtain more shares when they are cheap and when prices shoot, one ends up with the same shares hence investing the same amount. Averagely, I will be able to buy more when an investment is cheap than when it is expensive. To buy cheaply is a way of generating long term profits and by using dollar-cost averaging, one is able to take advantage of changing prices and add it to your gains. In investing, Ill be looking for two things majorly, my current income and long-term investment. To be able to achieve these, my future prospects will be to invest into dividend stock. This will give me the best choices paying reliable and growing dividends while Ill still be able to share in the prospects of the company underlying the busin ess. Ill have to keep checking with my broker to know what services it offers. Give that there are hundreds of high quality blue patch dividend stock, together with many ETFs and mutual funds specializing in dividends, it will never be hard for me to find promising candidates for my investment portfolio. As good investors say, thriving investment does not rely on the picking of great stocks and other investment, but it also views on hanging onto as much of what you earn as possible. This investment strategy will be able to consider ways of keeping the IRS at bay as capital gains taxes can get into my investment returns. I realize that Ill even be able to take advantage of tax benefits which are available for retirement savings by investing in employer sponsored-retirement plans. Much income is normally sheltered from taxes as long as the money stays in the account, depending on how much growth one can get from the retirement savings. However, for some retirement accounts, one has to pay taxes when they have to withdraw money in retirement, but IRAs and 401 (k)s make the income tax free. When one wants to invest, having a solid strategy makes his investment plans less intimidating than if the strategy is not strong to make the investment to be nerve wracking. My strategy will depend largely and be based largely on market efficiency. This is where I will have to keep on watch with my broker to monitor when the shares are sold cheaply in the market for me to buy them. This will enable me to purchase a lot of shares and dividends cheaply. Then when the prices shoot, I will be