After discussing in class
the article about the bursting of the internet bubble, you can say that caution should be used when investing in today’s
complex global markets. I would advise anyone to follow some simple rules of
investing.
Always have a well diversified
portfolio. You can diversify away risk by having a well balanced portfolio with
stocks in different industry sectors. You can buy index funds that hold all stocks
traded in an exchange.
Research mutual funds and
stocks you want to buy. The internet is a great tool for researching stock performance. There are a variety of web sites offering information such as stock quotes and the
latest press releases pertaining to particular stocks. You can use http://finance.yahoo.com/ to get instant stock quotes.
Fed regulations and monetary
policy directly affect to market performance. Keeping yourself informed about
changes in monetary policy by the Fed are essential for investing. You can go
to http://www.federalreserve.gov for this information.
You will find useful links
to business and financial news on this webpage.