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    Denise Michaels
    Author, "Testosterone-Free Marketing"
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    Saturday, July 22, 2006

    Basics of Investment Planning

    By: Mika Hamilton

    In today's current investment markets, there has been an increase in the number of individuals deciding and adhering to an investment plan. Perhaps this is caused by the drastic increases in the cost of living or the profound insecurity about the future of social security, and retirement funds. Many families are looking for investments plans which help them build two funds – one for the future and one for the present. Most people are not interested in purchasing stocks and bonds. This is both time consuming and complicated.

    Investment plans essential allow the an investor to buy a set number of stocks, bonds, and securities. Purchasing is done on a regular and consistent basis. Funds for the investment are taking directly from a check, savings, or money market accounts automatically. These money is used to buy stocks and bonds that were pre-decided upon. For the most part you can change any of variables at anytime. These variables include amount, frequency, and what stocks are bought. There may be fees associated with changes. Make sure these fees are known before you sign your contract with your broker. However, if you are looking for more freedom most online investments firms allow you to change your variables anytime for free.

    The next important step in an investment plan is figure out how much money you would like to invest.

    It is a good idea to have a household budget. This will allow you to clearly analyze how much extra money is available for investing. Due to the long term nature of investment plans, you would suffer a financial lost if you had pull out early because you invested more money then you could afford. Make sure the amount you pick is readily available for each time the investment comes up. Remember just because you have extra money now does not mean in the future you will. Many investors come up short several months after starting their investments plans because they did not budget for an emergency fun. If you do feel you are at point where you can not no longer make a regular investment more investment companies will allow you to reduce or hold the next schedule investment.

    Now you know how an investment plan works and you have the money to invest. The next question is how do you decide what to invest in. Research is the key component to this step. It does take time to decide but it is well worth the effort. Make sure you find stocks that have a history of performing well in the long term. At the time of purchase they may be expensive however they will probably also continue to increases which will directly benefit you. As you feel more and more comfortable with investing feel free to add more stocks and bonds to your portfolios. Many financial experts believe that diversification is a great way to increase your investment profits.

    Investment plans are a great for the casual investor to make safe, low risk investments which will lead, in the long term, to increased profit and financial stability.

    Visit the Global Investment Institute and signup for our free Investing For Beginners E-Course at http://www.Global-Investment-Institute.com

    Investment webmasters or publishers, please feel free to use this article provided this reference is included and all links remain active.

    Tell your friends about this site! This blog is provided by Denise Michaels. To see more blogs by Denise to go http://GreatIdeasForWomenOver40.com.Denise Michaels is author of the myth-shattering book, “Testosterone-Free Marketing” for women business owners. Go to http://MarketingForHer.com and click on “Get the Book!”


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