Stock Market

Every self-employed, business minded individual and in particular every share or stock holder should understand dividends, so here’s my take where I’ll explain the different types of dividends you are likely to encounter.

One of the main benefits of share ownership is that the profits made by the corporation who issued the stock are often shared amongst stockholders in the form of dividends. Dividends can take many forms, and your eligibility to receive them can depend on the type of company that it is, and the type of shares that you own. In this article, we take an in-depth look at the various types of share dividends, and the circumstances in which they are issued. More >

It is never a good idea to put all your eggs in one basket, and this is as true in the world of finance as it is anywhere else. One way in which you can spread the risk of investing is to purchase several different assets, in an investment strategy known as portfolio investing. That way, if one asset fails to perform, your other assets will hopefully make up for it. Here is a guide to putting together an investment portfolio. More >

Investing in the stock market can be a risky business. Naturally, some shares represent more of a risk than others. The listed firms that are deemed the least risky are often referred to as being ‘blue chip’ companies, named after the most valuable chip in a casino. These can make for good, steady investments, although they do not have the profit potential of more risky types of shares. Here, we take a look at shares in blue chip companies, and discuss the advantages and disadvantages of investing in this type of share. More >

The forex market, where currencies are traded night and day from Sunday evening to Friday evening, enables traders to buy and sell large quantities of foreign currency. It is one of the biggest financial markets in the world today, but also one of the most exclusive. In this article, we take an in-depth look at the forex market, and explain how it came to be. More >

Convertibles are effectively bonds that can be converted into shares, which gives them greater profit potential than ordinary corporate bonds, with less risk than regular shares. This makes them very popular with fund managers looking to maximise income and minimise risk on behalf of their clients. Here, we discuss the various ins and outs of convertibles, and advise you how to get the best out of them. More >

Futures contracts are a type of forward contract between buyers and sellers of assets such as commodities, shares, bonds, or financial instruments. They allow you to purchase an asset at an agreed price, and then take delivery of it later, by which time it will hopefully have gone up in value. The futures market offers great profit potential for the savvy trader – but it can be a risky business. Here, we take an in-depth look at the futures market, and discuss just what is involved with a typical futures trade. More >

Government bonds are widely viewed as a risk-free investment, and while it is true that they are less risky than most other types of investment, there are still some risks attached to them. In this article, we describe government bonds and point out the advantages of investing in them, as well as some of the potential pitfalls. More >

Linked bonds are bonds whose performance is linked to an index such as the FTSE or a select basket of shares. They offer a high guaranteed income when compared to corporate or government bonds, but the risk to your capital is much greater than with either of these. Here, we discuss the pros and cons of investing in linked bonds, in order to help you decide whether they are the best option for you. More >

Options are financial instruments that give the buyer of the option the right to buy or sell an asset if certain conditions are met. There are many types of option, and some can be bought and sold on public options exchanges, which makes them of interest to investors. Here, we explain how options work, and talk about some of the different types and styles of option that are available. More >

Premium bonds are an incredibly popular investment, as they allow members of the public to participate in a lottery without having to lose their stake every time the numbers are drawn. However, when viewed alongside other investments, they start to look like very poor value indeed. In this article, we take a look at premium bonds, crunch a few numbers, and let you draw your own conclusions. More >

Save as you earn schemes enable employees of participating companies to automatically save money out of their pay packet, in much the same way that pay as you earn taxes are deducted. They can then use this money to buy shares in the company that they work for at a discount price. In this article, we take an in-depth look at save as you earn schemes, so that you can decide for yourself whether they are a good idea or not. More >

Share incentive plans (SIPs) were brought in by the British government in 2000, in an effort to allow companies to give tax efficient share incentives to their employees. This has been proven to have a strong motivational effect on employees at many firms, and as a result, the scheme is becoming more and more widely adopted. Here, we explain the different ways in which a share incentive plan can be put into practice by employers. More >

Stock market indices, such as the FTSE 100 or the Dow Jones Industrial Average, are widely used by journalists and financial services firms as benchmarks for the performance of the stock market on a national and global scale, and the various industry sectors within it. In this article, we take a look at all the different types of stock market index, and how their prices are calculated. More >

Technical analysis, also known as charting, is a method whereby you can use graphical representations of the past movements of shares, commodities, and other financial tools to predict their future movements. Although it is far from fool-proof, it can be a useful investment tool if used properly. Here, we explain the basics of technical analysis, and explain how it can be used in combination with other forms of market analysis. More >