Index based investing-trading


Jump to Page:
< Previous  [ 1 ]  [ 2 ]    Next >




peacock1   
Member since: Jul 04
Posts: 1040
Location: Woodbridge

Post ID: #PID Posted on: 04-12-07 10:34:59

Hi,
I intend to learn index based investment trading (NOT- FOREX), i seek advise and personal mentorship if possible from experienced traders, you can pm me your contact details .
Thanks,


-----------------------------------------------------------------
mor

Whenever you experience joy, peace, security, equanimity or purity, it is only because you are aligned with ALMIGHTY.


tamilkuravan   
Member since: Jun 05
Posts: 5775
Location: God's own country

Post ID: #PID Posted on: 04-12-07 10:49:54

Peacock,
Since you have made your wish public, I am sure that you will be PM'ed by Khan786786 offering to teach you (for free) index based investment trading.
I suggest that you approach that mentor with appropriate caution. i am sure that Investpro can provide you with required genuine details.
All the best in your learning process.
TK A


-----------------------------------------------------------------
I am a Gents and not a Ladies.


peacock1   
Member since: Jul 04
Posts: 1040
Location: Woodbridge

Post ID: #PID Posted on: 04-12-07 10:59:41

Thanks, TK,
Thanks for your concern and reply, I have been trying to contact investpro by pm but it seems it is not going through, I shall definetely try once again


-----------------------------------------------------------------
mor

Whenever you experience joy, peace, security, equanimity or purity, it is only because you are aligned with ALMIGHTY.


Val   
Member since: Oct 03
Posts: 189
Location: Toronto

Post ID: #PID Posted on: 05-12-07 11:25:59

I was waiting for someone more knowledgable to answer this question. However since nobody answered let me try.



Like commodoties/forex, basically you are speculating on the Index if today it is 100, you think tomorrow it can touch 110 or 90 depends on your view, and you accordingly take your long/ short position and either loose or gain like stocks.

However unlike stocks to invest in Index you need lot of money, and since generally people don't have that much of money they go on leverage. Like any leverage you either gain/loose big time depends on your luck.

The fundamental difference is if it is stocks, and if you have bought it outright, even though it's down and technically you re loosing money, u have a hope that one day it will rise, and most of the cases this is proven to be true. In index however you really loose money, because you don't own it, you need more and more money to maintain your margin, and at the contract expiry time if it is lower than your contract purchase price, you will be charged the difference, you can however technically buy a fresh contract, But by that time I belive either you will be out of money or out of confidence.

Keep a tab on various indexes and do some demo trading, and see how it works for you.

Good luck








willfly   
Member since: Sep 06
Posts: 14
Location:

Post ID: #PID Posted on: 21-12-07 11:33:25

Quote:
Originally posted by peacock1

Hi,
I intend to learn index based investment trading (NOT- FOREX)



Do you want to learn investing or trading. These are two different breeds in financial lingo. An investor seeks growth/revenue by analyzing undervalued opportunities, where as trader is primarily interested in making a quick buck transacting based on technicals.

Buying and selling indexes is no different then stocks. All indexes have corresponding tradeble instruments which can be bought/sold through brokerages. These instruments are called exchange traded funds (ETF), mutual funds. There are complex instruments like derivatives and options which can also be used as a proxy to particular index, but you don't need to bother about it. E.g Toronto S&P/TSX index is tracked by ETF - XIU; US Willshire 5000 tracked by VTI etc.

In a nutshell an indexer believes that economy and hence the index grows in the long run (as has been for past 150 years). Indexers tend to be passive investors, do a dollar cost averaging and tend to hold investments life long (once purchased, never liquidated, until retirement)

It is too vast a topic to be discussed on forums. I would point you to couple of books which you should be able to find in your local library.

The Four Pillars of Investing - William J. Bernstein
The Bogleheads' Guide to Investing
http://www.financialwebring.org



desi_driller   
Member since: Sep 04
Posts: 419
Location:

Post ID: #PID Posted on: 21-12-07 13:36:15

You can try Couch-potato investing which is basically investing 60% of your money in ETF mutual funds & 40% in bond . This may give you a aprox. return og 7-8% over long run.


-----------------------------------------------------------------
Driller the thriller


Mr.Scorpio   
Member since: Jun 04
Posts: 75
Location: Toronto (416-7305795)

Post ID: #PID Posted on: 25-12-07 15:02:53

IBT is often looked upon as a Passive trading strategy and is comparatively very cost effective.However you need to bear in mind that since Index reflects large market capitalization beating the Index requires good level of competence and skills.EFT\"S are one of the best choices with many investors for this reason but you need to understand the risk involved as they often behave like stocks.
Good link
http://www.tacticaltradingsignal.com/Content/Model.html


-----------------------------------------------------------------
TS




Jump to Page: < Previous  [ 1 ]  [ 2 ]    Next >

Discussions similar to: Index based investing-trading

Topic Forum Views Replies
Lets share information on stocks/trading ( 1 2 3 )
Financial Planning 6577 19
Websites for IT Jobs
Jobs 1892 6
Space Centre based in London, Ontario????
News and Events 1429 1
PCC from other countries
Independent Category 1313 2
FOREX Trading Co. -- Establishing
Business 1838 1
forex trading
Business 1365 2
Foreign Exchange trading ( 1 2 )
Business 2950 9
Forex Trading
Financial Planning 3762 3
Forex- Traders ( 1 2 3 4 )
Business 5242 22
Facts about Forex trading
Business 1602 2
taxation on stock/forex trading
Accounting and Taxation 1843 3
buying and importing car from states , very useful info & how-to guide ( 1 2 )
Driving 2807 9
Forex&Futures trading .Frequently Asked questions ( 1 2 3 )
Business 4368 16
Index based investing-trading ( 1 2 )
Financial Planning 2066 7
Optonetics/Option express
Financial Planning 1346 3
Investment in foreign currency assets ( 1 2 )
Accounting and Taxation 3480 10
Buying Stocks
Business 2578 5
Unveiling the Sixth Sense
General 1106 4
Free currency trading (forex) seminar ( 1 2 3 )
Jobs 4128 14
Free Forex live trading event - learn to make 200 - 300 $ per day
Jobs 1713 2
pension plan for canadian citizens
Public Services 1084 1
Learn Forex Trading Strategies- Free Forex Courses ( 1 2 )
Stock Market 2434 8
Commodity trading training
Stock Market 1546 2
i am facing a big problem
Ask Immigration Expert 1850 5
Any one invested in Low Cost Index based ETF's
Stock Market 2944 2
 


Share:
















Advertise Contact Us Privacy Policy and Terms of Usage FAQ
Canadian Desi
© 2001 Marg eSolutions


Site designed, developed and maintained by Marg eSolutions Inc.