Learning a New Topic
When we set out to learn a new topic, how do we approach it? Do we go headlong into the problem with a single focus or do we begin reading and, like rowing a canoe in rapid water, go wherever the current of our imagination and curiosity take us. In other words, is there an “order” in which we should learn new things? Tradition has placed these two teaching methods opposite one another, but recently there has been more acceptance that both ways are the same side of the one coin of the value of knowledge. Modern education uses both the strict purpose of rote learning and the spontaneous use of learning by inspiration, interests, and experimentation. Say you have an interest in learning. What would you need to fund yourself through college where would you begin?. Since it is a personal quest, it seems that letting your curiosity lead you is an excellent method. On the other hand, if you fail to finish your research before school begins, you may not have the right information to start investing in the fall when school starts.
Learning About Fast Moving Stocks
Say you are doing your research on stocks and come across the term gap up stocks. This peaks your imagination. It sounds intriguing and arouses your curiosity, but you want to learn more about it so that you don’t invest in a stock that is heading down. There are several good sources of information. Usually, today, all one needs to do is do a keyword search in their favorite browser and it will show them the top-ranking sites that cover the term. Places like MorningsStar, Investopedia, Marketbeat.com, or The Street are often the right places to turn. They have professional analysts, reporters, and other reputable investment knowledge.
Sources of Knowledge
On the other hand, a new investor needs to keep his an eye on the political scene, and world events that may have a significant impact on the U.S. market. Political events are called market influencers because they have the power to influence how investors invest their money in stocks that can be affected by a political climate changing.
The best thing to do as a new investor is to gather into one place on your computer some financial learning networks where you can get a clear picture of what the broader market has commented on political events. It is somewhat like watching to see what the weatherman is going to report about the weather on a particular day where you are planning an outside birthday party for one of your children. If bad weather outside, the inside is good. The market will continue, but not with the same concentration on foreign investment where specific political turmoil has been reported. Political events that would have a significant impact would be a government that is overthrown by a rebel army, or 10,000 university students boycott the government vote on stopping research dollars from their universities.
Broad View, Narrow View
In learning anything new, we need to take both a full view and a narrow view of the topic. This means if we want to learn how to invest in stocks, then we need to learn what the significant game-changers are saying and learn from them, but at the same time take a clear view of your own goals and spend time in developing the strategies that you feel comfortable with. Usually, somewhere in the middle of both aspects, you will find a sweet spot for your investing strategy. You will be unable to incorporate every strategy into your rationale for investing, but you can expect to see two to three investing strategies that work well for you and help you accomplish your own goals.
Finding an Investment Advisor
An investment advisor is a helpful addition to your working investment strategy. Advisors come in two flavors, paid and unpaid. If they are paid advisor, it may be through a subscription, but unpaid may also work for you as well. Whatever you decide, to get a review of the subscription, what you are expected to pay, and determine if it is worth the cost as a new investor. If you have a local library, see if you can use the library’s subscription to save yourself the extra cost.