Login



Irrelevant posts are deleted without notice. Please, interact meaningfully.
Investment Talks Loading discussions...
There are three main types of investments: stocks, bonds and cash equivalents. Stocks and bonds are best for long-term growth. As an investor, you have a lot of options for where to put your money. Investments are generally bucketed into three major categories: stocks, bonds and cash equivalents. There are many ways to invest within each bucket.

Here are six types of investments you might consider for long-term growth, and what you should know about each. Note: I won’t get into cash equivalents — things like money markets, certificates of deposit or savings accounts — as they’re less about growing your money and more about keeping it safe. The Slourish HPS program falls to this category.

1. Stocks
A stock is an investment in a specific company. When you purchase a stock, you’re buying a share — a small piece — of that company’s earnings and assets. Companies sell shares of stock in their businesses to raise cash; investors can then buy and sell those shares among themselves. Stocks sometimes earn high returns, but also come with more risk than other investments. Companies can lose value or go out of business.

How investors make money: Stock investors make money when the value of the stock they own goes up and they’re able to sell that stock for a profit. Some stocks also pay dividends, which are regular distributions of a company’s earnings to investors. You can earn this way on Slourish by investing in the businesses.

2. Bonds
A bond is a loan you make to a company or government. When you purchase a bond, you’re allowing the bond issuer to borrow your money and pay you back with interest. Bonds are generally considered safer than stocks, but they also offer lower returns. The primary risk, as with any loan, is that the issuer could default. U.S. government bonds are backed by the “full faith and credit” of the United States, which effectively eliminates that risk. State and city government bonds are generally considered the next-safest option, followed by corporate bonds. The safer the bond, the lower the interest rate.

How investors make money: Bonds are a fixed-income investment, because investors expect regular income payments. Interest is generally paid to investors in regular installments — typically once or twice a year — and the total principal is paid off at the bond’s maturity date. Slourish is about launching this feature!

3. Mutual funds
If the idea of picking and choosing individual bonds and stocks isn’t your bag, you’re not alone. In fact, there’s an investment designed just for people like you: the mutual fund. Mutual funds allow investors to purchase a large number of investments in a single transaction. These funds pool money from many investors, then employ a professional manager to invest that money in stocks, bonds or other assets. Mutual funds follow a set strategy — a fund might invest in a specific type of stocks or bonds, like international stocks or government bonds. Some funds invest in both stocks and bonds. How risky the mutual fund is will depend on the investments within the fund. Read more about how mutual funds work.

How investors make money: When a mutual fund earns money — for example, through stock dividends or bond interest — it distributes a proportion of that to investors. When investments in the fund go up in value, the value of the fund increases as well, which means you could sell it for a profit. Note that you’ll pay an annual fee, called an expense ratio, to invest in a mutual fund.

4. Index funds
An index fund is a type of mutual fund that passively tracks an index, rather than paying a manager to pick and choose investments. For example, an S&P 500 index fund will aim to mirror the performance of the S&P 500 by holding stock of the companies within that index. The benefit of index funds is that they tend to cost less because they don’t have that active manager on the payroll. The risk associated with an index fund will depend on the investments within the fund.

How investors make money: Index funds may earn dividends or interest, which is distributed to investors. These funds may also go up in value when the benchmark indexes they track go up in value; investors can then sell their share in the fund for a profit. Index funds also charge expense ratios, but as noted above, these costs tend to be lower than mutual fund fees.

5. Exchange-traded funds
ETFs are a type of index fund: They track a benchmark index and aim to mirror that index’s performance. Like index funds, they tend to be cheaper than mutual funds because they are not actively managed.

The major difference between index funds and ETFs is how ETFs are purchased: They trade on an exchange like a stock, which means you can buy and sell ETFs throughout the day and an ETF’s price will fluctuate throughout the day. Mutual funds and index funds, on the other hand, are priced once at the end of each trading day — that price will be the same no matter what time you buy or sell. Bottom line: This difference doesn’t matter to many investors, but if you want more control over the price of the fund, you might prefer an ETF.

How investors make money: As with a mutual fund and an index fund, your hope as an investor is that the fund will increase in value and you’ll be able to sell it for a profit. ETFs may also pay out dividends and interest to investors. To benefit from this type of investment, invest in the Slourish Aecodri Fund.

6. Options
An option is a contract to buy or sell a stock at a set price, by a set date. Options offer flexibility, as the contract doesn’t actually obligate you to buy or sell the stock. As the name implies, doing so is an option. Most options contracts are for 100 shares of a stock. When you buy an option, you’re buying the contract, not the stock itself. You can then either buy or sell the stock at the agreed-upon price within the agreed-upon time; sell the options contract to another investor; or let the contract expire.

How investors make money: Options can be quite complex, but at a basic level, you are locking in the price of a stock you expect to increase in value. If your crystal ball is right, you benefit by purchasing the stock for less than the going rate. If it is wrong, you can forgo the purchase and you’re only out the cost of the contract itself.

-NedWallet
basics-of-investing.jpg
Dan Lok the 2x TEDX opening speaker gives tips for beginner as a beginner.
Should you invest in the entertainment industry? All non-insured investments have risk, and entertainment industry investments are considered among the most risky. Often, a great deal of money is poured into a single project with success depending on unpredictable public acceptance, critical reviews and a host of other factors beyond the investors’ control. However, if an entertainment product becomes a hit, it can produce returns that far outstrip less risky investments.

This is very apparent in film, but extends to music and theater as well. As an example, the Rogers and Hammerstein musical "Oklahoma" was considered so risky, producers were raising money up until opening night with no idea whether the innovative work would draw an audience. It ran five years on Broadway and continues to be performed 900 times a year worldwide, more than 60 years later.

A mutual fund combines the dollars of hundreds, even thousands, of investors into one large, professionally managed investment which is spread across a range of companies. Entertainment industry mutual funds allow investors interested in the segment to participate without placing significant dollars in one “make or break” project. While the upside of returns is typically less, the downside risk is less as well.

Typically, an investment in an entertainment industry product brings with it the opportunity to participate in such activities as opening night or premiere events and cast parties. Likewise, an entertainment product often focuses on a particular theme or issue. Entertainment industry investments allow investors to materially participate in causes that are of personal importance and to enjoy association with those in the industry.

Investments should first be evaluated on the possible return for a given risk. But if an investor is comfortable with that aspect of a potential project, there can be a personal payoff that many more traditional investments do not offer.
With the eye-popping budgets of many movies and theatrical events, it is easy to believe that only large investors can participate in the entertainment industry. As mentioned above, mutual funds offer the opportunity for investment in the entertainment industry at a variety of levels. But beyond that, by investing in an independent film, the initial production of a musical or a new band’s first recording session, it is possible to participate in the industry for only a few hundred dollars.

Like a top company that produces profits and pays dividends year after year, a successful entertainment industry offering can have a very long shelf life. Consider the musical "The Fantastiks." First produced in 1960, it became the longest-running musical in history, with more than 17,000 performances. A revival continues to run off-Broadway, and regional productions are consistently mounted. For a modest investment in 1960, investors are still receiving quarterly checks today.

And that is why the many quality investors are investing in the entertainment industry daily! Perhaps, it's time you invest in one too. Why not invest in De Donz?
invest-entertainment-industry.jpg
Apparently, there are some lessons to be learned from Jay Z, the richest artist about investing. Do you agree?
Does crowdfunding a business give you a voting right? I mean, what kind of share or right do you have as one of the funders? Its very important you, as an investor, know the basics and thankfully, I'm here to assist.

First of all, there are mainly three types of shares allocated to investors while buying a company stock. Funding/investing in a business most times (except in the case of charity) gains you some shares in that business which may translate to a timely dividend payment.

A share denotes a claim on a corporation’s
ownership or interest in a financial asset.
There are mainly three types of shares in Nigerian companies which are Deferred shares, ordinary shares and preference shares.

According to investopia, a deferred share is a share that does not have any rights
to the assets of a company undergoing bankruptcy until all common and preferred shareholders are paid. This means members of a business with a deferred share are the last to receive their dividends.

An ordinary share defines a single unit of
equity ownership of a corporation, where
the holders of the ordinary shares receive
the right to cast a vote in decisions
involving important corporate matters.
While not all directors on a company board must be shareholders, ordinary shared are always allocated to the decision makers like them.

This is great except that ordinary share holders are only entitled to funds which remain after dividends on preferred shares are paid. Ordinary share holders may not receive dividend payments every year, and payments to ordinary shareholders depend on reinvestment decisions made by the company directors.

As such, ordinary shares are riskier than bonds or preference shares. Ordinary shares are also referred to as ‘common stock’. On the other hand, a preference share contains features of equity and debt as the dividend payments to preference shareholders are fixed.

The types of preference shares include cumulative preference shares – in which dividends including those in arrears from past terms are also paid, non-cumulative preference shares – where the missed out dividend payments are not carried forward, participating preference shares are where the holder receives dividends and any additional funds in times of financial stability,

and convertible preference shares is where an option is available to convert shares into ordinary shares. Preference shareholders are paid a fixed dividend and have the first claim on the assets and earnings. As such, preference shareholders receive their share of the firm’s residual value before ordinary shareholders in the event of liquidation. Preference shareholders do not have voting rights.
To me, being an investor was a necessity from birth. I aspired to be one but I basically didn't have the faintest idea on how to get started. I was in the verge that investors are some big time millionaires/billionaires with sophisticated knowledge on the economy.

I was naive and so were a lot of you. While Slourish has made it very easy for anyone to call himself an investor, a lot of us still lack the insights and probably need some mentorship. I mean, do you even know what bonds or royalties are?

Well, when you invest in a business here, except in some cases, you don't gain a voice. You are just handing over your money to help the business raise their deserved funding and in return, you gain a piece in the business.

This piece doesn't make you one of the owners. This piece, when matured, will be shares which gives you a stake and in most cases, the business pays you monthly, quarterly or annual dividends. In other cases, your little money which has now grown in form of stocks can then be traded for capital gains in the stock market if the company goes public.

This is practically what investing in a startup entails or what did you think it was all about?
photo-1460925895917-afdab827c52f.jpeg
Having an investment is great. Even the less enlightened in the villages probably know this by now. Every investor feels good. At least, those I know do. The problem however, is that most investment vehicles are quite complicated for the common man.

I mean, the man standing next to you probably don't know the first thing about stocks, bonds or even royalties. Real estate which ought to be the easiest but effective medium can be quite expensive and this leaves only very few options left.

Business on the other hand, gives people the opportunity to chose how to grow their money but it can be a very difficult task. Entrepreneurship is no day's job. It takes a lot more than just courage, creativity and leadership skills. For this very reason, its best to just invest in those who are ready to get the job done.

Thankfully, on Slourish you don't have to go through all that. Slourish is making it earlier for the average Nigerian to have a stake and profit from other people's hard work just by allocating their little kobo for the project. Think future? Think Slourish!
photo-1523006520266-d3a4a8152803.jpeg
Why should we want to create an investment for ourselves? Investing your money can allow you to grow it. Most investment vehicles, such as stocks, certificates of deposit, or bonds, offer returns on your money over the long term. This return allows your money to build, creating wealth over time.

As you are working, you should be saving money for retirement. Put your retirement savings into a portfolio of investments, such as stocks, bonds, mutual funds, real estate, businesses, or precious metals. Then, at retirement age, you can live off funds earned from these investments.

Based on your personal tolerance of risk, you may want to consider being riskier at a younger age with your investments. Greater risk increases your chances of earning greater wealth.

Many investors like investing in people, whether they are business owners, artists, or manufacturers. These investors feel good helping others achieve their goals.

New ventures need the backing of money, and they look to investors for that backing. Some investors may like the excitement of investing in a new, cutting-edge product or service, or being part of something like a business or film that introduces them to a glamorous world.

There are a lot more reasons to invest so, what is yours?
Why_invest_ForInvestors.jpg
A good number of us want the best things in life and probably think those who have it all are privileged. While I can't exactly exempt that point, it's also glaring that a good percentage of those doing fine worked their ass off to get there.

Being in any of these schools of thought may be overlooked but it becomes a big problem when you accept your situation or blame the goverment for your woes. Most times we have the solution to our problems or we have come across the opportunity at some point and ignored it.

Since not everyone is cut out for the stress of running a business or doing any other thing that requires a lot of work, we can only agree on a common ground - building assets. Assets, as you know, is the key to generating a steady income stream but a lot of us prefer to pump our money into liabilities.

Liabilities such as unnecessary luxuries or mere temporary WANTS - Irrelevant things that just drains your money. We all should be focused on gaining our NEEDS - those things you can't live without. Then, except you are financially strong, your only other focus should be on creating several sources of auto-generating income streams especially through investments.

Investing should be the ultimate goal of everyone as this creates money-generating assets without doing any real work. Thankfully, Slourish has made it easier for the average man. Most members here are now investors and that is the higest level of becoming financially educated and equipped. Kudos to us all!
4667771_1524181.jpg