Should You Really Be Managing Your Own Stocks?

The stock market today is frightening volatile. Choosing that kind of investment to secure your financial future seems like an unnecessary gamble with your hard-earned money. One must look at the historical picture of stocks and how they performed. By doing so, one can see that the stocks and bonds market have always been the most flexible and yes, stable means of making your funds work for you instead of putting them under your mattress to be pursued by bedbugs.

So, that answers the question of whether or not you should be in the stock market. Next question is who is going to manage those trades – should it be you or someone you designate to manage your money?

There Are Obvious Benefits to Managing Your Own Stock Trades

I don’t for a second claim to be an expert when it comes to stocks and bonds and trading and all of that “stuff”, but there are a few things I’ve managed to pick up along the way. Not the least of which being that putting all of your money in someone else’s hands and hoping it’s going to do what you need it to do is scary stuff.

Putting your financial future in the hands of others is pure nonsense. It would be as if you rented a house but remained responsible for all of the repairs and maintenance that a house is prey to. You get to pay extreme rent for something you don’t own and then get to pay to fix it’s problems as well, and you don’t even own it, so you can’t rent it to someone else or sell it or get back any of the money you spent for improving the property – utter financial nonsense.

But I digress. Let’s go back to the good news about managing your own stock trades. When you are in charge, you have control. It’s up to you to allot your stocks, and to take advantage of opportunities as you see them. You will never wonder why your broker didn’t jump at the stock that was obviously a winner and lost you a bundle.

But…

There’s always a but, isn’t there? Here’s the thing. Without programs designed to teach people, just like you, the ins and outs of trading on the stock market, you’re kind of left scrambling to figure things out on your own. That can be a good thing if you’re one of those people with an almost innate sense of how these things work, but it’s considerably less convenient if you’re completely clueless.

Before you take that plunge into management of your own finances, spend whatever time necessary to learn the mechanics of stock trading. Master the basics whether you or someone else is controlling your stock trades. Think about it. It can be just as much fun controlling your stock broker as it is controlling your investment funds.

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Author Bio: For those who were interested in the preceding article, you could go take a look at more related writing at Compound Stock Earnings or this Compound Stock Earnings Web Site.

Category: Finances
Keywords: stock market,stock portfolio,managing finances,personal finance,finance,compound stock earnings

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