Surely investment in Stock Exchange

Posted by Unknown on Sunday, May 20, 2012


Currently, one of the sources of the rise of investment is an investment in the stock market. In fact, in Indonesia, later the stock price (JCI) to the historical record on 3000.

No wonder, if present, people in droves trying to "speculate" on the stock exchange. Plus, many investment management companies that can help simplify the process of investing for individuals. Thus, all as more and more watered down.

But, realize that the risks of investing in stocks is also very large. As the term "high risk high return", then the risk of loss was also quite large.

In order to continue to maximize profits, the king of world stocks, Warren Buffet said in an interview: "First, if the investment looks very nice look, maybe it really is. Second, always look at how the resulting someone before he helps you. Third, do not get stuck in debt. "Simple. But, that's what Warren Buffet so that it can be one of the richest people in the world.

Here are some other things to consider Warren Buffet in stock market investments more certain ...

• Does the company run in the industry with good economics, not in an industry that
  based on price competition?

• Does the company have a consumer monopoly or brand has a high loyalty to customers?

• Can other companies with an abundance of resources compete successfully with the company?

• Have income continues to rise with a good and consistent margins?

• Is the debt to equity ratio low or high income to debt ratio? This is to indicate
  whether the company can pay its debt even in years when income was less than
  average.

• Does the companies have a consistently high return on invested capital?

• Is the company able to retain earnings for growth?

• Does the company invest revenue for good business opportunities?

• Does the management company has a good track record?

• Is the company flexible to adjust prices when there is inflation?

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