Investment Talk

My previous post on the ' time vs money' theory , Its all about the investment thought . Basically Its just a theory , to being with, you need to get your ass move for some research over It . Exactly , Im also the lazy ass whom just knew theory talking ... Thanks to bits of my uncle motivate and support , now I briefly knew about the whole conceptional of the Investment Field . And It's relatively simple than It thought to be =)

The idea Is like this , Stock Exchange in those listed company . No matter you invest or 'play' in whichever market like Bursa Malaysia or the NYSE( New York Stock Exchange ) , Its almost alike . Take an example , Its just like the wet market that our mothers always goes to stock up daily-use item . There are a market place , customer whom demand and hooker whom supply . Yes , indeed Its all the same , demand and supply , the different Is just what we bought and sell Is the stock only instead of foods , veggies and fruit =)

Ya ya -.- ... another theory talking .

Simply said , In this big market ( Bursa Malaysia) got many hooker ( Listed Company) . These Listed Company will have part of their Stock(Shares) to sell to the public so that they could earn money .

And Why investment earn ?

Its began with the demand and supplies . Every stock has its value , this value will rise or fall from time to time . But why do the stock value will rise or fall ? Yes , Is because the demand and supplies Is increase or decrease . Common sense , in the demands study , the more people demand over a certain amount of item , of cause the seller will raise the item value so that It could earn more , In the other hands vice-versa . Thus the Stock Value Is raise . Imagine each of the stock you holding had rasie rm0.10 only and u have 10 thousand of these stock that you had bought earlier before it raise , you will have a paper earn of 10 000 x rm0.10 = rm 1000 . See that ? You didnt need to move your single muscle to work u had already earn rm 1000 .

But why call paper earn only ?

Yes , your stock value had raise and your money return will raise eventually . But not to forget that the stock value can raise and fall . This minute it raise and the other minutes it might fall . Unless you sold your stock when the value had rise , there will be no guaranty that you will have ur stock value decrease . If your stock sold successfully , then you are safe and have your money back together with the earning =)

Sold ? sold to who ? who will buy it ?

That's why just now I said If you can sold your stock successfully . Remember in the early I said its all about demand and supply ? If there are no demand from the public , of cause there will be no one to buy your stock . Thus , your stock Is stuck in your hand . Again the demand study applies here , when no people demand over an item , you drop the item price and thus there will be a demand again . Well that means you will have to sold your stock in a lower value in order to get your money back , and when this happen the Stock market will had a decrease in value and everyone Is losing money .

Well , this Is basically what I could understand of and there are more . Will talk about It later =)