What to think when buying shares.

dqnet

sabretoothtigger wrote: »

I think they are fine, middle of the road. Backed by halifax I think. Start of this thread is 2005...

Haha - I know
Would you recommened anyone else?

sabretoothtigger

Maybe the share choices from 2005 were great, its been long enough to say we gave them a fair run

Here's a few shares you could consider - and if you can buy all 10, it will be safer, because they are in different sectors. It's rare for all types of company to be out of favour at the same time.

Lloyds Bank 7.7% bank
United Utilities 7.2% water company
Northern Foods 5.9% food supplier to M&S
Dixons 5.7% retailer
BT 5.2% telecoms
Legal and General 5.0% life assurance
British American Tobacco 4.6% cigs
Scottish and Newcastle 4.6% beer
Pilkington 4.6% industrial/automotive glass
Shell 3.8% oil

Overall a 5.4% yield. This is the "forecast yield"

Hrm, maybe they need another 6 years :eek: Dont judge shares by dividends I think is the conclusion there, its like the colour of a car or something.
Hopefully you can get one that looks good but its near the last factor when choosing not first

I would have excluded Dixons, BT, British American Tobacco as declining industries. I dont want to be in something winding down. BAT is maybe so disliked this factor is discounted, I dont know


For brokers, why do you need anything else. You want cheaper, xo I use they are ok. Not really used anyone else so cant really recommend but if you deal over 10k a go there is certainly far better more streamlined operations I dont doubt

Noktok

It's a shame that this thread has never really tried to address the subject promised by its title. No beginner would be any wiser about how to think about buying and trading shares after reading through this lot.

Can you recommend a book to cover the basics. I'm thinking about buying some of these.

• The Naked Trader
• The Naked Trader's guide to Spread Betting
• Come into my Trading Room
• The Financial Times Guide to Trading
• Investing in Shares for Dummies

Anybody like or dislike any of these, or have another book they'd recommend instead?

SarahCL99

Interesting for me about the regulation of websites by the FSA.

I have to admit I thought the The Motley Fool would be regulated or have approval but now I can't see any sign that it is regulated.

How can they be tipping shares if not regulated?

The_Gadgeteer

First post, hope this is relevant. It occurrs to me that with markets falling and share prices likewise, is this a good time to begin thinking about starting a portfolio of my own? I bought my first property at pretty much the perfect time a couple of years back and still get a warm feeling at the prospect of the housing market levelling and hopefully improving, can the same model be applied to shares?
Ta. Ben

cepheus

Personally I think there are two basic rules

Always invest in a bull market for the instrument of interest whether it is equities, bonds, property or a commodity. Trying to choose shares when markets are falling is like trying to swim upstream using the eddies! When the markets go down they take the good, bad, and ugly with them.

Try to choose a strategy not readily available to the majority. It may be using specialist knowledge, not necessarily financial (as opposed to using share tips or published accounts) or being able to buy or sell in smaller lots as opposed to the big fund managers, who have to stay fully invested, but you need an edge.

Thrugelmir

The_Gadgeteer wrote: »

and still get a warm feeling at the prospect of the housing market levelling and hopefully improving,

You've a few tee shirts missing from the collection I would suggest.

Matters are uncertain to say the least.

sabretoothtigger

WIth a possible disaster occurring in the worth and debt value of several currencies our housing prices might fair well in comparison.
Thats like grounding a boat on the rocks, stepping onto the shore and saying lucky we hit the rocks we could have drowned :j

Try to invest in things more needed tomorrow then today and even better if its not exactly known or understood why. Like 20 years ago people were still a bit slow on potential in computer development. 10 years ago, mobiles were not used in USA really

10 years from now ? It wont be houses, any ideas?

cepheus

sabretoothtigger wrote: »

WIth a possible disaster occurring in the worth and debt value of several currencies our housing prices might fair well in comparison.
Thats like grounding a boat on the rocks, stepping onto the shore and saying lucky we hit the rocks we could have drowned :j

Try to invest in things more needed tomorrow then today and even better if its not exactly known or understood why. Like 20 years ago people were still a bit slow on potential in computer development. 10 years ago, mobiles were not used in USA really

10 years from now ? It wont be houses, any ideas?

Provision for the increasing population of the old?
Key commodities such as rare earths?
Healthy 'junk food' or tobacco alternatives?
Integrated mobile devices which incorporate money, keys, as well as communication?
More automation in military devices to avoid combat deaths (for the user)?
Communal public operated shared taxi system?

Arthurian

3D printing? http://www.bbc.co.uk/programmes/b012r7ty Not sure about it myself, but the presenter sounded very enthusiastic. "A revolution in the way things are made," I think he said.