The stock market is one of the greatest human inventions. It is so great that anyone can make money straightaway. Let see how share market is different from mutual funds.
Save on Fees
By investing in stock yourself, you are the fund manager, researchers, recording clerks and even the share price observers. Thus, you do not have to pay management charges, administrative cost or switching fees like mutual fund do. You can save the money for yourself.
Besides, stock research is not as difficult as before. Easily available is a stock screener, analyst rating and trading software on the Internet. These tools make your investing experience much easier. Moreover, you can save commission fees through online trading. In fact, you can trade free of charge with Zecco.
Flexible Strategy
Instead of using just the dollar cost averaging approach in a mutual fund, you can use a variety of strategies in stock investing. Buy-and-hold, buy-then-sell or even sell-first-buy-later concept are the most popular ways to make money in stock market. You can do business with others' money too.
However, specific skills and experience is required to success. Although trading tools such as trading software can be quite expensive, investing in them can bring more profits to you, provided you know how to use them. Hence, ask yourself, which strategy is best for you.
Financial Independence
It is not uncommon to see people trade stock for a living. In fact, it becomes famous nowadays. You might not know if one of your neighbors is trading stock for living very quietly. Not going to office at 8 does not mean he has no job at all.
Again, easily available information on the internet makes this viable. Most have full time jobs before but find it more comfortable working from home. And you can do it too if you start learning how to make money from the stock market now.
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