The Stock Market

Establishing the Objectives of Your Investment
Congratulations! Just by beginning to read this site you are observing the first rule for the capital investment. Yes, without knowing it you have begun to investigate. In every enterprise that you get involved, the knowledge and the preparation are crucial elements. The preparation begins with the knowledge of your actual financial situation and with the previsions of your future needs.

Preparing the Investment
You can’t apply the same pattern to all the investments. People have different kind of assets, needs and goals and, overall, different grades of tolerance with respect to risks. The first step is to coordinate your assets and liabilities.

For determining the itinerary that will take you to a financial success, you must know how your assets and liabilities are constituted. That is, you have to know at least with how much minimum amount of money you can count with, the grade of risk you are willing to stand (with all the amount or part of it), as also for the amount of debts and moral obligations that you have. For example: maybe you don’t have any legal obligation for taking care of your mother in law, nor to pay for the studies of your cousin; but, from the moment in which you decide to assume those compromises, they turn into moral obligations and a personal objective. Your assets and liabilities are interrelated and with time they can affect each other. If with the help of competent advisors you coordinate your assets and liabilities, you will realize how they are both related and you will be able to combine with more efficiency your assets and investments with your liabilities and resources, which will help you to obtain your financial objectives.

Preparing Your Own Assets Balance Sheet
To design an adequate program, the investor has to first its own assets balance sheet. This will give you as to your financial advisor an exact idea of your actual economic situation; also it will help you both to establish an adequate strategy that will take you to the financial success.