How to invest in the stock market from scratch for the long term: Get the retirement you deserve with dividends

About this book

In the long term, the stock market is a great investment within reach of any person . Anyone who acquires the appropriate knowledge and puts it into practice will achieve, throughout his life , much higher profitability than he would obtain by investing his money in other assets such as bank deposits, bonds or real estate. It is unnecessary to have previous studies of any kind, nor an above-average intelligence. Very few people can become rich in a short time by investing in the stock market, but absolutely everyone can obtain very good returns by investing in the stock market in the long term , so that their life gains stability , in all senses, as time goes by . In this book, you will find that knowledge and how to apply it throughout all stages of your life . Starting from the day, you decide to start building your wealth , continuing through the consolidation of that wealth and reaching the enjoyment of that wealth when you decide to retire. You will also see how best to pass that wealth to the next generation so that it can be enjoyed by both the person who creates it and his descendants.Summary table of contents CHAPTER 1. IS THE STOCK MARKET A GOOD LONG-TERM INVESTMENT?Historical data shows that the stock market is a good long-term investmentWhat do stock market crashes really mean for long-term investors?CHAPTER 2. HAVING AN INVESTMENT STRATEGY IS ESSENTIALIs short-term trading a valid strategy?What strategy should the average investor choose in order to have a high probability of achieving their life goals?CHAPTER 3. DESCRIPTION AND OBJECTIVES OF THE PROPOSED STRATEGYThe objective of this strategy and the likelihood of success for the average investorWhy the dividend is absolutely crucial for long-term investorsHow to diversify correctly to minimise risk and achieve good returnsHow many companies should make up the portfolio and how much each of them should represent in the total portfolioWhen should a long-term investor sell?What do I do if I am sure that the stock market is going to fall sharply?How to reorganise an existing portfolio of equities and investment funds to convert to this strategyWhy can we be confident that this strategy will continue to work in the future?CHAPTER 4. CHOOSING SECTORS TO INVEST INCHAPTER 5. CHOOSING COMPANIES TO INVEST INThe company's business and its plans for the futureThe "numbers" of a companyBasic ratios when analysing a companySector-specific ratiosDiscounted cash flow valuations of companiesCHAPTER 6. SOME ADDITIONAL CONSIDERATIONS ON HOW TO CHOOSE THE RIGHT TIME TO BUYIs it possible to buy at rock bottom?How to average downwardsHow to reinvest dividends in the purchase of further sharesIf you are absolutely sure that something is going to happen, be very cautiousCHAPTER 7. STOCK MARKET CONTROVERSIESWait a minute, what are we talking about?Fundamental or technical analysis?Can short-term movements be explained?Are markets efficient?Bears are good for long-term investorsCHAPTER 8. SOME GENERAL ISSUESHow share prices are formed, and how market floors and ceilings are createdStock market psychology is as important as or more important than intellectual knowledgeWhat fees do I have to pay to invest in the stock market?CHAPTER 9. LIVING OFF RENTSHow to manage our wealth at "retirement" timeWhy investment funds are not for living on income and create serious problems that are very difficult to solve in retirementWhy ETFs also does not seem to me to be suitable for this investment strategyIs it possible to sell part of the assets in order to have "rents"?Etc.