Steps to Build A Stock Portfolio

Steps to Build and  Manage a Stock Portfolio

Are you an investor looking to build a brand new stock portfolio? Or maybe, you have managed investments or a retirement plan and you are now looking to maximize your investment portfolio? This report will help you build your stock portfolio to generate "real" wealth.
 
Easy access to investing information and the availability of online trading has made life much more enjoyable and less costly for do-it-yourself investors. The Internet has brought the "trading" desk to millions of households and it is now possible to buy and sell shares, options, warrants, interest rate securities and managed funds from your own home. All you need is a computer and an internet connection. 

In addition, you can do your own research on a particular company or fund manager as well as finding out what some stock brokers are recommending to their clients. Much of this information is free or available at a reasonable cost and you can save yourself hundreds, or even thousands of dollars in fees and commissions every year via the internet. Rather than go through a full service stockbroker or investment advisor, why not give it a try?
 
When building your own stock portfolio, here are some pitfalls you need to avoid!
While you can find a plethora of good information on stocks, you can also find very poor information. Each website claims to have the latest hot picks or the "top ten" stock buys and often they contradict each other. Who do you believe and what about the scams?
You will undoubtedly come across websites and chat rooms that give investment advice or tips about investments, but many of these are not qualified to do so. The information may be wrong or misleading and some websites even repeat incorrect rumors.

Important rules to live with sharemarket

Lessons From Stock Market Wizards ( Please try to follow all these basic rules)

1. All successful traders use methods that suit their personality; You are neither Waren Buffett nor George Soros nor Jesse Livermore; Don't assume you can trade like them. 2. What the market does is beyond your control; Your reaction to the market, however, is not beyond your control. Indeed, its the ONLY thing you can control. 3. To be a winner, you have to be willing to take a loss; (The Stop-Loss Breakdown). 4. HOPE is not a word in the winning Trader's vocabulary; 5. When you are on a losing streak -- and you will eventually find yourself on one -- reduce your position size; 6. Don't underestimate the time it takes to succeed as a trader -- it takes 10 years to become very good at anything; (There Are No Shortcuts). 7. Trading is a vocation -- not a hobby. 8. Have a business/trading plan; (Write This Down). 9. Identify your greatest weakness, Be honest -- and DEAL with it. 10. There are times when the best thing to do is nothing; Learn to recognize these times (Nothing Doing). 11. Being a great trader is a process. It's a race with no finish line.12. Other people's opinions are meaningless to you; Make your own trading decisions (The Wrong Crowd). 13. Analyze your past trades. Study what happened to the stocks after you closed the position. Consider your P&L game tapes and go over them the way Vince Lombardi Bill Parcells reviewed past Superbowls. 14. Excessive leverage can knock you out of the game permanently. 15. The Best traders continue to learn -- and adapt to changing conditions. 16. Don't just stand there and let the truck roll over you. 17. Being wrong is acceptable -- staying wrong is unforgivable. 18. Contain your losses (Protect Your Backside). 19. Good traders manage the downside; They don't worry about the upside. 20. Wall street research reports are biased