So I'm considering buying some shares and bonds
Right now I'm considering buying 5 shares for 1000 $ and bonds for 2000 $ because it's my first time so I wanna play it safe.
Should I trust the advisor in my bank or will they try to ''cheat'' me? I'm in Scandinavia btw.
Bonds and shares
Oliver Moore
Ryan Evans
It really depends. Some banks have sales quotas and are pushing you towards certain products, though this usually happens with their own bonds or with mutual funds from their daughter companies. Other banks are pretty honest. But be aware that nobody has a crystal ball. Ultimately it's your decision and you'll be saddled with any losses. The bank doesn't really care either way. It may be honest advice, it may be honest advice but ultimately false, it may be a scam by the bank, it may be bullshit by a stupid advisor without bank involvement. Take it with a grain of salt. I wouldn't "trust" your advisor so much as I'd take their recommendations into consideration. But still do at least a cursory due dilligence on your own! For some pointers, have them explain their reasoning to you why they recommend exactly those securities and then maybe follow up on some leads they give you.
Although on your entry level with tiny investments it's usually not advised to go around an pick individual titles. You *have* to diversify to lower your risk, but each transaction racks up fees. It's usually safer and more cost effective to buy funds, especially ETFs. Unless you really know what you're doing or you have some special attachment to those 5 companies it's very very hard to beat the market on just 5 stocks.
As a beginner over-weighting bonds is a good idea, although right now is not really an optimal time. Which country are they from? The US is starting to hike interest, Europe is still a bit off, but it's coming. And when the interest rates go up, your bonds will tank (unless you don't care and want to hold until maturity anyway, but they will still pale in comparison to newly issued bonds). But again, a bond ETF may offer better diversification and targeting.
Good luck and have fun.
Jordan Butler
Im considering buying bonds in the government.
I was called by a man from my bank who suggested that we invest my money so they don't loose money so I'll see what he has to say.
I would have no idea what I would be doing if I bought stocks desu but I'm considering using a few money on some stocks still but it's a bit risky isn't?
I'm from Denmark here the average economic growth the last 10 years has been 0 % so I guess they could use my bonds but I don't really know. I'm gonna look it up lol.
Thank you for your answer :)
Andrew Morgan
>"Should i trust the advisor in my bank or will they try to cheat me"
>"trust"
top kek
banks make bank by selling their clients (shit tier) products of any variety. bankployees have quota's to fulfill. also its illegal for a bank/advisor to give stock recommendations. better off trading your own plan if you are looking to invest.
Carson Harris
>also its illegal for a bank/advisor to give stock recommendations.
Here it is legal but there are laws on what they can suggest.
>better off trading your own plan if you are looking to invest.
So far my plan is to buy government bonds but I have almost no idea what I'm doing so I'm considering talking with an advisor at my bank first.
I never invested money before so I'm afraid I'm gonna screw it up
Asher Diaz
>Im considering buying bonds in the government.
>I'm from Denmark
Probably not worth your time. Just looked up 10 year bonds from Denmark: They have a yield of around 0.4% per year - before taxes, transaction fees and whatever your bank charges to hold your securities for you. That's the trouble of living in one of the best and most stable countries - very very low yields on government bonds. Investors trust Denmark to repay its debts and accept these low yields. It's the same in my country. Doesn't help that we're still not fully recovered from the recession and there's still very little demand in European stock markets, means more money in the bond markets, means lower yields.
Joshua Johnson
>my plan is to buy government bonds
in that case do some prep work research.
gov bonds are a safe bet but the return on investment is on the low side. if you plan on actually making money then some risk should be involved in your decision making process.
whatever you might decide though: Diversify. also dont bother with derivates brokers like markets.com or some shit.
Wyatt Martinez
I'm not looking to earn money yet my goal so far is just to invest the money in a safe way instead of having them in my bank losing 1-2% value each year.
0,4 % pr. year is pretty low though! It's only the double of what my bank gives me each year for having the money in an account there. What is the site called where you look it up? I will check out other countries.
Yeah I'm considering besides investing in some safe bonds buying 5 stocks for 200 $ each. I don't want to risk too much because I'm inexperienced
Levi Sanchez
>dont bother with derivates brokers like markets.com or some shit.
lol what are some good brokers?
Samuel Anderson
bloomberg.com
Here it says that the yield for a government bond in Brazil is 10,81 %. Is that pr. year or is it the yield in total after 10 years? It's the yield for the 10 years isn't?