All about investing
Investing, a wise choice?
Investing involves risk. But taking risks often goes hand in hand with high potential returns. Read our article and discover the main reasons to start investing.
Investing involves risk. Find out what you need to know before you start investing in order to limit your risks as much as possible.
Misconceptions about investing
Investing can make you a little nervous. In this article, we debunk some of the big myths about investing.
Some definitions :
When investors buy shares, they become shareholders, conferring on them joint ownership rights in a company. This means that when the company is doing well, they can share in the profits, but if the company is not doing so well, they may also sustain losses.
If the company earns a profit, it may decide to distribute all or part of this to its shareholders. The shareholders then receive dividends.
Equities are a risky investment. Their value is constantly changing. You never know in advance how much you will earn when you sell them.
– Real estate via certificates
There is a wide range and diversity of investment funds.
Like investment funds, trackers give you access, via a single transaction, to an extensive portfolio.
Like equities, trackers are listed on the stock market and are continuously traded there.
When you buy a bond, you lend money to a company or to public authorities for a defined period. In exchange for your money, the company or the public authorities pay you interest. Upon maturity, the money you lent is repaid.
The issue of a bond, like bank credits or equity issues, provides companies with the capital needed to grow.
Most bonds have a fixed term, or maturity. You know exactly when you will get your money back.
Past performances aren’t a guarantee of future returns. MeDirect does not provide investment advice.