Online Investing



1. If an individual is considering investing in the stock market, online investing is an option to be considered.

True
Using the Internet to complete financial transactions of this nature will allow individuals to communicate with an audience without the need to spend large amounts of time or effort. The Internet also allows individuals to communicate easily and expediently with experts and advisors who understand these processes and procedures. Convenience is another great reason to use the Internet for both communicating with advisors and completing these financial transactions.


2. An investor does not need to be concerned about fraud when investing in the stock market online.

False
Online investing requires the use of the Internet, and the Internet is an excellent tool for dishonest financial schemes. Fraudulent companies may have a website or may contact unsuspecting victims by way of email. When completing transactions online, it is vital to be familiar with the stockbroker and agency the stockbroker represents. It is wise to research any firm or agency in consideration before taking part in their services. Speaking with brokers and agents before making the choice will often allow the individual to determine the education and experience level of the broker and firm.


3. When investing in the stock market, an understanding of how to protect investments in fast moving markets is crucial.

True
With online investing, it is possible to experience devastating losses. Losses can be limited by knowing the risks, and this is done with proper online research. Consumers will need to reach an understanding of how to protect their assets with these fast moving markets before actually completing any financial transactions.


4. Online investing allows the individual to trade and sell stocks easily without delays.

False
In the fast paced market of investing in the stock market online, stocks can soar and drop quickly. With individuals trading at the same time and prices changing rapidly, delays can develop across the board. Reports of prices can lag behind actual prices.


5. We should strive to become as wealthy as possible to insure security for our future.

False
Matthew 16:26 - For what is a man profited, if he shall gain the whole world, and lose his own soul? Or what shall a man give in exchange for his soul?


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