American InterContinental University
FINA310-1301A-02: Professor Michael James
February 26, 2013

I am currently employed by a huge investment company and I wrote a position article on the business’s way of investing for small investors. This article produced e-mail answers from possible customers, and my business wants me to answer their questions. A few of these e-mails have labeled investments in the stock market as a no-gain situation. Potential customers want an explanation that analyzes the primary thought concerning risks in these kinds of positions. Within this assignment, I’m going to talk about the cons that small investors deal with in the stock market as well as the pros that are sometimes given to these small investors. Some of these issues that I will discuss are from my past experiences. After I invested in stock, I had a family member take care of them because she did it at no charge.
Some cons in terms of small investors investing in the stock market are that a lot of time is wasted studying the market. In doing this, the investors lose valuable time to stay aware of things. An individual that previously invested in a stock market usually will get data the first day, and the small investor may not get data for a few days after. Small investors do not possess a professional mindset regarding investments. Small investors don’t invest long-term, they focus on bartering. Small investors might opt to do incorrect things at incorrect times. When costs are raised, they choose not to sell due to the fact that they think costs will rise indefinitely. On the flip side, small investors do not like to trade when prices fall either. Lots of times, small investors opt to use full-service brokerage companies that are very expensive. There are a few businesses, such as Charles and Schwab that will show small investors how to invest;