GETTING THE BEST OUT OF SHARES
Ever heard someone boast about 'playing the share market'?
It sounds dangerous and implies that investing in
shares means you either make a fortune or lose everything.
Certainly, there are speculative shares and investing
in them is similar to gambling. But they are just
a small part of the market. There are also many blue
chip companies that have paid increasing dividends
for years.
A major benefit of shares is that you can invest in
small parcels - you don't need to outlay $100,000
or more as you do with property - and you can sell
in small chunks as well. Another important benefit
is that many shares pay franked dividends which are
tax-free for most investors. How well have shares
performed? Well, if you had decided 20 years ago to
invest $100,000 in a managed fund that matched the
All Industrials Accumulation Index, you would now
have over $3 million.
Of course most investors feel that picking the right
shares is beyond them. That's why managed funds such
as share trusts have become so popular. They enable
people to pool their money and invest it under the
guidance of an experienced fund manager who makes
all the decisions for them. One of our senior financial advisers
would be happy to discuss this with you - just telephone
your nearest Whittaker Macnaught office to arrange
a meeting.
|
