What factors should I consider before making a stock investment?

  • Is this investment too risky for me?
  • Do I feel comfortable with this investment?
  • Do I have any moral conflict with what the business provides?
  • Is this investment registered with the SEC?
  • What sorts of fees are associated with this investment? Does it have a load that could possibly cancel out the earnings that you would receive?
  • How liquid is the investment? Could I sell this quickly?
  • What would need to happen in order to profit from this investment?

Posted in: Developing a Financial Plan