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Can Stock Options Trading Make You Rich?

Can Stock Options Trading Make You Rich?

Reading Time: 2 minutes

If you know what you are doing, yes, stock options trading can make you rich.

But if you are thinking that it is some form of a get rich quick scheme, then you are wrong. Sorry to disappoint you but there is no such thing.

Don’t fall for get rich quick schemes. It takes time and effort to build wealth properly.

– Dave Ramsey

Like any other investment vehicles, stock options trading carries its own degree of risk. When you invest in something, you are always exposing yourself to the uncertainty of the situation. There is always a chance that the result will not turn out to be the way you expect them to be. In fact, if you are not careful, you might end up losing a lot of money trading options.

The good news is that there is actually a way to minimize risk. But first, you must get rid of the get rich quick mindset. Success and wealth does not happen overnight. It takes a lot of time and effort. Once you realized this, then you are now ready to make your investment.

However, going into trading without knowledge is akin to gambling. It is no longer investing.

Without wisdom, gold is quickly lost by those who have it, but with wisdom, gold can be secured by those who have it not.

– George S. Clason

Financial literacy is always the first step in achieving your financial goals. Since stock options trading requires technical knowledge, it helps to have mentors that can teach you about stock options, especially for beginners.

Mentors are people who are experts in that particular field. Stock option trading mentors are seasoned traders. They have deep understanding, knowledge, skills and expertise on the trade. They don’t just make predictions. because they have used proven and tested strategies for years. Moreover, they read company profiles and financial statements, analyze data and study chart patterns. They use algorithmic trading programs and fundamental analysis. Then, they come up with sound and efficient strategies using the knowledge and information that they have.

Yes, you can read and study about stock options trading on your own. But having the guidance of mentors can make your journey towards wealth easier and faster.

Good luck!

Interested in knowing more about stock options trading? Register for a free webinar now.


Feature Image from Pixabay Images.

Posted by A.L. Jonas in Financial, 0 comments
How to Adapt to the Digital World

How to Adapt to the Digital World

Reading Time: 2 minutes

The world is moving at a rapid pace towards digitalization. Sooner or later, we will be living in a world of paperless existence and our smart phones will take the place of our credit cards and paper money. Businesses are trying to automate. People of all ages, are trying hard to familiarize themselves with technology. Gone were the days were you have to wait for the bills in your mail. With all these changes, how to adapt to the digital world?

Digital Transformation

What is digital transformation? Digital transformation is the use of technology in all areas of the business. With digital transformation, you are not only changing the business processes. You are also changing the status quo. It is a cultural change that will ultimately alter the habits of people. For instance, in the new normal, employees will be working remotely from home. There will be restrictions in in-person contacts and interactions. As the businesses change, people will also begin to change.

Although the world is already going towards digital transformation, the pandemic accelerated the process. If business owners will not adapt soon, their businesses might suffer. As businesses begin to digitize, people are forced to adapt and learn new technology, applications and processes.

Tips on How To Adapt to the Digital World

Here are some tips on how to adapt to the digital world:

1. Be Open to Change

If you think the world will go back to how it was before COVID-19, think again. We are in a whole new world. There is no going back. So, stop resisting. Learn to let go. Be open to change. Be open to new experiences.

2. Learn Technology

It will be difficult to live life in the new normal without learning technology. Technology is a mainstay in the contemporary world. It is already a part of our world from banking, medicine, retailing, and communications.

3. Upgrade Knowledge and Skills

As more and more business processes become automated, jobs that used to be done by humans will now be done by robots. So, it is best to upgrade your knowledge and skills, In order to remain competitive, basic knowledge on technical and digital know-how is now a basic requirement.

4. Invest in Technology

Technology is now a necessity. As employees begin to work at home, children also began online learning. Technology is now needed to work, study, earn, pay your bills, and communicate with others. Thus, it is important to invest in gadgets such as computers, smart phones including the internet.


Feature Image from Pixabay

Posted by A.L. Jonas in Occupational, 0 comments
How to Manage Stress

How to Manage Stress

Reading Time: 3 minutes

Are you under too much stress? Do you feel like giving up? Are there so many things in your life to be worried about right now? Do you feel powerless? If you do, then you are obviously stressed out. Stress is not necessarily a bad thing if it can become your source of motivation to improve yourself and your life. However, too much stress can affect your health. That’s why it is important to learn how to manage stress.

What is Stress?

Everyone experience stress. It happens when you have too much pressure which is much more than you can handle. The World Health Organisation (WHO) defines stress as “the reaction people may have when presented with demands and pressures that are not matched to their knowledge and abilities and which challenge their ability to cope”.

Components

Based on the WHO definition, stress has three components:

  1. Demands / Pressure – This means that there is an outside force that is compelling you or forcing you to do something.
  2. Knowledge and Skills – Knowledge pertains to your understanding about a specific subject or situation. Skills are learned ability or expertise on something.
  3. Ability to Cope – How you are able to deal with responsibilities, challenges and difficulties plays a big part on your stress level

In short, stress arises when the outside pressure is not at par with your knowledge and skills. You will be better equipped in handling the same situation if it arises again only if you have learned from that past experience and made conscious effort to improve yourself.

Take a look at the video by Ted-Ed to find out how stress affects our body.

Thus, it is important that people learn how to manage stress. Here are five techniques in managing stress.

1. Take a Break from the Stressor

A stressor is the one that causes the stress. A stressor can be a person like your boss, life changes like a death of a loved one, an everyday problem like money issues, an environmental problem like a calamity or a health crisis such as the pandemic. While it might be impossible to completely distance yourself from the stressor, you can take a break from it by doing something else that will keep your mind off things even for just 20 minutes.

2. Exercise

When you exercise, your body produces endorphins, a hormone that acts as natural painkillers and mood elevators. It also improves your ability to sleep. Thus, exercise not only benefits the physical body but the mind as well. Thus, doing regular exercise will help lower your stress levels.

3. Smile and Laugh

When you smile and laugh, your body also releases endorphins. Endorphins lower your stress hormones cortisol. Too much cortisol produces negative feelings. A good hard belly laugh can reduce tension. Even a fake smile helps reduce stress and lowers heart rate. So, if you want a quick release of tension, forced yourself to smile.

4. Get support

A co-study done by Sarah Townsend of USC Marshall School of Business, Heeding Kim of UC Santa Barbara and Batja Mesquita of University of Leuven, Belgium that sharing your stress or worries with someone else, especially if that person is undergoing the same kind of stress, helps decrease the stress. It is important to talk to someone who understands you. A support group is necessary in life.

5. Meditate

Meditation is deep state of relaxation and tranquility. Meditation controls our breathing, pulse rate and blood pressure. It is a simple technique, but if practice just for a few minutes, it will give you many benefits. It releases negative emotions and helps clear your mind of worries.


First published in Pinoy Smart Living on 01.06.2019

Feature Image by kalhh from Pixabay Images.

Posted by A.L. Jonas in Emotional, 0 comments
Building Wealth and Success Through Leverage

Building Wealth and Success Through Leverage

Reading Time: 3 minutes

Many people dream of becoming wealthy. However, the road to wealth and success is long, hard and winding. This is the reason why only a few made it big. Most people gave up along the way. Unknown to many, there is a shorter way to success and that is through leverage. It is possible but very difficult to make it on your own. After all, we are all humans and we all have limitations. But building wealth and success through leverage will allow you to use resources that is beyond what you can offer making the journey a lot easier and faster.

What is Leverage?

The Cambridge dictionary defines leverage as to use something that you already have in order to achieve something new or better.

In short, leverage is using something to achieve something with less effort. Think of it as a lever. A lever is a bar that you use to make your work easier. It allows you to use less force to lift or move objects. Items such as scissors, nail clippers, hammer, staplers, bottle openers, brooms and gym equipments are all examples of levers. They are machines or equipments that you use on a daily basis to make your life easier.

A Lever is used to make things easier.
Image Credit: OpenClipart-Vectors from Pixabay Images

Just as you use leverage to make your life easier on a daily basis, you can also use leverage on your journey towards building wealth and success. Using leverage is the same as working smarter rather than harder.

The hours that ordinary people waste, extraordinary people leverage.

– Robin Sharma

What are the different forms of leverage?

There are many forms of leverage that you can use on your journey to wealth and success. Here are some of them:

1. Financial Leverage (Other People’s Money)

In finance / economics, leverage is defined as to use money to get more money. In short, it is using other people’s money to start a business, buy an asset or finance an investment. Examples are borrowing money from a bank to purchase real estate or looking for an investor to your business.

2. Time Leverage (Other People’s Time)

Did you know that the wealthy thinks that time is more valuable than money? Why? It is is simple you can use time to buy more money but you cannot use money to buy more time. Even if you lose all you money, you can still get it back but with time, you cannot do that. Whether you are rich or poor, successful or struggling, we all have 24 hours in a day, no more no less.

So, stop doing everything on your own. Delegate some of the work to others so that you can focus on doing the important tasks.

3. Talent Leverage (Other People’s Knowledge)

No one is a master in everything. Let’s face it, there are other people who are more talented than you. They have more experienced and have greater skills than you in a particular field. Why not use them to have an organizational advantage? Make them a member of your team and a part of your support group.

4. Network Leverage (Other People’s Connections)

Networking is important in our lives especially if you have a business or you are into sales. However, humans have limitations as far as connections and social relationships are concern. That’s why you need to tap into other people’s network to expand your own.

5. Marketing Leverage (Other People’s Audiences)

If you are a business owner, a blogger or a social media influencer, you know that it is hard to establish a brand especially if you are a start-up. Through marketing leverage, you utilize other people’s audiences through their magazines, newsletters, etc. to communicate your message and build awareness of your product or service.

In short, what matter your goals in life are or what industry you are in, leverage can multiply your efficiency. You can use just one form or you can use all at the same time. The point is, you accelerate your growth through leverage.

Remember, work smarter not harder.


Feature Image by Gerd Altmann from Pixabay Images

Posted by A.L. Jonas in Occupational, 0 comments