By taking smart investment tips, you are considered that you have already prepared your future. The first choice of investment that you can do is purchasing gold. The price of gold will not low drastically so you can choose the gold as a great investment for you. Also, it can be used anytime when you need it so you will not get any difficulties if you face a problem.

Purchasing the right insurance is also considered as one of smart investment tips you should know. By shopping for any kind of insurance you prefer, you have already tried to maintain your financial condition so you can prevent that may happen in your life.

Buying some stocks is also a good smart investment you need to think about. If you are interested to get the stocks, you need to consider the industry that has a stable condition so you do not need to be afraid about your money. Also, you should consider the industry that has well reputable in this field so you’ll be guarantee that you’ll get the profits. You must be certain in taking the best option for your needs.

Predator is one that preys, destroys or devours, relating to, or practicing plunder, pillage or rapine, showing disposition to injure or exploit others for personal gain. Prey is one that is helpless or unable to resist attack.

Millions of credit card holders became innocent victims of credit card companies. Slick advertising lead applicants to believe they were applying and pre-approved for a zero or a low fixed interest loan but soon to learned that was not necessarily the case. They learned that Interest rates are set on a “risk based” interest level which is predetermined by the loan company. So, much to their surprise their account interest was not zero but some level above zero and subject to increase under certain circumstances. Those who questioned this change learned that provisions hidden in fine print in their application gave the company permission to adjust their interest rate based on their credit score again determined by the credit card company.

Predator financing became legal and lucrative when our legislators lifted the usury rate for credit card companies and giving them authority to add late fees for late payments, overdrawn accounts, non sufficient funds checks and even if the company learns that their debtor violated any of those sins with any other creditor. Lending agencies trade information with our national credit reporting agencies on a monthly basis leaving very little chance that they would not learn of any of these rules were violated with other creditors.When Senator Biden was campaigning for Vice President he was interviewed by Tom Brokaw. Mr. Brokaw asked the Senator about his voting record regarding credit card legislation that would regulate interest rates and other fees. BNA, a large company in the credit card industry, was strongly lobbying for legislation that would lift the usury rate for them and others in the same business which was just one of several favors they were asking for through new legislation. Tom Brokaw told Senator Biden that he knew the Senator voted three or four time against proposed legislation that would have much more favorable for credit card customers. Senator Biden did not deny his votes and agreed that he knew BNA wanted these changes. Mr. Brokaw stated he knew that the Senator received favorable donations from BNA. When asked if the fact the Senator’s son was working for BNA had any influence on his votes, Senator Biden denied that his son working for BNA had anything to do with his votes on this legislation in fact they never talked about it.

Some states have usury laws on record but they do not have authority over credit cards interest with most large banks. The state banking commission in Nebraska states that in the case of credit cards if both sides agree the interest rates are not regulated. Most if not all Large banks have a federal charter which serves as an immunity from state banking laws. There are some recently passed limited regulations in regard to credit card financing which prompted the banks to quickly raise interest rates, cut card limits before the new legislation became law. However, these new regulations are not apt to make any significant favorable changes for the creditors.

Some might ask “since bond can be purchase on the market why i have to pay money for someone to buy it for me?” it is very simple, an investor exposure to the bond market might be as great as the fund manager did and thus with the fund manager always on the lookout for bond to purchase and managing the return distribution to investor that small amount of annual management fee is perhaps worth it but if investor themselves are exposed to great amount of bond then you might consider buying it yourself but again it is good to not overestimate yourself on the market.

Secondly, is the money market fund. It is widely believe that the money market fund is a conservative investment instrument which is similar of those from bond fund however the difference being that for money market fund the fund manager will invest more in short term debt securities rather than bond which are long term investment. The money market fund is suitable for investor who are looking for short term investment that is conservative while preserving the investor cash and earn a small interest based on the investment return; prices for this fund will remain stable and usually will not be less than $1 and if it is lower than the benchmark of $1 the fund is said to be “fail” but however statistically it rarely happen. Those investor who are looking only for steady income then perhaps spreading the investment to bond fund and also money market fund will be good as it allow investor to spread investment risk while gaining both long term and short term income from these funds; as for annual management fee the fee is low and is close to the fee chargeable by a bond fund.

Thirdly, is the equity fund. This fund involve the purchase of many different type of equity depending on the investment patter by fund manager set forth in the proposal or master prospectus. This type of fund comes with a greater risk than those two fund mention earlier as it involve investment in the equity market that is volatile and changes according to the economy; this type of fund is the all-time favorite for many investor who are looking for greater investment return and are willing to take risk ranging from moderate to high risk. The annual management fee is among the highest charged to investor as it involve the fund manager full attention to the market performance and the equity market to achieve its investment objective set forth; equity fund comes in a variety of format such as equity fund that aims to buy on undervalued stocks, equity fund that focus on purchase of blue chips stock and so on which is too wide to be mention. Investor that buy into this type of fund need to monitor the fund by themselves as well and not only rely on the fund manager to do so as it involve higher risk for investor to the extent of losing money.

Coming in will be the Islamic fund, this fund had arisen to the market thanks to the introduction of Islamic banking to the world. This Islamic fund is specifically targeted at the Muslim investor who wanted to make investment but is afraid that the return he or she obtains might not in compliance to the Islamic law and thus this fund offered the platform for them to invest in. Of course, non-Muslim investors also realize the opportunity of the fund and some of them will invest in the fund as well although they are not Muslim. But however investor need to understand a few point before making any investment to the Islamic fund, first of all the Islamic fund investment pattern must adhere to the Islamic law and any violation to the Islamic law is not allowed and thus it will limit the fund manager available investment option that is available on the market. secondly the risk of these fund are usually ranging from moderate to high as well as it had investment limitation that other funds do not have. Annual fund management fee chargeable is higher than the bond market as well, due to fund manager need to spend more time managing the fund and on the lookout for investment that is Islamic law compliant; Islamic fund are available in the form of Islamic equity fund which is similar to the normal equity fund but however the only difference is that the Islamic equity fund investment must be Islamic law compliant.

As a conclusion here, the unit trust fund type is wide but mainly can be categorize into the above categories where each of it have different set of characteristic as well as investment return, risk, annual fund management fee and so on. For investor to succeed in unit trust investment, studies must be done to the fund that you intend to purchase in so that the investor understand the risk involve and can make sound investment decision accordingly.

In addition to the individual economic growth of nations and the general economic situation, including the play currently valid interest rates and the political situation, a significant role. Considering the economic situation in the United States, is obvious that a tendency by the low interest rates as well as the politically explosive situation rather then investors to invest in €. Related to this are losses for the U.S. dollar, leading foreign exchange dealers and brokers forums to higher requirements. Fast action is needed and quick and timely purchases as well as sales are expected to eventually lead to a profit.Despite a relatively high variation in investment transactions in foreign exchange enjoying an increasing popularity.Finally, foreign exchange markets depends less severe fluctuations and risks of loss are significantly lower. As an additional safety buffer can also so-called stop-courses are used to reduce the risk of loss. Then there is the immediate sale of the currency if the contractually defined limit is exceeded.

Many forex brokers also offer their customers a special Forex software that offers current foreign exchange rates in real time. On the one hand, the investors’ ability to the limit for a sale has to fix itself, or can benefit from an already established limit. Who goes on a search for a rich trading volume is usually find in England or the United States. This not only professional traders are represented, but also increasingly offer to a private trade in foreign exchange. In the age of digital media, each his chances even perceive the Internet and benefit from different trading system. But only the investor who is not increased demand for advice, should engage them.

In many cases, a further security criterion that investors who engage in a trade in foreign exchange, are often protected from a total loss. to terminate a loss amounting to 75 percent will be sold. Unlike many other investment transactions is no obligation for the funding obligation. Rather, the individual investor of a so-called leverage, a lever will benefit from additional credit. As an additional safety criterion is the Forex trading system that the individual investor acquires only the right to the purchase of foreign exchange. Who wants a high return potential is, right in foreign exchange, however, the nature of the associated risks are judged objectively.

The first thing investor need to do is, ask yourself one simple question “Am i really prepared to make mid-term and long term investment” while most investor do not understand that for most unit trust investment it has to be long term investment commitment and not a short term commitment as claimed by some agent who simply wanted to make some commission out of your pocket. Investor need to understand that for every transaction, there will be a “service charge” that is chargeable by the financial institution or bank every time investor wish to make a “top up” investment or on first investment, in Malaysia usually it will ranging from 0.25% to 5.5% depending on the type of unit trust you purchase and thus the moment investor buy in some margin already being taken by the financial institution or bank, plus an annual fund management fee that is chargeable every year these annual management fee ranging from 0.375% to 1.80% that will be deducted from the units that the investor hold during the tenure; in addition an annual trustee fee is also payable ranging from 0.035% to 0.08% depending on the type of funds investor invested in. With all this charges it is understood that for the fund to realize profit it have to be a long term investment for the fund to growth for some times then only investor can realize the profit from these investment.Secondly, investor can also make money from the basic concept of “buy low sell high” concept; during the economic crisis in the globe due to fall of US economy some investor that is smart enough realize that “for some to fall there will be some who rise as well” and take the opportunity to invest. The same can be apply to unit trust as well, when economy fall most unit trust price starts to fall as well and thus investor who have some cash in hand might want to utilize this opportunity to buy some units at a much lower price compared to when the economy is doing good, it is because the interest rate for many country during turbulent time will be lowered and thus the lowered interest rate might not generate better return in the bank fixed deposit than in the unit trust. When the economy recovered back to its benchmark investor then can sell off the units to realize the profit of the price difference; but however the degree of the fall in price varies across all fund because each fund invest in different area and thus the degree of price fall will also varies.

It is also important to note that investor must look understand that some funds provide dividend for its investor, some will release dividend quarter, half yearly depending on the structure of the fund and thus it is important for investor to realize this and thus placing your long term investment in some of these funds to earn the dividend given and the difference between bid- offer; here bid refer to the price given when investor sell the units whereas offer refer to the price given when investor buy into units. If investor stay long enough and buy into the unit at the right time then the investor will be able to earn better return; here the “right time” refer to buy when the price are lower or middle range and thus the return for investor will be much greater than those who buy at the peak price; investor must also check out the master prospectus or proposal for the fund u invested in to examine its past prices and to check on several factor such as where the fund invest in, unit price trend, investment objective which is vital for investor to make sound decision.

Some investor might ask since there are so many charges payable, can i still make money from unit trust? The above explanation did provide you some insights. But it is important to understood that buying unit trust from a reputable company does not provide a “guarantee” chance that the fund will make money for you, as it is always stated clearly that “past performance is not an indication for future performance” as a smart investor you need to know that some studies is inevitable if you want your money to work harder for you; there are several key factors that investor need to study on before making any investment decision on any fund, and what will that be? I will do the sharing in my coming article.

As a conclusion, investor can make money from unit trust by bid- offer price difference as well as dividend given by the fund manager; and if manage properly unit trust can be one of the good choice to diversified your long term investment.