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The stock market is considered as one of the fastest ways to get rich. I can give ten good reasons for saying so. For these very same reasons also, I love to invest in stock market.

1.) Stock Market investment provides potentially great returns.

Warren Buffett, the world’s expert in stock market investing, acquired his great wealth purely from stock market investments, perhaps the only one among the world’s ten richest able to do so.

If you had joined Warren Buffett about 53 years back in 1956 and invested your US$1,000.00 (worth only about $7,760 in 2008), you would have been richer by US$30.6 Million by now! That’s the tremendous wealth-generating power of the stock market! In the early years of Warren Buffett’s investing career, his rate of return had reached almost 30% compounded annually.

2.) When you invest in stock market, it makes you “part-owner” of that company you invest in.

To “own” a Jollibee outlet, you would need 20 to 25 million pesos to get a franchise plus spend some time and effort running the franchise store and experience headaches as an added bonus. Why not just buy stocks instead, from Jollibee Food Corporation (JFC)?

At prevailing market prices, your P5,000 can already invest in 100 shares of Jollibee stocks. And because shares of stock represent part of a business, that makes you a part owner of its more than 1,500 branches in the Philippines and around the world. As a bonus, you also get to own other known fast food restaurant chains like Red Ribbon, Chowking, Deli-France, a popular fast-food chain – Yonghe King in China and a popular teahouse chain in Taiwan called Chun Shui Tang plus the latest in Jollibee’s ventures, “Tio Pepe’s Karinderia”. Cool, huh?

So next time you eat at Jollibee, proudly tell your friends and relatives how much you enjoy eating there. Why? Because you are one of its owners.

Do you delay paying your utility bills? What better motivation could there be for promptly paying your bills than owning stocks of PLDT, Globe Manila Water or Meralco?

3.) You belong to an elite group of people if you are a stock market investor.

Asian Development Bank came out with a study showing that as of 2005, out of the 87 million population in the Philippines, only 600,000 or roughly only 0.7% invested in the stock market. That’s less than 1% of the entire country! Most of these players are from the Class A and B segments.

Stock market investing is neither a race nor multilevel marketing where the first ones on the scene get the biggest slice of the proverbial pie. But I feel most privileged out of 90 million other people to belong to the few pioneers who ventured out there in the field of stock market. For after all, stock market investing is not just for the rich and the famous.

One interesting consideration is the fact that the Philippine stock market is still at its infancy stage. But a lot of exciting new things are going to happen within the next 5 years. For one, the Philippine Stock Exchange will soon cater to afternoon trading sessions. This was originally planned for mid-2009 but was postponed due to market conditions. Then there is the proposal for the Philippines to linkup with other stock markets in Southeast Asia by 2012. When this unified trading system happens, it will enable us to trade stocks with other Southeast Asian countries at the click of the mouse! Talk about investing globally online!

Know more about stock market investing visit the blog of Zigfred Diaz to learn more.

categories: stock market investing,stock market investment,how to invest in the stock market

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