Why You Do Not Need Life Insurance after You Retire

Why You Do Not Need Life Insurance after You Retire

Life insurance is not always mandatory. Obtaining a life insurance policy significantly depends on your financial condition. The purpose of life insurance is to provide for needs when there is loss of income due to these factors . Life insurance helps protect your spouse and children from poverty in the case of your untimely death. However, once your children become independent enough and you and your spouse accumulate sufficient assets, the requirement of paying the premiums for life insurance becomes much lesser. There are some questions you need to ask yourself when considering whether or not life insurance.

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Future contract trading

Future contract  trading

A futures contract allows traders to speculate on the price movement of commodities, currencies, stock market growth and other assets. Consider the fluctuations in the price of a commodity like gold. A futures trader profits by anticipating the direction gold prices will move. To understand, futures trading and futures markets we can consider one of the earliest forms of future trading in the past.

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Types of Life Insurance

Types of Life Insurance

Building wealth is an activity which everyone is keen on partaking in. But in order to build wealth, it is important to have a personal discipline, having an understanding of current events so you have an idea of what to do and finally, it is important to have the right type of life insurance. There are two types of life insurance, term and single premium. Term insurance is “renting” life insurance coverage. The insurance coverage is calculated based on a person’s mortality rate and the calculations made by the actuaries of the insurance company and therefore, provides a rough estimate of the sum of money a person’s heirs will receive. Generally speaking, as a person lives through each year they are closer to death. Because of this the premium on the insurance would increase every year. So instead of having to pay more and more sums of money to insurance companies each year, the companies offer something known as “level term policies” and the insurance premium is guaranteed not to rise over a specified period of time, although you would have to pay a little bit more than usual in the first year. For example, an insurance company would offer you a steady premium payment of over 10-30 years. But the problem arises when the level term policy reaches its end and the premium rises again in price.

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How to buy stocks

How to buy stocks

So you want to start buying stock ?, but don’t know where to start? Here are a simple few steps to getting started and understanding the world of stock trading. While it sounds difficult at first, it actually is easy once you get the hang of it. To start off, you have to make a broker account with your local exchange, this will give you the power to buy and sell your stocks.

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What is Life Insurance?

What is Life Insurance?

life insurance
life insurance

Life insurance could be one of the most important financial decisions an individual could take in their life. After some one dies, it is entirely possible that someone could suffer financially. This includes spouses, children, aging parents or even business partners and employees. So to put it simply, life insurance is an agreement and a contract between a person and their insurer (who helps them process the life insurance) where the insurer will pay a sum of money to a specific person upon the death of the individual. Experts have a rule of thumb, where they recommend an individual buys life insurance from 5 times to as high as 20 times their annual income. However, life insurance is an extremely important asset to have, so people should not follow the rule of thumb blindly.

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Put Option

Put Option

A put option is an option contract giving the owner the right, but not the obligation, to sell a specified amount of an underlying security at a specified price within a specified time. This is quite opposite of a call option, which gives the holder the right to buy shares. If the price of the stock declines below the specified price of the put option, the owner/buyer of the put has the right, but not the obligation, to sell the asset at the specified price, while the seller of the put has the obligation to purchase the asset at the strike price if the owner uses the right to do so. In this way the buyer of the put will receive at least the strike price specified, even if the asset is currently worthless.Put buying is the simplest way to trade put options but should be careful.

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What Is Mortgage Life Insurance

What Is Mortgage Life Insurance?

mortgage life insuranceSuppose you have purchased your own house. All the amenities and bills are yours to deal with and you can build and furnish the house however you please. When you are doing the paperwork with your associated banker, they ask you if you would like to purchase mortgage life insurance. Mortgage life insurance is a product bought directly from the bank and bought directly to take care of the house. As you continue to make payments on your home and on your mortgage, the amount of life insurance declines and reduces. The beneficiary is not your spouse, your children or any family member, it is the bank or the mortgage company. So if something tragic happens to you, premiums go directly to the bank to pay off your mortgage completely.

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Call Option

call option

Options Contracts  is one of the types of derivatives . In the Options Contracts  have further  two types  call option and put option , right now we will discuss about Call option. A call option is an agreement that gives an investor the right (but not the obligation) to buy a stock, bond, commodity, or other instrument at a specified price within a specific time period.The seller (or “writer”) is obligated to sell the commodity or financial instrument to the buyer if the buyer so decides. The buyer pays a fee (called a premium) for this right.When a call option is bought, you are buying the right to buy a stock at the strike price, regardless of the stock price in the future before the expiration date. To compensate for the risk taken, the buyer pays a premium fee, also known as the price of the call. The seller of the call is said to have shorted the call option, and keeps the premium (the amount the buyer pays to buy the option) whether or not the buyer ever exercises the option. 

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What is Binary Option

What is Binary Option

A binary option is a type of option in which the payoff is structured to be either a fixed amount of compensation if the option expires in the money, or nothing at all if the option expires out of the money. The success of a binary option is thus based on a yes or no proposition, hence “binary”. A binary option automatically exercises, meaning the option holder does not have the choice to buy or sell the underlying asset.

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How to Find Good Stocks to Trade

How to Find Good Stocks to Trade

Whether you are looking into investing into stocks or mutual funds, you will need to focus on minimising your transaction costs. By rule of thumb, the transaction cost should not exceed 2% of your total purchase and this is what smart investors do to protect their assets and ensure profitable returns. Transaction costs are usually common in brokerages, but there are brokerages and markets which do not charge you a transaction fee or a commission.

For example, if you are investing $350 in the market, 2% of the purchase is $7 and that is the ideal transaction fee for this situation. Especially for small-time investors and new brokers, experts have always recommended to invest in businesses one understands and businesses which interests an individual.

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