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How To Get The Best Life Insurance Quotes Online

Life insurance can serve a number of purposes whether it is to pay off your debts, send your children to a good university, or replace your income if you die unexpectedly. You can also use your insurance policy to cover your final expenses such as burial and funeral, or to help maintain your dependents' standard of living. With all these things in mind, you should do your research to get the best life insurance quotes online from a reputable insurer that you could trust.

Get Some Facts about Insurance Companies

The first step to take when looking for the right insurer is by doing your research and checking the history of each insurance company. You should look for a financially stable and established insurance company that has been in the industry for years instead of an unknown fly-by-night insurer. After all, the last thing you want to go through is having to deal with major problems when making a claim once your policy expires. So, with some careful research, you can find the right company that you can trust.

Obtain Multiple Quotes

Once you have found at least top 3 of the best insurance companies within your area, then you can begin asking for quotes. You will need to disclose factual details about yourself your health, occupation, lifestyle and other relevant personal information. When you do so, just be sure to be truthful since insurers will make an in-depth review of information you have given them before they give you a quote. Once you have received quotes, you can start comparing and choosing one that matches your budget.

Get the Help of an Expert

Still unsure about the coverage you want? Or perhaps you have no idea how much life insurance you need? If so, then the best thing to do is to ask an expert who can provide you with professional advice on how to choose the best coverage for you. Alternatively, you can consult a broker who can lead you to a number of reputable insurance companies that offer reasonable quotes to potential clients.

Bottom Line

To get the best insurance quotes online, you should prepare and plan carefully before you start looking for a good insurance company. Making simple lifestyle changes and enhancing your health condition can also help in giving you cheaper premiums that you can afford. These tips should also guide you once you begin your search for the top insurance companies you can trust.

Penny Stock Returns

Why do people invest in penny stocks if they are so risky? The answer lies in a few facts as well as a few misconceptions about penny stocks. First let us look at the positive side of how penny stocks can be more profitable.

It is a well-known fact in finance that risk and return have a positive correlation. This means that an investment that carries a greater risk will also give higher returns. The reason for this is very easy to understand and is almost intuitive. Suppose you had $10,000 to invest and two options A and B. Option A is a secure government bond that gives you 5% return, while option B is a higher risk investment in a company that will pay you only if it makes profits. Assume that this company has a history of making 5% profits over several years and is likely to continue on the same lines.

That is, you can expect to get a return of 5% in future years, but that is subject to the company making the same level of profits. Where would you invest your money? If the returns are likely to be the same and if you are a sane person, you would obviously invest in the risk free option. Now suppose, option B were to pay you not 5% but 15% consistently, you might be tempted to put your money in it. In other words, a higher return can make you to invest in a riskier venture.

Since penny stocks are higher risk alternatives compared to regular stocks, the only way they can attract investment is by holding out a promise of higher return. How would a penny stock offer a higher return? This will be done not directly by the stock or the company, but by market forces. The market price of a stock is fixed on the basis of a few factors such as its intrinsic value and the return yielded by it. The market price of a stock divided by the return it gives is known as the price-earnings ratio.

For example, if $10 stocks were to be traded in the market at $20, and the company earns a net income per share of $1, the price-earnings ratio is 20. The price-earnings ratio will be higher for solid stocks that are known to be backed up by good management, have a history of consistent and good performance, and are perceived to be stable. The price-earnings ratio for stocks that are riskier, unknown and do not enjoy a positive perception will be much lower.

This means that as against the example of price-earnings ratio of 20 that we assumed for a stable and well-known stock, a penny stock may have a much lower price-earnings ratio, say 3 or 4. Actual figures will depend on a number of other factors also.

Because of this, a penny stock will be priced lower for the same level of net income, and will therefore yield a higher return on the investment.

Finding The Slumbering Giants In The Penny Stock Marke

We all agree with the fact that big companies definitely start from somewhere. And that somewhere could come from very humble beginnings. Too humble, in fact, that no one would have guessed quite correctly that they would be able to reach in one of the big earning companies in todays era. In the field of stock markets, they are what are being termed as the slumbering giants.

Today, you think that they are just but one of those companies that will soon be categorized in the trade oblivion. But tomorrow, you will definitely forget that they have been once small companies because they are the leading companies in the stock market.

For instance, think of Sony or Nintendo. These are big shot companies that no small firms would like to compete with. But prior to this, they were just but a small starting company with only a few thousands to spare as their market capitalization. Look what has come of them now? Now, consider Steve Jobs. Yes, he may presently be the worlds richest men. But remember that he started off in his parents garage working on his masterpiece. Apple is a tycoon with billions of dollars as its capital now.

However, it also started from garage somewhere in a quiet suburban location which not many people expect of an empire such as Apple. In fact, previous Apple could have fit in the category of a penny stock company.

Why penny stocks?

You would wonder what is so great then about penny stocks and how does it relate with these business company leaders of todays era? Simple. It is the fact that you can first locate these big companies in the penny stock market while they are still in their budding success. If you invest in these companies, you will be the one who will first receive the reaped benefits of a slumbering giant. And that is a good potential that you dont want to lose.

Finding these slumbering giants can be quite a challenge. It is because they rise gradually or they get successful quickly. Either way, you dont know when. You have to possess the business acumen to decipher which company has the best promising potential to grow. And once you considering them giants in the making, then it is best that you hold on to these stocks. Wait for these companies to grow in the right time so you would be able to enjoy the fruits of your labor.