Forum Archive Index - July 2000

[Brian Gale <brigale@i4free.co.nz>]

Hi Marg,

        

I would
say, that for the majority, the answer is a BIG NO

        

To live
even modestly you need income, say a modest income of $40,000 p.a.
(before Tax, say $30,000 after tax)

To earn this on  a capital outlay of  say $100,000 you are
requiring a 40% return.
This is presuming you have this amount of capital to start with ?

If any one in the forum was able to achieve this sort of return by
investing in the NZ/AUS  markets in their currently depressed
states, I am sure the rest of us would like to know how !!
If you are investing, your primary return (income) is from Dividends -
which Company pays 40% ?

If you are trading, i.e buying/selling for Capital Gain the
NZ/AUS

      

market currently
does not have sufficient volatility in other than very high risk
stocks  so this can be very hazardous and need an expertise
which most of us would not have. Again it would be of interest to learn
from anyone who made $40,000 from our local markets, on a capital outlay
of $100,000 

IMHO to be an investor or trader one must have a reasonable income to
start with.  and some 
surplus money, after day to day living expenses are paid,  that can
be invested with the hope  that the '  market '  will
provide a better return that fixed interest from Banks, Gov. Stock
etc.

BG


At 09:24 02-07-00 +1200, you wrote:
> Anybody willing to comment
> ?
> Is it possible to make a modest living after tax by
> only trading shares on NZ and Aust market?
> and how much money would you need to have
> invested.
> Thank you Marg