Your Salary and Investment Potential
Among outsiders you can hear it said that stock ownership is a rich man’s game. The fact is—according to a recent New York Stock Exchange Survey—that almost half of all shareowners are in the $5,000-$10,000 a year income bracket. Regardless of your salary or income level, investment is possible if three conditions can be met:
1. If you are assured of a steady income.
3. If you have a cash reserve with which to meet unforeseen emergencies.
A sudden demand for ready cash—to pay a hospital bill, an insurance premium, or your income tax—should come, if possible, from your reserve, not from cashing in your investments. A reserve also enables you to pick and choose. Finally, a reserve permits income investment over a period of time rather than all at once.
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