Investing in shares sounds really interesting, though many people would prefer to start with small amount. To learn trading, you are required to know about the stock market in detail, the shares and the way to trade. Highlight on the risks involved and how to become a smart investor in dealing with shares.
Stock Market
This is the place where shares of the listed companies are sold and bought. In Spain, you have Barcelona Stock Exchange and Madrid Stock Exchange. In United Kingdom, you have London Stock Exchange and FTSE International. In India, you have NSE and BSE as 2 major stock exchanges. In Germany, you have Frankfurt Stock Exchange. In Belgium, you have EASDAQ to list a few.
How to begin with share trading?
First of all, you are required to open an account with your bank. Tell your banker that you wish to deal in shares.
How to buy shares?
Shares are sold and bought by you through registered or approved brokers or sub brokers. Some banks even act as brokers. Your online order for purchase can be carried out by the bank. In this regard, banks charge a broker commission which is considered much less when compared to the charges of private brokers. Depending on the total amount of the profit earned, the tax will then be deducted by the bank.
When are shares sold or bought?
Always sell shares when the price is up and buy when the price is down. Everybody has to learn and become accustomed with this old formula.
How to sell shares?
For selling and buying shares, it is essential to be familiarized with which shares need to be bought, at which price and when to sell them and at which price. As and when you choose to sell, you can sell them through the online trading system depending on price quoted in the market.
Take the amount spent to buy shares as an investment. You usually buy a share for a particular price. Any bank will be lending you certain interest rate. Never wait for the market to crash and then start researching and looking for buyers to get the price you quote.
When you want to buy shares, seek peer companies, their price and then compare with the company you wish to buy. Always look for prospectus,
0 comments :
Post a Comment