| For many people the thought of buying into stocks | | | | * Go to the any good finance website, and enter the |
| and shares is incredibly daunting but for those with | | | | company name in the field labeled "Get Quotes". |
| strong hearts and courage, buying your first stock is | | | | * Write down the stock ticker symbol, a 4 letter |
| easier and quicker than it's ever been before | | | | abbreviation. |
| (although there are still some inherent risks | | | | * Write down the price of one share of this stock. |
| associated with this method of making money). If | | | | Its current price will be listed as "Last Trade". |
| this is the first time you are looking into doing this, | | | | * Looking at this stock price, you can use this to |
| and consider yourself a first time investor, then you | | | | work out if it is a suitable stock to work into your |
| will need to thoroughly prepare yourself both | | | | own personal budget. |
| mentally and academically (i.e. studying and learning) | | | | * You don't want to buy stocks at $40 each when |
| for the journey into the volatile markets before you | | | | you only have $30 to invest, for example. |
| go diving straight in. | | | | * If you look at the change field you can see how |
| Now I appreciate you may be quite excited at the | | | | much it lost or gained on this trading day. |
| prospect of easy money, or the fact that once an | | | | * Find the chart, and also find the stocks 1 year |
| investment has been chosen and purchased you just | | | | target estimate - this is something analysts predict. |
| sit back and see if your decision making was all good, | | | | Step 3: Decide How to Invest |
| and this is all positive, but hold back on those tingly | | | | You can choose to invest direct with the company |
| feelings and realise that things can be equally | | | | or through a broker. There are two types of broker |
| devastating. This introductory beginners article | | | | - a full service broker and a discount broker. As long |
| basically explains everything in four easy to follow | | | | as you stick to trusted sources you will be OK. |
| steps to help you get going - does this sound ok? | | | | Sometimes, sadly, there are some unscrupulous |
| You are going to learn how to buy stocks, selecting | | | | companies out there who claim to be brokers, and |
| the right stock, and finally through to making the | | | | are actually scam artists who will gladly take your |
| transaction itself. Back in the olden stuffy days you | | | | money and not even invest it! |
| would have needed access to a stockbroker and a | | | | Full Service Brokerage |
| reputable printed paper to advise on stock picks, but | | | | This is the easiest hands-off option that anyone |
| these days there is a huge plethora of informative | | | | could undertake, but be warned, it costs money and |
| fully loaded websites that can give as much | | | | can be expensive! Its suitable if you have little time |
| information as you will ever need. (In fact it can be a | | | | and a lot of money to invest. You will get |
| minefield knowing which one is best, but that's | | | | professional personal brokers assigned to deal with |
| another story!) | | | | your money and do all they can to grow it for you. |
| There is also a huge range of websites that claim to | | | | The will often advise and help with many other |
| know everything but sadly are misinformed too, so | | | | financial items too. Sadly though it's likely that you will |
| beware is the motto of the day! They are often well | | | | pay often $150 or so per transaction so choose |
| written, professionally produced and look really slick - | | | | wisely! |
| so they often do convince people they are genuine, | | | | Discount Brokerage |
| this is why it's important that you really understand | | | | Basically these are simplistic brokers who offer |
| and know where to begin and start. | | | | written advice articles and the ability to buy and |
| Step 1: Selecting Your Stocks | | | | trade yourself. You will also be given access to |
| The first rule is to remember this magical phrase: | | | | various software tools designed to assist you. At the |
| there is no such thing as a sure bet. | | | | end of the day, the better their service is to you, |
| Only a very few totally unbiased, and reliable sources | | | | the more likely you are to stay using them, so they |
| and publications really exist. | | | | make more in the long term. You will save money |
| Some of the top financial publications are really the | | | | per transaction as their commissions are very small in |
| only major sources that are widely respected and | | | | comparison to a full service broker. Also the minimum |
| trusted for market news and analysis. | | | | amount needed to invest is also smaller. Great for |
| Step 2: It's Time To Analyse Your Stocks | | | | most people who want to learn it all for themselves! |
| Yep, this is the section that requires some effort and | | | | The downside is that of course, you really need to |
| due diligence on your behalf. I understand you would | | | | ensure you are at the top of your game, and set up |
| rather have the easy way, but there is no quick way | | | | systems to ensure your money is protected. |
| to profits. | | | | |