tit all comes down to you. typically stocks are riskier than bonds (assuming treasury bonds). For less risk you get less reward. Stocks have a higher risk and prices flucutuate often. You can purchase stock today and if he price appreciates by the end of the day today or whenever, you sell it. Your profit is the difference is selling price minus purchase price, less transaction costs.
What stocks would be smat to invest in?
long-term or short term?
long term, consider a company that is growing, one that consistantly pays a dividend and one that consistantly increases their dividend. Also, since its long term reinvest your dividends.
short term, read the news. is there a company releasing a product you believe to be a game changer? is there a company experiencing some negaive news you think will cause their value to decrease? (potential short sell opportunity)
Not an easy answer. if it was there wouldnt be so many financial advisors and so man theories. in the end it all comes down to what type of investor you are, how much risk you are comfortable with, and what your poffolio aleady holds.
To buy stocks and bonds you need to talk with a broker. Or an online trading site can do it to.... if your asking "what stocks to buy" id recommend talking to a financial advisor first though. not only can they give you advice and assess your risk tolerance, they facilitate the trades.
hope this is a good starting point for you!
Hi there,
You should try with Penny Stocks Trading (you can find more info here: http://pennystocks.toptips.org)
Penny stocks, also known as cent stocks in some countries, are common shares of small public companies that trade at low prices per share.
I've been subscribing to this PennyStock web site for about a year now and have loved the objective advice they give. He really does look for quality stocks and I've made some pretty nice profits on a lot of his suggestions. Being still fairly new to investing I have been dabbling a lot in penny stocks to try and grow my account. I may not have a big account, but it's a lot bigger than it was a year ago. On just one of Nathan's picks this year I managed to make my investment back ten-fold! Be careful! Penny stocks are notoriously risky but if you follow the right method the risk is almost 0. I suggest to invest only little money first and then reinvest the profits. This is the site I'm using: http://pennystocks.toptips.org
Bye Bye
You get yourself a broker. You can have an advisory broker or an execution only (non advisory broker) there are loads of both types to chose from. Non advisory aren't obviously allowed to advise you but they are a lot cheaper as a result. Try Selftrade.co.uk as a non advisory broker or Killik and co as an advisory broker. Which stocks? $64,000 question ! There are low risk stocks, medium risk stocks and high risk stocks...big multinationals that pay dividends are lower risk against a non dividend paying small company that has yet to make a profit! I would read a few books on investing in the stock market before you do anything. You make money off stocks by selling them for more value than you bought them for. It is not a fast route to riches. The best way thing to do is read up on it. Read The Warren Buffett Way. The best way to make a lot of money is to chose a solid company with a good 5 year hostory of growing revenues and profits, a management that cares about about its shareholders and has good track record and who owns a lot of the stock...and also most importantly buy a company that does SOMETHING YOU UNDERSTAND. That last rule is the most important. Good luck.
So far, all of the answers are correct. No offense, but I take by your question that you know absoloutely nothing about the concept of stocks. I recommend you learn what stocks are and why we have a market before you do anything else. After learning how it works, I would recommend you learn the basic terminology used on the markets and in marketwatch/stockwatch websites. As far as using a broker or etrade goes, noone says you can't do both (though your financial situation may restrict you to certain options). Generally, the fastest way to earn is by short-selling, but it's a very complicated process to try to comprehend if you don't have the basics down first. There are tons of free resources online. You can pretty much teach yourself the basics. Also, if you're someone who needs an actual course to help you understand things, Groupon has a decent course for a good deal (in my opinion). Link: http://www.groupon.com/deals/lex-van-dam... Good luck!
How to get started:
First, you need to go to a brokerage house, such as Scottrade or TD Ameritrade. They will have you fill out some papers and then you write them a check to deposit into your new account.
After that you can deposit more money by mail or transfer funds directly online from your bank.
The only requirement is that you be of age. If you are under age then you can have a parent or guardian open the account for you.
Then you can ask the broker to buy shares of stock in your chosen company. You can do this at the time you set up your account or wait until you get home. When you are ready to buy, you can call the broker or, most commonly, buy or sell shares directly on their web site.
The shares that you buy are kept on file at the brokerage. Many companies no longer issue certificates for shares but keep track electronically.
When or if your company issues a dividend, it goes directly to your account.
You can get more information at their websites.
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How stocks work:
Whoever owns the shares of stock, owns the company, no one else. When you buy a share of stock, you are one of the owners of that company. It could be any of over 13,000 companies that have stock such as McDonald’s, Coca-Cola, Amazon.com, Ford, Krogers, your local bakery or electric company.
As a company earns money, it becomes more valuable and this value is reflected in the price of its shares on the open market. You collect this increase in value when you sell your shares for more than you paid for them.
The company’s board of directors decides what to do with its net earnings.
?Some or all of the earnings may be re-invested in the company so it can grow, open new stores or make repairs. When this is done, the earnings money is used up but the company is more valuable by that same amount.
The per share price, having increased because of the earnings, retain that increase when the earnings are re-invested in the company.
?Some or all of the earnings may be given directly to the shareholders as dividends. They just mail you a check or send the money to your brokerage account. This makes the price of the stock decrease by the same amount as the dividend, so you have the same value in the total of stock and dividends.
Since you are an owner of the company, the members of the board of directors work for you. Each year you can vote for each member, one vote for each share that you own.
If you don't think the present board members are running your company properly, vote them out. You can inform the board of your ideas, concerns or recommendations and these carry the weight of your shares.
You are also protected when you own stock. For instance, if your company gets sued and loses more than it can pay, the law cannot come to you the owner, and confiscate your house or other property. The shares may become worthless, but that is all you can lose.
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If you buy stock hoping that you can sell it for a quick profit because of the daily or monthly swings in price, then you are gambling rather than investing. You are trying to guess better than the public, including professionals, how the price will change.
To invest, choose a company that has steady earnings each year instead of losses. If your company has very little long term debt, it will likely not get into financial trouble.
Buy quality stocks and hold on to them. When you hold these over a period of time, the per share prices will go up for a real reason - the companies are earning money every year and becoming more valuable. This is not gambling.
If you save a portion of your income each payday and invest in stocks, over the course of several years you can grow very wealthy indeed. It is like hiring someone to get a job and earn money for you, and then using that money to hire more workers. Your money grows geometrically.
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You get the required information by just contacting a broker or looking up the providers website.
ask your dad or someone in your family,,, that really is the best first step
etrade
How do you buy stocks? What stocks would be smart to invest in? How do you make money off of stocks?
