Stock Market

Stock Market a Playing Game

The stock market is not a place that can make the rich suddenly. If so, all brokers surely rolling in money. If you have money set aside $ 1,000 of the net after spending money, what can you do? You want that money to grow it for sure. But besides that, you want to get the slightest risk, is not it?

The safest you can save it as a bank deposit. Every month you can take flowers. But your money is deposited in the bank under the contract. You can not use it before the contract is completed, although for emergency purposes. Because there is now an active stock market, you want to infuse money $ 1000 to buy shares. Favorable terms that you can achieve, if at any time you need money, the stock can be sold. Indeed benefit exchanges, among others in order listed shares can be sold at any time. Each year you receive a dividend. Dividend was uncertain magnitude. Sometimes less than the deposit rate. When you want to sell a stock, not necessarily the price goes up, there is a possibility down and you lose.

So what should you do? Indeed, all the steps that we take to manage our money, the risk and consequences. Even had the money itself has risks such as lost, or lost value due to inflation. Five years ago you $ 1,000 cash to buy a nice 3 motorcycles. Now with the same money you can only get two good bikes and a little leftover money.

Attract attention

However, now people want to invest their money in stocks. The first day of the onset of impulse buying shares occurred a few years ago, there seems to be a fever stock. After the rise of stock markets in the world, many buyers of shares in the primary market which is a big advantage in the secondary market in the stock. Purchase of shares in the primary market means buying shares of issuers hand, the company that issued the shares. While the purchase of shares in the secondary market means buying shares from the market, including buying the stock. Gradually the state that benefited this sudden change. For if the shares sold in the market is increasing, individual stock price will move more and more difficult to deviate from the general pattern. Precisely shares sold at a price too high will be suspected by the buyer. However, investing in stocks is exciting, especially if returns are greater than the deposit. However, if you really want to play in stocks, you should have quite a varied combination of equity in your stash. The term you have a combination of good stock dala your portfolio. Stock means that you should have a wide range, so that your destiny is not dependent on just one type of stock. With a $ 1,000 cash if you have stock prices average $ 2 means you have about 500 sheets diverse. With this much stock, you can exchange the unfavorable combination of shares sold in exchange for a more profitable stock. What to do if you want to buy a range of shares worth $ 1,000? You can not directly enter the market and buy the stock you want. On Wall Street New York enrolled more than 200 brokers. They sell and buy shares in the stock exchange, the purchase of shares ordered customers, or sell shares of customers, who want to cash it or exchange it for another stock.

What services are sold broker

Brokerage every day there on the floor building stock. In addition to buying and selling to customers, he also noted the share price and trading volume in the stock is analyzed and delivered to customers. If there is a stock whose price fell, brokers told the subscription with a short analysis. If you have a stock whose price dropped, you may wonder if it would replace the stock with another stock better. If you want to sell it before the price drop, you just give orders to your broker. Subscribe broker is important if you are a bona fide pretty much stock. To make a good combination needed advice brokers. You pay dues that are different from one broker to another broker. In addition to information about stock prices on a regular basis, your subscription broker can also advise buying and selling stocks. Whatever you want to follow that advice or not. Brokers also can also provide other services in addition to completing the transaction until completion. For example, the service stores your stock, ordering of stock exchanges in other cities or countries, lending and borrowing of shares traded, fetching dividends and others. Of course, for a more complete service you have to pay a subscription fee is more expensive. But if the number you are pretty much stock brokerage costs can be covered with a partial dividend you earn. Lending and borrowing of shares traded in the stock exchange could occur in developed countries. If for example there is a broker receives an order stock "A" of customers, and brokers that missed the rally that ordered it, while you have the stock in question, you can lend shares in question for example for a week. Later, if the broker has managed to get the stock "A" that was booked, the shares will be given to you a number that you order. Of course along with the cost. This means additional income for you. Broker subscription you can arrange these loans-borrow stocks.

Selecting stock

Shares of various kinds, there is common stock, special privileges granted to the founder of the company and other stocks. This is an internal matter of the company. For buyers in the stock market is a critical common stock. There are several things that need to be considered by the purchaser of common stock. Dividend stocks are not the same magnitude every year, depending on the general meeting of shareholders of the company concerned. The owner of the company, including you if you own the stock of the company, entitled to attend and participate in the silent general meeting of shareholders and determine the amount of profit that is divided into dividends. The size of the dividend is a risk of buying stock. If companies do well and a lot of profit, large stock dividend. But if the company does not profit no dividends were paid. Therefore must choose stocks carefully. Choose a company that runs well, is not affected much by the recession or other economic shocks.

You have to be extra careful with the stock price dalah face a high premium. Remember that the dividend distributed on the basis of nominal stock price per share, and is independent of the high premium. The dividend is usually declared in the amount of $ per share according to each currency.

Liquidation

What if the company is liquidated? You are entitled to reimbursement for the stock that you have. But you are right only given after all debts, liabilities and obligations settled. The rest is divided proportional to the number of shares you own. Still there are other risks. If the directors of a company that sells shares in the stock apparently violated the rules or the law, stock exchange can decide to delist the shares of the relevant company in the stock exchange list. This means that the company's stock dropped again it should not be traded in the market concerned.

A publicly traded company's stock had dropped from the list in the New York market because the buyers in the market shares of the company are not allowed to attend the general meeting of shareholders. Of course, because the owner of the company was loss. Good stocks are shares of companies that have been established for a long time so it will be a complete history of the company. Conversely, if you want to speculate in the stock market you can invest your funds in the most recent company whose prices fluctuate. At the time the stock price goes down, you buy it. Later when the price goes up, you sell the stock back. Fortunately it can be quite large. But as you see the risks are also great. You must subscribe to the broker specifically for this purpose.

In the stock market in the United States there are some financial institutions that participate buying and selling stocks. Financial institutions are very strong and experienced. They bought shares in the block. Usually they mastered several large blocks of several companies. Due to strong financial financial institutions exert a strong influence in the formation of stock prices in the market. Therefore, it must be maintained in order not happen negative behavior of the buyers of shares in exchanges.

Choosing a broker

If you have decided to invest your money in the market, you should choose a suitable broker. To the broker of your choice you can put forward any concerns to him. Good brokers will help manage all funds that will invest. Your broker will not tell you the state of your finances to anyone. But how far honesty and ethical broker, depending on your assessment. There is an event that has or will happen to you. At one time you may receive an offer over the phone that you buy shares at a certain price. According to the offer, in a short time will be a surge in the price of the stock, so if you buy it will be profitable. Then there is additional information, you must quickly decide. If there is a great opportunity will be lost. If you get an offer like this, the first argument that you should grasp is, you should look for information who is calling you and how bonafiditasnya. Address of the office in a tall building is not a guarantee. Perhaps the caller to obtain the name and address of buying office no public services. If it perks your way, you should check with your broker. That is why you must have a subscription broker is good and suitable. Such offer is sometimes true, but generally it is a fraud. Sometimes there is no bona fide broker also offers a number of shares to you. But the money that you submit to him did not immediately buy the stock, but first played for the benefit of the rogue broker. The workings of this kind is called BUCKET IN banned but people who do not know and got an offer to be a victim. If you've found a suitable broker, you can ask about buying and selling stocks, how to subscribe, how many and what types of services charge, how to deal and so on. Do not hesitate to ask what you do not know, because buying and selling stocks is a special job that not everyone knows.

If you review the sales floor in the market, you might meet people who are busy record share price, call, put offers on the table led the trading floor. They are executing brokerage firm. You can talk to them. But for a subscription, you have to deal with a brokerage firm in the office.

How many shares you want to buy? There are brokers who used to serve large customers who ordered or sell stock in bulk. But many brokers are willing to serve small orders, say 10 or 20 shares. Therefore look for the appropriate broker, in addition to the cost of buying and selling stocks commission of 4%, if you want to get a regular service, then you have to pay a higher subscription fee. Perhaps you would like to receive information services such as stock price data, the amount of transactions that occur every day, atmosphere and market development, information about the issuer company, then the charge can be negotiated.

Quality corporate issuers

It is known that there is a good stock and the less good. It depends on the company menerbitkanya. Under the terms of the exchange, the company wanted to sell its shares to the public through the stock exchange, should have paid $ 100,000 or more, and in the last two years of profits. The total value of the shares sold to the public at least $ 50,000 in denominations of $ 2 per share. Companies that want mejual shares to the public if the fractional shares are set out in the deed of establishment does not comply with the above provisions, must change the first deed and approved by the Department of Justice. Time to sell ordinary shares of large companies put up prices much higher than the nominal price of $ 2. Sometimes the prices go up five times, even up to 15 twelve times, rising stock prices is called Agio. Shares were sold at inflated rates sold in the primary market sebelum registered for sale in the market. Due to the number of shares diual millions of strands, listed companies will be able to collect huge funds that were sold all its shares. Intent to sell at a high price, in addition to raising funds from the public, as well as for prestige and for the initial price on the stock. The stock market is often invaded prime buyers. Whether it can be sustained high prices in the market, depending on the community assessment. If sales in the stock has been running some time and look good corporate reputation, paid regular dividends, then form judgments closer to the truth. If the stock price fell, sometimes listed companies to buy back their own shares. Our country, America fever adan new issue. The fever usually comes about when the economy passionate. When oil prices soared early 19980's, many people tried to drill oil in the deserts of the Americas. They set up the company and sell shares in the stock exchange. Occurred long queues to buy this stock and many who did not get. Later after oil prices plummeted, the oil companies and the buyers lost stock loss.

When growing biotechnology company established to sell a lot of seeds and plant stock menerbtikan. Later biotechnology company that is also missing. Shares sold by the listed issuer before the exchange, supported by the data in the prospectus. Companies that sell stock issuing prospectus which is a treatise consisting of about twenty pages of the companies concerned. For example, what is the plan works, how to use the money from the sale of stock, future prospects, the amount of dividends and so on. Buyers of shares in the primary market using the information in the prospectus as a basis for buying shares. During the IPO, both brokers underwritter and does not provide an analysis of the prospectus.

After the initial sale and discontinued stock went on sale in the market, start the analysis of brokers. Before it can be sold in the market, listed companies must register its shares, called the listing. If the number sold in the primary market is not sufficient listings can be rejected. In the event, the name of the issuer will fall. Therefore efforts should be sought to prevent. With the entry in the stock market, start strength tested, the share price will fluctuate according to market demand, analysis of brokers are very sharp. Very high shares sold by the issuer to rise in price, but can also be dropped. Various indicators will be issued by the various parties. You need to ask your broker to use this indicator. Broker will show the class A shares of such class of shares (very good), shares of class B (moderate), shares of class C (small). If the class A stock you are looking for are not available, the stock broker will advise where potential profit.

Stock trading advice:

. think and choose before buying

. wear a broker you trust

. caution against shares offered by people you do not know

. caution against Ramallah that a stock will rise in price

. do not be quick to believe the analysis heroics, buy stock always has risks

. do not believe the issues, hold the data

. if you do not know, ask the broker or person who knows

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