How do I buy stock?

Question

Does it cost anything? Also, if someone could please explain how they work to me in Layman's terms, I would love you for forever.

Thank you!

Answer 1

Buy wisely.

Answer 2

A stock is just part ownership of the company. To keep it simple if a company issues 10 shares and you have one share you own 1 tenth of the stock in that company. Some companies issue many different types of stock, way too much to explain here.

You can buy stock in a couple different ways.

1) Through a broker. They charge a fee usually $20 to $50 a trade (buy and or sell). Those ads for $4 a trade are for those who trade hundreds of times a year. Some brokers work on commission some push stocks that they get a bigger cut of etc. Some brokers are good some are bad some give good advice some bad, like anything. Just remember if they work on a commission, they are selling. You can also buy many other financial products through a broker, like mutual funds (made up of many stocks to spread the risk). Or things like i-shares that trade like stocks in them selves but are made up of stocks, usually from a certain sector, like energy, or finical.

2) You can buy direct. Some companies sell stock directly to the public, like Exxon mobile, wal mart, coca cola etc.... You can write to them or use websites like http://www.equiserve.com or publications like the money paper. There are many different purchase, reinvestment and sales fees, usually low. For example some may charge $2 for each purchase, waive reinvestment fee, and charge $15 to sell. Many will let you start with $500 or an annual commitment at $50 per month.

Personally I only buy stocks directly and only those that have no purchase and reinvestment fees and a sale fee of $15 or less. (Obviously the company has to be good). I am a small beans investor, usually $500 to $1000 at a time. If I used a broker at $50 to buy $500 worth of stock, I loose 10% right off the bat, that stock would have to grown in value by 11.2% just to break even from the purchase fee and that's before selling, another $50. Now if I was investing $25,000 it wouldn't really matter and I would use a broker.

Answer 3

How I Made 120 In The Stock Market In 6 Weeks Working A Day Job
By: Alexander Chambers

Answer 4

Go to your local bank that offers brokerage services... they will be kind enough to answer all your questions. Here's a quick rundown for you.... yes, it will cost you a commission to purchase shares. Stocks will rise and fall in terms of value on a regular basis... most investors hold stocks for years in the hope of getting it to appreciate nicely. Watch your company's earnings... if it's making money, that's what you want.

Answer 5

Yes you could learn invest by yourself. it is your money, you should know how to do with it. for starter check this site out.

http://www.pathtoinvesting.org/index_fla...
http://www.stockcharts.com
http://www.streettalklive.com>... university. a lot amount of information. It will serve you well
I accumulate in good amount in 401k at the young age.I could share with you. when consider invest in stock market. you should consider basic 3 things:

fundamental analysis==(economic data,finincial health, management, business model, competetion)>>what to buy

technical analysis==(chart+indicator)>> when to buy

Sentiment/schycho analysis==>>mood of investor, Contrarian point of view.
Market cycle===>> check out book Trader Almanac by jeff hirsch will give you inside stuff
When you combine 3 thing, It is one of the powerful knowledge goinh with you for the rest of your live

At the age of 32. my 401k is amassed 71,000.00 and 30000.00 in taxble account. by follow simple rule