How can I start a stock portfolio?

Question

Tips, and advice are welcome.

Answer 1

you should first start trading with a mock portfolio to get comfortable with that first. then just start and account and slowly start buying stocks, start small, buying just a few shares of one company that you know well, you could buy something like gm or ford, or some other well known company. as you get more comfortable, you can start expanding and diversifying your portfolio..

Answer 2

Well depending on your age, the amount of money you have to invest and your knowledge you have a few options.

If you really don't know anything about investing in stocks you might want to consider investing in an index fund. This way you can make monthly investments of usually around $100.00. While you are doing that you can research stocks, read books on the subject and keep track of the stocks you like. Then when you feel more comfortable you can close you account and use that money to purchase your stocks. I use an Excel spreadsheet and Moringstars portfolio tracker to monitor my stock, both the ones I own and the ones I'm watching.

Hopefully you already have started saving for retirement. Do that first.

Buy companies you know about.

Research the company, and keep reading about it after you purchase the stock.

Diversify, at least 5 stocks in different industries/sectors.

Don't borrow money to buy stocks (buying on margin).

Don't buy your whole position in a stock at one time. If you want to own 100 shares of a company, buy a few shares at a time. I usually buy 10 - 25 shares at a time until I get to my 100 share position.

Don't rush to sell if the price starts going down. If you did your research and like that company, that's the time to buy more.

When your stock doubles in price, sell half your position. That way you get back your initial investment and you're "playing" with their money.

Look for basic books on investing. Some of the books I read were way over my head.

Answer 3

First, go to your library or go to Amazon and get several books on investing and read them. Get at least one on fundamental investing and one on technical investing. You will need a sound background before you begin. As the 1st responder suggested, go to Yahoo finance and set up sample portfolios and see how they perform.

There are many different approaches to investing. One approach is to buy top investment grade stocks, put them away and watch them grow. Such stocks as GE, MSFT, CSCO, INTC, C, BAC, PG, MMM, KO

The main advantage of this approach is that given enough time the porfolio has a really good chance of growing and your tax bill is zero as long as you do not sell.

Another approach is to play the economic cycle. The markets and the economy runs in cycles. At the bottom of the cycle is the time to buy stocks. At the top of the cycle is the time to sell stocks. The main problem is termining when the top and the bottom have been reached.

There are many other approaches. It will be a learning experience for you.

Answer 4

a million. you may want to purchase the stocks your self. putting funds right into a mutual fund helps beginning a good portfolio with little or no funds. inspite of the undeniable fact that, which could no longer a lot exciting as choosing the stocks ones self. also no longer so risky. 2. i began out with merely one inventory for some hundred funds many years in the past. actually each individual has to start up someplace. 3. a good inventory portfolio meaning a assorted portfolio that reduces certain threat might want to comprise a minimum of about 5 diverse stocks. it really is the position mutual funds are available in very accessible. they commonly comprise many more effective than that.

Answer 5

Read first because it may save you a lot of money. There are many excellent books available probably in your public library. I would read Peter Lynch and William O'Neil books early on. The book "How to Buy Stocks" by Louis Engel goes through the mechanics of the actual buy and sell process and is an excellent reference. When you are ready I would suggest looking first at ETFs where you can get a broad or narrow representation of the market. ETFconnect.com is a good site to reference this type of investment.

Answer 6

Depending on how much money you have you can open an account at a major brokerage such as Charles Schwab, just contact them and they'll guide you through the process however it's not for small investors because of the fees involved. For smaller scale investing check out sharebuiler.com, it's only $4 a transaction and no minimum investment.

Answer 7

Hi, i know what your question means. i also think stock market is a nice place for investing.

I found some useful tips in stock trading. It includes stock basics, how to protect your profit, find a potential increase share, control and manage stock risk, when to sell/buy stock and so on.

http://www.bernanke.cn/stock-trade/

Best Wishes && Good Luck!

Answer 8

Forget the tips, tips is just gambling. You need to learn invest the right way. When build the portfolio you are consider, macro like economy , micro like company balance sheet, return on income of the company.how sector behave in certain stage of the economy.DO NOT CHASE THE ALREADY HOT SECTOR,FIND them before everyone know it

http://www.pring.com

fundamental analysis( economic report,management,competition,... tell you what to buy

TECHNICAL ANALYSIS( CHARTS+ technical indicator) tell you when to buy

sentiment analysis (bull/bear ratio, put/call ratio) tell you how moody investor can affect your investment too

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

Answer 9

Based on the fact that you are asking in an open forum, you should probably get someone else to do it for you.

Answer 10

BY BUYING STOCK - DUHHHHHHHHHHHHHHHHHHHHH