Investment: All About Stocks

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You should research as much as possible before you buy your first stock. Stock can easily be bought online nowadays. You don’t really need go far if you have the internet and know how to manage it yourself. Knowledge is everything when it comes to investment. You want to avoid making mistakes.

What do you need to know about the stock market? The first thing you would need to do is to know the basic vocabulary used and common signs. There’re two different types of stocks that you can buy. One is called preferred stock and the other is common stock. There’re different privileges to each type of stock. With preferred stock, you might get dividends forever and you’re paid before a common stock holder when the company goes bankrupt or liquidate. You also get more votes within a company. A common stock holder might not get dividends and they might not get pay when the company goes bankrupt or they will get pay last. Common stock holders do have voting rights within a company too.

How do you buy stock? You can buy stock now online at places like sharebuilder, Etrade, and Scottrade or Zecco. These care online companies that will allow you to buy stocks and trade as well. It’s convenient to buy online. You can also buy at brokerage house or discount brokerage house. They will charge you for advice and service. You can also buy over the phone and call in over the phone to sell or trade with a broker for a fee.


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