Start building wealth with stocks and how to get started
A stock represents ownership in a company. When you purchase stocks, you become a shareholder and have a claim on the company’s assets and earnings. Stocks are also known as equities or shares.
For example – if you like JB Hi-Fi, and you wanted to invest in that company. If the cost of a stock was $42.76 per stock and you had one thousand to invest, you could purchase a total of 23 stocks, excluding trading costs. That would make you part owner of JB Hifi. Now considering that there are 109,333,981 shares on issue. That would make you part owner 0.0000007% share ownership of JB> not much but it’s a start!
Investing in stocks can be done through the stock market. Here are some steps to get started:
- Research: Learn about stocks, the market, and investment strategies.
- Set goals: Determine your investment objectives and time horizon.
- Choose a broker: Open an account with a reputable brokerage firm.
- Fund your account: Deposit money into your brokerage account.
- Research companies: Analyse financial health, growth prospects, and industry trends.
- Execute trades: Place orders to buy stocks through your brokerage account.
- Monitor your investments: Stay informed about your investments and market changes.
- Be disciplined: Stick to your investment plan and avoid impulsive decisions.
Consider professional advice: Consult a financial advisor if needed. Remember that investing involves risks, and it’s essential to invest only what you can afford to lose. If you would like to learn more, please contact a financial planner or financial advisor who services the Yarraville, Seddon, Williamstown and Altona areas.
