How to Buy Stocks

It is relatively easier to buy stocks in a company once you have researched everything and know exactly which stocks to buy. Moreover, you will also require a broker or brokerage account so you can handle your sales and purchases overall. However, make sure that you are choosing all stocks with extremely care and you know the risk that you are getting into. At times the price of the stock would rise, at times it will not. That is when you will not be making a lot of money, like you must have planned. Lastly, you must always keep in mind the worse that might happen. The stock market can always come crashing down due to a number of reasons.


  • 1

    First things first, you must know all about stocks and how and how not to purchase them. In order to get all the information that you will need to buy stocks, or even sell them, you can always log onto the internet and get to know the correct values.

  • 2

    Once you have managed to find out the values over the internet, then you must choose between a broker and a brokerage account. In order to do this, you must answer a few questions just so all confusions are cleared and you can take a final decision. First ask yourself whether you are willing to talk to people face-to-face. Secondly, ask yourself whether you can easily reach people through phone. Then inquire about the internet access and whether you have it or not. Moreover, think about prices and whether they are your only considerations. Lastly, ask yourself whether you only want to deal in buying and selling of stocks or are you even willing to deal in mutual funds, foreign stocks or bonds.

  • 3

    Once you have answered the questions mentioned in the previous step, it is time for you to choose a brokerage firm. This will help you make a decision over the fact that which firm is going to purchase the stocks on your behalf. In case you want a lot of advice then you may start with a full-service brokerage. The cheaper brokers do not actually offer advice. In case you are a little confident and would opt for lower prices, then you can even select an online brokerage.

  • 4

    Now it’s time for you to contact a broker or a firm to request an application.

  • 5

    In order to speed up the process, deliver the check in person.

  • 6

    Once your account gets opened up, it’s time for you to buy and sell stocks.

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