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How do you begin to buy and sell stocks?


If you choose to take part in the stock market, what is the best way to get involved? Is it worth the long term investment?

In the long run, stocks in general will almost always do better than mere money in the bank gathering interest. In the long run, dividends are a significant and direct payment of company profits to you, so don't ignore them. But then again, as the famous economist (Keynes) said, "In the long run, we are all dead."

Some folks like mutual fund innovator Bogle have suggested that in the long run you simply can't beat the market any more than you can consistently beat casino games. If you want a comparatively safe way to invest, you might consider some exchange traded funds (ETFs).

Not all are equal in practice, so do some reasonable 'due diligence'. For instance, last I checked, of the 30 stocks in the Dow Jones Industrials (look up stock symbol DIA), 10 had over half the value. Some would say, why bother with the dogs, just buy the top 10. Others would say, the dogs of the Dow have catching up to do, so just buy them. All three groups have made money over the decades (buy all 30, buy the top of the 30, and buy the bottom of the 30). It averages out.

Here are some similar things to consider: SPY (the Standard & Poors 500), DVY (steady companies paying dividends), NY (the biggest 100 companies on the New York Stock Exchange), IYY will get you the total market index fund, ISI will invest you in a still broader Standard & Poors list of 1500 companies, etc. Check out the Ishares link below for a selection of quality (and low cost) ETFs that have low costs (remember they are mutual funds, but without sales charges and all those restrictions on use) and trade like stocks (you can even sell them short if you think things are going to go down in price). The fun thing is to look among those lists and find companies you are interested in, then buying some of those.

In the long run, investing, real investing, is like planting a tree. And if you invest in dividend paying stocks, you can go to that tree periodically and pick some fruit (as in they send you a check).

Yes, it's worth it. Open an account with Fidelity, Scott, or Schwab. You have to make a deposit before you can start. Research a stock before buying it. Next to real estate, which can cost a lot to start, it will provide the greatest return on your investment, if you are careful and monitor it well.

There are few things that you should consider before investing.How long you want to invest for? what kind of return you are looking for income or growth.If you are looking for high returns then invest in shares.

check the link below to learn more on investing in shares.
http://www.smart-investments.org/Best-St...

http://money-review-site.com/shares.html

You may benefit from this link on investing for beginners:
http://www.best-stock-trading-systems.co...

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