Investors had to visit an exchange in person or call a broker to buy shares in the past. With the development of the Internet, investment opportunities in international securities are no longer limited, open to all investors around the world. You can buy/sell securities through an online broker as long as you have computer access to the Internet. With a single click, the transaction will be executed instantly. So, to participate in the international stock market, what do you need to do?
How to buy shares online?
Step 1: Select an online stockbroker.
When you first enter the stock market, choosing a reliable and suitable broker is essential. There are many criteria for the broker that you need to pay attention to. First, you should check the regulatory status of the broker you intend to use. Executing transactions with a regulated broker is extremely important, ensuring the safety of the invested capital and minimizing the risks for users.
In addition, you must also consider the following factors:
- Transaction fees (spread, commission)
- Deposit and withdrawal
- Minimum balance and minimum trading volume
- Speed of order execution
- customer service
Step 2: Open a trading account
A stock account is a place to store money and execute your trading activities. To participate in the stock market, you need to create an account yourself.
Just like creating a bank account, the procedure for opening a stock account is extremely simple. After logging into the broker’s website, you need to fill in some basic information (full name, email, phone number, etc.) and provide identity and address verification documents. (ID card, driver’s license) means that you already have an international securities trading account.
After opening an account and depositing into your stock account, you can immediately trade stocks of your choice.
Step 3: Search for the stocks you want to buy
Once you have opened and funded your trading account, it’s time to select the stocks you want to buy. A great place to start is the search for the company’s annual report, especially management’s annual letter to shareholders. The letter will give you a general overview of what is happening with the company. Then, you can look for more information in quarterly earnings updates and recent news.
Beyond that, most online brokers will provide you with tons of reports, market information, and analytical tools you need to evaluate the business.
Step 4: Buy shares
After determining which shares you want to invest in, you can immediately make trades. See the detailed guide in the article below:
Step 5: Manage your trading portfolio
ortfolio management is one of the survival factors of investors in the stock market. Knowing how to manage your portfolio will help you maximize your profits and protect your account from unexpected risks.
Portfolio management is a critical profession in equity investing, an effective tool to limit risks and maximize profits. Investors need to create a viable and effective portfolio system if they want to invest in securities for a long time with safe returns and low risk. Therefore, portfolio management in equity investments will play a crucial role in determining investors’ profitability.