Learning About Buying Stock
A person doesn't have to be Gordon Gekko, the iconic focus of the original "Wall Street" movie, to buy and sell stocks, but it helps to have some information before diving in. While it may seem as if the stocks are some kind of fake play money, real funds are at stake daily and the rise and fall of the stock market can leave some investors feeling queasy.
Other People Are Reading
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Expert Information
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When money is at stake, trust professionals to teach you about the stock market. Short-term classes on buying stock don't have to cost a fortune -- many technical schools and community colleges offer no-experience-required classes on a budget. At Wake Technical Community College in North Carolina, for example, students in the "So You Think You Want to Trade" course learn information on how to choose stocks, research stocks, evaluate stock offerings and how to mentally prepare for the ups and down of the market. No formal education is usually required for these courses.
Perfect Practicing
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An ideal way to learn something is to immerse yourself in it, but when buying stock, that can be a costly education. Test out the tried and true "practice makes perfect" by opening a practice account through a free service such as Noble Trading. Users of these sites get to make actual investments, trades, buy and sell, learning the market, fees and software, without any risk, of course, there's no benefit should beginners pick excellent stocks, either. While some free sites offer free practice as a way to get customers for their pay sites, others let you practice completely free without intrusion.
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Book It
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Prospective investors who prefer to learn on their own and at their own pace will find a wide trove of books teaching about stocks. A quick search of "buying stocks" on an online book website reveals results such as "Stock Investing for Dummies" by Paul J. Mladjenovic, "Buying Stocks Without a Broker" by Charles B. Carlson, "How to Get Started in Stocks" by Paul Larson and "Sensible Stock Investing" by David P. Van Knapp. Look for a book with many examples and step-by step instruction. Books with "beginner," "introduction" or "new" in the title will also be helpful to those just starting out.
Get Governmental
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Paying taxes pays off -- the division of the government called the U.S. Securities and Exchange Commission offers potential investors an immediate "return on investment" with a list of questions to ask a stock broker or stock expert. New investors may arm themselves with questions about a stock's liquidity, securities registration, fees and risks from the SEC's website. The SEC also lists questions that will inform stock buyers about the people and companies selling them their stocks and how to address any potential problems.
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