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Saturday, February 12, 2011

Investment In Shares For Beginners


The reason why the stock market is created is to allow business owners to raise money for business growth and expansion plans. A company goes public and issues shares on the stock market through an initial public offering (IPO). The company creates a specific amount of shares, say 1,000,000 and anyone that buys a share of that company will own 1/1,000,000 of that company.
Most people got into trading stocks and shares through a brokerage firm. If you are doing to do share trading on a frequent basis, you need to understand the brokerage fees on stock purchase and selling. You can register for an online brokerage account and check out their rates while doing so. Note that this does mean not you will need a personal broker to help you do share trading for beginners since this will incur additional fees while your trade volume probably does not warrant such services yet.

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