Starting on Stock Exchange

L

legend5346

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I am looking to start dabbling in the stock exchange, nothing major just a few hundred quid here and there. I am wondering what online Stocks/trading website would suit a beginner like me. A site that is simple to use and it easy to exit any funds that I make.;)
 
Hi

hhhhhhhh is quite possibly correct, although there are a few related options you could consider:

- Spread Betting, where you bet on a price movement of a quoted share, rather than actually buy the share itself

- invest in funds, such as those available on Rabodirect.ie

keep an eye on askaboutshares.com as it offers discussion on shares and related topics.

Cheers

G>
 
If you're not planning to invest alot and not wanting to devote too much time to study the markets, you can buy the ETFs (Exchange Trade Funds). They move with the general indexes, depending on what the fund are composed of (ie. biotech, semiconductors, Dow, etc). They may have these on the UK as well. Ask around. The idea is if you have a general idea of how the economy is doing, then it's easier to know the likelihood of the market direction. Never have to worry about individual stock surprise (i.e. earnings announcements, good and especially bad), the one you pick may go down due to a bad earnings news while the rest of the markets rise like cream. Hope that helps.

Good luck.
 
I agree with the guy above, spread-betting the markets for me is the easiest way to 'play' them, firstly because you can place stop losses with the click of a mouse button and also because winnings are tax free. Very important to know your downside before you enter any bet

The negative I suppose is that the spread itself is usually pretty far away from where you actually start the bet. e.g. lets say you think the US DJIA 30 index is going to decline in next couple months, the index is currently at 14000 on June 1 but the spread betting co. offers you 14100-14120 August which means that if you 'sell' the market at €2/point, you're already down €240.

Anyway I still think its good, I have 2 accts with Finspreads and IG Index in london, havent tried the Irish ones yet but if theyre anything like our beloved stockbrokers, they're to be avoided. I've only done it on a part time basis and so far made about 5k over 2 years with small bets swing trading US blue chips, Indices and some commodities.
 
This is like options then. If you're in the money (your bet has reached the target price), is there any more money for you if the prices make past the target?
 
Yes, sorry I didn't properly direct the question. I only know of options from options exchanges but not anything outside of these.
 
howdydoo said:
Yes, sorry I didn't properly direct the question. I only know of options from options exchanges but not anything outside of these.
Click to expand...

I'm not familiar with options at all, is there a time limit to each contract? In spreadbetting, each 'market' does have fixed contract length so for example a bet now on August Gold means you have until the 3rd Friday of that month (or whatever the settlement date is for that particular market) to attempt to make a profit. At that point your bet will be closed but the bet itself can of course be closed off at any point before settlement. You can also make day long bets as well as year long ones on some markets. So in essence you are free to win (or lose) as much as you can, within a specific timeframe, and provided you have enough funds in your acct to cover your margin requirements.
 
I guess it's the same concept. You can buy an option to exercise if the price is hit and beyond ("in the money"). If not in the money, it's worthless. The time to expiration can be as little as a few days to a year, depending on the writers putting the options on the market. So, I guess it's essentially the same.
 
Recently I did an evening course on Stockmarket investing, just an ordinary course not one of the intense weekend jobs. Following the course a group of around 15 started an investment club. It is a great way to understand the stockmarket and to get started. We use Fexco to trade and indeed with small amounts it is difficult to make money other than in
the long term. For example we invested 2000 on one share which increased by 10 per cent over a two month period. However if we sold the share , our buy costs and sell costs would nearly take the entire profit.
Lesson learned. Sharewatch are probably the cheapest for trading iseq and ftse funds at present.
 
mercedes1 said:
Recently I did an evening course on Stockmarket investing.....We use Fexco to trade and indeed with small amounts it is difficult to make money other than in
the long term.......
Lesson learned. Sharewatch are probably the cheapest for trading iseq and ftse funds at present.
Click to expand...

Where did you do the course?
Did the course specifically recommend Fexco and exclude other options such as Sharewatch at the time ? It sounds like this course perhaps gave bad advice ?
 
The course was given by Fexco , who facilitated the setting up of the club. However it is not necessary to enlist with any particular stockbroker. We chose Fexco above Sharewatch, because Sharewatch do not allow you to trade unless you have actual cash in your account. Fexco and many others will allow you trade and pay within a week. For that flexibility we
chose Fexco.
The course in question was given in Limerick, several Vec's offer these
courses as night courses.
Overall it was very positive and informative.
 
33cl, just wondering what your experience of Finspreads and IG Index was like? Even though they are based in London, is your account in Euro and bets in Eruo too? thanks.
 
Just my tuppence...

I use a Rabo account to save up any spare €'s and when it goes over €5k I select a share to purchase. I have a Sharewatch account and I find the costs very low compared to other online dealers.
 
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