7 Steps to Start a Stock Business For Beginners

  • Share
Steps to Start a Stock Business For Beginners

Stock Business – Nowadays, the ease of information really helps us to develop business opportunities that might be the right choice for doing business. one of them is the stock business, which may still be very rarely in demand by the public because not a few feel the complexity of the stock market world. even though this business can be a promising business in the future, not least for those who are new to the world of stocks or for those who already understand a little about the world of stocks.

Starting Stock Business For Beginners

For those of you who are still new to this business or are still beginners, here are 7 steps you can take in starting your business in the stock world.

1. Stock Investment Products

The first step before starting a stock business for those of you who are still beginners or laymen in the stock world is to identify in advance what are the products of stock investment and what are the advantages and risks of investing in stocks? so you can be more steady in this business. Don’t just be tempted by the promised benefits or those that are often offered.

Generally, to start your stock business, you need to find a company or business entity that sells their shares. The next requirement is that you generally have to own several parts of the company, the amount of which is determined by the size of the company. that’s why to start this business you need a large capital. Especially if the company is a large company whose price per share is clearly high.

The advantage of the stock itself is that you will get dividends or stock investment profits from the difference between the selling and buying prices of the shares. If you miscalculate and the company does not have a good value then you also have the opportunity to suffer losses.

2. Choose Trusted Securities Company

The next step you have to do is to choose a securities company known as a stock broker or stock broker. Why do you need to choose a securities company in your stock business? The reason is because investors cannot directly open a stock account on the IDX. Thus the securities company will later become your investment manager.

Several securities companies with sufficient stock availability are divided into two, namely owned by the government or in the form of state-owned enterprises and owned by national or foreign private companies. For the government, there are BNI Sekuritas, Mandiri Sekuritas and others. While for the national private sector there are Sinarmas Sekuritas, Panin Sekurtias and several others. The latter are foreign private companies such as JP Morgan Securities and Kim Eng Securities.

So which one is the best for you to choose? Each of the options above have their own advantages and disadvantages, so it would be better if you understand them first before starting your stock business. But what is certain, the company is registered and cooperates with the IDX, it is easy for you to reach the location and has a good reputation.

3. Create Stock Account

After the second step above, the next step to start your stock business is to create a stock account at the securities company above. The method of opening an account is almost the same as opening a bank account with almost the same requirements. It’s just that the opening costs are certainly bigger like a minimum of 5 million and can be less or more.

The reason for the high capital is because the minimum purchase of shares for the business is 1 lot or 100 shares. but don’t worry, there is a way to make this step easier for you by choosing to save shares offered at several banks which generally have an initial deposit value of only 100 thousand.

4. Choosing The Right Stock

For the next stock business step is of course you will choose which stock you will buy. This step includes a step that is quite difficult because you have to buy shares which will give you a big profit and have a small risk. You also have to pay attention to the stock price chart which can change at any time either up or down.

You can also ask your securities company to provide recommendations on how to invest in this stock.

5. Purchasing Shares

The fifth step you take to start your stock business is to buy shares according to you have the right choice for your stock purchase. There are two ways to buy this stock, the first is through a broker or stockbroker where you have a stock account to make a purchase and the second is to buy shares directly online.

The first method is usually done by telephone, while the second method is generally done through an application that is first installed on the computer or gadget of the share account holder and is carried out by the bank where the share account is stored. This second method is similar to installing internet banking on your gadget and the purchase process is like shopping online.

6. Selling Shares

The essence of the stock business is to profit from buying and selling shares. So there is a time for you to sell the stock, especially when it is at a higher price than when you bought the stock. That’s why you have to understand the stock market situation and the movement of the stock price.

The method of selling shares is almost the same as buying shares, namely through brokers or online. The proceeds from the sale of these shares will be automatically transferred to your stock account.

7. Understanding Market Movements

As discussed earlier, that you can sell the shares you own when the stock price is higher when you buy it. In order for you to know when to sell and buy a decent stock, you must understand the movement of the stock market.

Generally brokers will also help you understand this market movement, it’s just that the broker’s predictions can be wrong so it would be better if you know when the price will go down or will go up. In this way, you can understand the development of your stock business.

Those are 7 important steps you need to understand before you start to open your own stock business. Not a few of them are successful with this business, but not a few of them are experiencing losses from this business. The most important thing is that you continue to learn how to be successful in this business.

Because there are many things you still need to learn, such as how to have a small risk of loss before you experience a big loss by maintaining the stock price that continues to fall. Hopefully this article will help you in providing an initial reference in opening a stock business.

  • Share

Leave a Reply

Your email address will not be published. Required fields are marked *