Well, in a nutshell, it involves buying and selling stakes of ownership in publicly traded companies. You may have heard of them referred to as equities or ‘stock’ instead. Either way, the goal is to make money. Owning shares in a company makes you a partial owner of that company and provides an opportunity to benefit from that company’s growth and success.
For investors seeking to make a profit and increase their investment portfolios, there are many advantages to trading shares, including (but not limited to):
- Profits – the first, and obvious goal of trading shares is to make a profit. Buying shares in a publicly traded company allows that shareholder to benefit from the company’s growth profits. If you have chosen well, the company’s stocks will rise, and shares can be sold for a higher price than they were bought. Jackpot!
- Accessibility – in this modern age of having access to almost the entire World from our living rooms, no longer to traders in shares need to occupy Wall Street. Investors can research, analyse, and trade shares from the comfort of their own living rooms or offices (or wherever they feel comfortable at home), using their usual devices such as mobile phones or laptops.
- Ownership – shares = influence. More shares = higher levels of influence. Shareholders have rights to vote on, and take part in corporate decisions, be it elections of members of the board, or perhaps more major business decisions.
- Dividends – some companies, at the end of each financial year, may pay a portion of their annual profits to shareholders. These payments are called dividends. Shares that offer dividend payments can result in a great form of passive income which can either be reinvested in more shares……or could be used to treat yourself as a financial bonus to spend.
- Transparency – there is no hiding place for publicly traded companies. They are legally obligated to disclose information on finances and provide reports to shareholders and regulators. Thus, a shareholder has the information required to make informed decisions on the company’s potential, and better decide whether to buy, sell, or stick.
Sure, this all sounds great, and perhaps the above has oversimplified the process of trading shares somewhat. It can be simple though, through the use of advice from a company that knows what, and how it’s done – a trading company that can offer trading services to clients. One such popular organisation, especially with Australian shares, is IC Markets, a collaboration with which can offer several benefits:
IC Markets provides opportunities and access to many Australian shares on the ASK (Australian Securities Exchange). This helps share traders to spread out their investments and maximize their security and profits in the market.
With very competitive pricing, and low costs for trading, IC Markets ensure affordability, access, and opportunities to all clients.
This is a company that is experienced and knowledgeable. They work at high-level speeds to ensure that clients can buy and sell shares quickly, and reliably. Their top-quality trading technology, wide range of products and services, and competitive pricing, it is without any doubt a top choice for traders looking to trade Australian shares.
Welcome to our blog! My name is Yuvraj Kore, and I am a blogger who has been exploring the world of blogging since 2017. It all started back in 2014 when I attended a digital marketing program at college and learned about the intriguing world of blogging.