Lux Investing

What is the first step that i should do learn invest in share market ?

I know invest in share market can earn money, but i don know how and what can i do to achieve the goal. Any references available on the internet or anyone who is work as a broker or perhaps hv great knowledge and experience, can pls just share your opinion. I hope to use 3k as my first investment to try my ability and understand the real face of the share market.

Public Comments

1. 3k is a nice amount but don't rush into this. spend the next month doing research. learn what your options are (stock, bonds, futures, put/ call, etc.), what the risks are, and come up with a plan. Then spend another month researching various industries and companies that look promising. Only then do you invest.
2. I would start off with "www.thestreet.com" This website offers a huge amount of resources, and sign up for the trial version of "stocks under $10". They really explain what they're doing and why they do it. It's helped me make a little money in the last six months!
3. Here are a few tips: 1. Investing in shares is more risky than putting money in the bank. Make sure that you can afford it, if the value of the shares goes down. 2. Build a portfolio of shares. With 3k I would suggest 4 or 5 different shares. If you have a larger sum to invest, I would recommend holding shares in at least 10 different companies. The reason for this is that if you invest in one company and it goes into liquidation, you lose everything, but if you invest in four companies, it is very unlikely that all four will go bust. 3. The longer your investment term the better. If you are only investing in the short term you may do well, but you may be hit by a big fall in the market. In the long term the rises will be greater than the falls and you will do better compared to a deposit account. 4. Buy stocks that you hope to hold for a while (say at least two years). If you buy and sell too frequently (called churning), you will lose on transaction costs what you gain. 5. Buy stocks in large companies rather than small ones. With large companies you can sell your shares whenever you want, but with smaller companies the difference between the buy and sell price is greater and it may be difficult to sell them when you want, or when they are performing badly. 6. Beware of anyone predicting fantastic returns on an investment. Unless they are using inside information (illegal), they are just speculating.
4. If you have large funds and wish to invest, ISM acts as your Admin. manager for the Venture. R Right FROM RETAIL TO AGRI, ENGG, CONSUMER ITEMS U CAN HAVE A CHOICE.
5. I suggest you to open a brokerage and margin account at Ameritrade. If you need more detailed information drop me a line.