What you need to know to get started with stocks

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With the development of the economy, many friends have the need to invest money, and speculation is almost one of the investment methods that most people will choose, the so-called speculation is the act of buying and selling shares issued by listed companies, the stock market belongs to the high-risk, high-return investment market, for friends who want to enter the market, we need to understand the relevant knowledge of speculation, the following we will look at the basic knowledge of introductory speculation.

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In order to speculate in the stock market, we first need to open a stock account with a securities company. Please note that only citizens of the People's Republic of China who are at least 18 years old and registered with a Communist Party of China institution or business unit can participate in stock speculation. Once the shares are listed, the listed company becomes an investment target for the general public, thus easily absorbing the savings of the investing public and expanding the sources of financing. The equity of a listed company is dispersed among millions of investors of different sizes, effectively avoiding the risk of the company being dominated by a few shareholders alone and allowing the company greater freedom of operation. When investors buy shares in a listed company, they are shareholders in the company and can enjoy dividends and make money when the share price rises.

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In brief, shares are an integral part of the capital of a joint stock company and can be transferred, traded or used as collateral and are the main long-term credit instrument in the money market. Stock trading is when investors trade shares on the stock market and are rewarded by the difference in share price between the purchase and sale of shares. Shares are an integral part of the capital of a joint stock company and can be transferred, traded or used as collateral and are the main long-term credit instrument in the capital market.

An investment in shares is a long-term investment with no maturity. Once shares have been purchased, no shareholder can withdraw his shares as long as the company that issued them exists, i.e. he cannot get the cost back from the company that issued them. Likewise, the shareholder's status and shareholder's rights do not change, but he can transfer his shares to other investors by selling them on the stock exchange, but in the process there is a certain risk of losing money if the price of the shares decreases.

A share certificate is a proof that we own shares in that listed company. As we are trading shares in a real company that exists, we must learn to analyse the shares. Why is it important to master these two main methods of analysis? Because when mastered, they can better help us to increase our success rate in stock trading and gain more profits. Investors need to be aware of the cost of speculating in shares. There are costs incurred in carrying out share transactions, which usually include stamp duty, commission, transfer fees, other fees and so on. Before buying shares, you need to choose the right time as well as the specific stock. Finally, we remind you that the stock market is risky and you need to be careful when investing!

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