Online Stock Trading

Maze Runner

Super Member
Registered
Joined
Apr 11, 2012
Messages
5,489
Reaction score
609
Anyone do this? Know anything about trading stocks online? I'm clueless, as in I never have, but there are a few industries I'd like to invest in.

As I say, I know nothing, so anything at all on any aspect of this at all would be helpful. thanks!
 

AW Admin

Administrator
Super Member
Registered
Joined
Apr 19, 2008
Messages
18,772
Reaction score
6,286
I'm going to note here that recommending resources (books, periodicals, Websites) is fine, but we're not a financial service, so please be cognizant that these are reference suggestions.

Maze Runner you might be interested in DRIPs (Dividend Reinvestment Programs) or EFTs; these are ways for new investors without a lot of cash to invest; both are long-term kinds of investing (years not months or days).
 

veinglory

volitare nequeo
Self-Ban
Registered
Joined
Feb 12, 2005
Messages
28,750
Reaction score
2,933
Location
right here
Website
www.veinglory.com
I use a trad broker and RobinHood for fee-free trades, but you don't want to learn about this stuff from fellow amateurs. All of the social media spaces for trading are full of sharks and idiots. I would suggest choosing one of the big brokers and using their online educational materials to get up to speed.
 

Justobuddies

Iä! Iä! Cthulhu fhtagn!
Super Member
Registered
Joined
Dec 11, 2017
Messages
971
Reaction score
190
Location
Somewhere in time AND space
Start out doing tons of research, I like Investopedia.com, because it really breaks things down into simple easy vernacular for modern folks that aren't in finance. They've also got a simulator that you can kind of play with for a few months to see how real movements in the market would affect the purchases you're interested in.

As far as which online broker to use; a lot of that depends on how much you're investing, how often you'll be trading, and whether or not you know what you're doing. Also, how much risk you're willing to accept.

Knowing your risk appetite is the place to start off, if you think you'll panic and sell everything whenever you check on your portfolio and see you've lost 6-10% in a single day, then stock trading is not for you. If you can't whether the rough times, then go find a brokerage that will let you select your risk package and let them manage. You'll likely not quite earn at the market rate, but you don't have to be stressed out with managing your portfolio because it's all done for you, for a fee of course. Along that same vein there's absolutely nothing wrong with going down to your bank and discussing savings options if you like super safe small returns. It's all about how soon and often you need that money that's tied up in investments.

So those disclaimers having been handled:
If you've got a decent sum and are planning to buy and hold onto a few stocks from various industries, then they're all pretty similar, look mostly at fees and find one that fits your budget. I rolled my 401K to TD Ameritrade, even though trades are rather expensive because I like the tools it offers, and I tend to only enact buying and selling in my portfolio annually. It's definitely not for everyone because the cost is per trade, which can get pricey. There are other cheaper/free options if you're just wanting to buy a certain number of shares in a specific company that you believe in.

If you don't have a lot to get started, and/or don't have specific stocks to buy, then savings apps like Acorns are great at getting a little money in the market at a time. I put like $5 a week in Acorns and chose risk level, similar to how most 401k programs let you choose risk. I think mine is set at moderately conservative and is getting about a 2-3% return.

Again, do your research and always check the sources where you're researching. If they're selling products or sponsored by a specific company, then maybe their advice can be skewed. And always remember to invest in what you know about, if you don't understand your investments you'll likely lose big time.
 

Maze Runner

Super Member
Registered
Joined
Apr 11, 2012
Messages
5,489
Reaction score
609
Start out doing tons of research, I like Investopedia.com, because it really breaks things down into simple easy vernacular for modern folks that aren't in finance. They've also got a simulator that you can kind of play with for a few months to see how real movements in the market would affect the purchases you're interested in.

As far as which online broker to use; a lot of that depends on how much you're investing, how often you'll be trading, and whether or not you know what you're doing. Also, how much risk you're willing to accept.

Knowing your risk appetite is the place to start off, if you think you'll panic and sell everything whenever you check on your portfolio and see you've lost 6-10% in a single day, then stock trading is not for you. If you can't whether the rough times, then go find a brokerage that will let you select your risk package and let them manage. You'll likely not quite earn at the market rate, but you don't have to be stressed out with managing your portfolio because it's all done for you, for a fee of course. Along that same vein there's absolutely nothing wrong with going down to your bank and discussing savings options if you like super safe small returns. It's all about how soon and often you need that money that's tied up in investments.

So those disclaimers having been handled:
If you've got a decent sum and are planning to buy and hold onto a few stocks from various industries, then they're all pretty similar, look mostly at fees and find one that fits your budget. I rolled my 401K to TD Ameritrade, even though trades are rather expensive because I like the tools it offers, and I tend to only enact buying and selling in my portfolio annually. It's definitely not for everyone because the cost is per trade, which can get pricey. There are other cheaper/free options if you're just wanting to buy a certain number of shares in a specific company that you believe in.

If you don't have a lot to get started, and/or don't have specific stocks to buy, then savings apps like Acorns are great at getting a little money in the market at a time. I put like $5 a week in Acorns and chose risk level, similar to how most 401k programs let you choose risk. I think mine is set at moderately conservative and is getting about a 2-3% return.

Again, do your research and always check the sources where you're researching. If they're selling products or sponsored by a specific company, then maybe their advice can be skewed. And always remember to invest in what you know about, if you don't understand your investments you'll likely lose big time.

So much great information, thank you. My situation is no, I don't have specific stocks, well maybe one or two, but it's more specific industries I want to invest in. Thank you for breaking down the differences between online brokers, because that was one of my first questions. I'm looking at it long-term, and I don't think I'd panic if a stock lost 6 to 10% in one day, but maybe if it did that back to back I would, ahahaha. I won't invest anything I can't lose, but if I see a stock is really starting to climb then I'd probably want to buy more of it.

I know I have a lot of research to do, thanks for giving me a lot to think about.