The Stock Exchange for dummies

|Taxes benefits| and obligations

Webmestre — 2007-01-30T14:39:32Z

There are three types of taxes that are paid on stocks in non-retirement accounts. Individual Retirement Accounts and Pension Plans are not taxed until withdrawn and then the money taxed is taxed as ordinary income, except for Roth IRAs where the earnings are never taxed.
Dividends are taxed each year at the same rate as your income. Those federal tax rates can be 15%, 28%, 31%, etc., plus any applicable state and local income taxes.
The other type of tax on stock is capital gains/loss (...) - Entering into the Stock exchange

How to |place your orders| ?

Webmestre — 2007-01-30T14:33:54Z

In order to avoid any misunderstanding by your intermediaries, it is advisable to be perfectly clear and precise about the specification of your orders.
Your order must contain the following elements at least:
1. Your account number, 2. Your name, 3. The code of the stock or TICKER symbol, 4. The label of the stock, 5. The direction of the order (Purchase or Sale), 6. Quantity of values, 7. Type of order 8. Term of the order
The code of the stock corresponds to the (...) - Entering into the Stock exchange

Choosing your intermediary

Webmestre — 2007-01-30T14:24:15Z

In order to invest on the Stock Market, you must pass via a financial intermediary. You have the choice between a bank or a broker, but which one should you choose?
If you wish to place a very small amount of money (between 150 and 15.000 euros) just to watch the consequences, the choice is quickly made, you should use a bank.
A traditional broker will ask you for seed money between 7600 and 15000 euros
With the development of Internet, a significant number of Internet sites, offering to (...) - Entering into the Stock exchange

Which |budget to start with ? |

Webmestre — 2007-01-30T14:16:54Z

Contrary to misconception, you can start with a small amount surrounding 750 dollars. Do not hope to withdraw from them 20,000 dollars in the months which will follow. But with this budget, you will buy one stock and only one. For those who wants to start seriously, it is better to lay out a bigger amount of money, between 9000 or 20,000 dollars, but it is not within the range of everyone, we understand it well. That's why, we specify from the beginning that 600 euros is enough to start.
To (...) - Entering into the Stock exchange