09:22 26 June 2013
Share dealing or stock trading is one of the most popular ways to invest and grow money. It is the process of buying and selling stocks to make a profit. Although it is riskier compared to other type of investments, it can be very profitable especially if you’re a long time investor.
Below are the 3 benefits of share dealing:
1. Profit/Passive Income. Investors make money from stock market when the shares they bought increase in prices or value. This happens when the company is performing really well and if the economy is getting stronger.
This is considered passive income as you don’t need to do anything (aside from buying and selling the shares) to make a profit.
2. Convenient trading. With the advent of the Internet, trading is much easier, faster, and convenient these days. Most stockbrokers offer online accounts, which investors can use to buy and sell shares at the comforts of their own home.
3. Continuous revenue stream. Aside from making money when the value of the stocks increases, investors also make money when companies issue dividends.
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