10:07 23 January 2013
Sharesin companies can be bought and sold through the stock market, and these can also have benefits attached to them.
The amount of shares you may have in a company will increase your chance of benefitting from a share of their net profit for example, if this is an aspect you are able to take advantage of.
One point worth knowing when it comes to shares is that when you are considering one or two shares from the same seller, they are equal to each other.
Although the value of a share can change, which is a key point worth being aware of when looking into share dealing. On the whole though, investing in shares usually bring rewards as they are more often than not able to bring the buyer good returns.
This is why many people choose to put their money in to share dealing, and this is often done instead using services offered by banks; such as savings accounts.
One aspect of share dealing that is neccessary to know is that with reward comes risk.
If you’re looking to gain money through share dealing, it’s important to remember that you also risk experiencing loss. One way around this is to plan to invest in shares over a longer period of time as this will allow for changes in the stock market.
You should also look to budgeting your finances and only invest money you are able to part with. This is a sensible option and it could mean that you don't put yourself, your business (if you have one), or your family and friends in harms way if you exerience a loss.
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