SHARE BROKING

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A stockbroker is a financial professional who executes orders in the market on behalf of clients. A stockbroker may also be known as a registered representative (RR) or an investment advisor.

Most stockbrokers work for a brokerage firm and handle transactions for a number of individual and institutional customers. Stockbrokers are often paid on a commission basis although compensation methods vary by employer.

Most online brokers are discount brokers, at least at their basic levels of service, in which trades are executed for free or for a small set-price commission. Many online brokers now offer premium-level services with higher fees.

Key Takeaways

  • A stockbroker is a financial professional who buys and sells stocks at the direction of clients.
  • Most buy and sell orders are now made through online discount brokers. This automated process reduces fees.
  • Wealthy individuals and institutions continue to use full-service brokers, who offer advice and portfolio management services as well as completing transactions.

Over View

Every person wants to get more return from his hard-earned money. There are so many means to earn a higher returns. Some of them are :

How to get higher return and protect the capital invested in the means are always a bigger question in front of every person. At Trustable Financial Services we provided the complete financial planning to our clients and assuring the maximum return on the hard earned money of our clients at the lowest risk.

How To Trade In Equity

Every person is excited to know how much we can earn from the stock market. There are many examples in the market who have earned much more money from the market multiplied their investments or who losing their hard money in the share market.

What are the do's and don't in the share market investment to earn or multiply the Capital/Investment/Saving? Some golden rules are :

1. One should invest in the stock market with the long-term view and target based. Sell of the particular stock is also important as it is to buy there of.

2. One should not invest the borrowed money in the stock market person should have the capacity to hold the stock in case of a crash of the market.

3. No fear and greed factor should be kept in mind while trading the particular stock if you are getting your target you should exit and if stop loss have triggered. Don't fear.

4. Before starting to invest in the Share Market, First of all, you have to decide who are you? Trader or Investor. There are different rules for Traders and Investors whoever you are follow the rules strictly if you want to earn from the share market. There are four categories of trade.

(i) Intra - Day    (ii) Short Term/Positional    (iii) Mid Term    (iv) Long Term Investment

Golden Rules For A Trader

1. Traders always have to think that they had started up their business of equity Trading by investing Rs....... like any other business.

2. Traders should have to do Intra Day Trading or Short Term/Positional Call only.

3. Trader should follow the Technical Analyst's expert view.

4. Traders should follow the stop loss strictly.

5. Traders should follow the target strictly as the Stop Loss.

6. Traders should have to link up with the news regularly.

7. Traders should have to pre-decide about the trade, Stop Loss, and Target with strategy.

8. Trader should not have to change his strategy according to the market but should be strict on his pre-decided strategy.

9. Rule of 3% earning and 1% losing should be followed.

10. If the Trader follows the rule of 3% as a Target and 1% as a Stop Loss then if he trades 10 shares and the success ratio is 3:7 means his trade hits 3 times the target of 3% and hits Stop Loss 7times means 1%. He will earn 3x3% = 9%. He will lose 7x1% = 7% means 2% of the gain in the worst to the worst situation.

Golden Rules For An Investor

1. Investor has to think that he is entering into the equity market for getting a return on his investment to beat up the inflation in long term scenario. He should have a horizon of investment up to 1 to 5, 10, or 20 years long.

2. Investors should have to do Mid Term or Long Term Investments in the equity.

3. Investors should have to check the fundamental of the company before investing and should invest in AAA rating companies and large-cap companies.

4. Before investing Investor must have to decide the target of investing and should exist on achieving the Target of that Particular Trade.

5. Investor should have the target of 10 to 15% for Mid Term & 25-30% for Long Term view.

6. Investor should have to review his investment periodically, weekly, monthly & quarterly.

7. Investors should have to update news regarding the investment regularly.

Never Never Never Do

A trader should not follow the rule of investors and investors should not follow the rule of Trader.

Think Before Trading the particular stock that you are taking for trade or investment. Trade the stock accordingly and be happy and enjoy the profit. There are so many do's and don't in the stock market trading but the above are the most important which everyone should keep in mind while trading.