Trading and Investing Basics

How the Stock Market Works

When you buy a share of stock, you become a part owner in a publicly held company. But what does that actually mean? Let’s take a closer look at how the stock market works, and how you can make it work to your advantage as a trader or investor.

Account Types

Whether you intend to be an investor or trader, understanding the “small” print in your brokerage’s “Terms & Conditions” is very important. Each brokerage will have slightly different requirements for their specific operations. When you open an account, one of the very first important choices to make is the “type” of account to set up.

Opening a Trading Account

When you open an online account you will naturally have a number of questions. “What sort of account am I opening? Should I fund it from my bank account? I’d like to roll all my investments into one account. Can I do that here?”

Market Conditions

The stock market is an ever changing landscape, at times rising to all time highs and others dropping to new lows. Too often traders and investors lack the knowledge to navigate bear markets and must simply wait out downtrends. Learn what causes shifts in the market and the economy, what to look for as well as some potentially helpful strategies.

Margin Accounts

While reading this section, many of you will say, “Wow, Margin is really dangerous and I don’t want to use it!” Admittedly, the use of Margin is a dangerous tool but it can be controlled and used to magnify and extend your profit making. You simply must understand that before you use this added power, you must have an established investing plan, and that plan must have a healthy dose of Risk Management within it.

Investment Seminars

So you got an invitation to an investment seminar. In just a few hours you can learn secrets that will allow you to strike it rich in the financial markets. Best of all, there’s no charge whatsoever. So what’s the catch?

Fundamental Analysis

Fundamental analysis typically refers to a method of analyzing and evaluating equities, though it may also apply to any kind of security. A whole slew of data including, but not limited to, financial statements, economics, health, management, interest rates, production, earnings, competitive advantages, competitors and many other qualitative and quantitative factors are considered.

Why Interest Rates Change

Fluctuations in the interest rate can increase or decrease payments on debts as well as rate of return on investments. Understanding what causes interest rates to change could help you secure the best rates, whether it be for a loan or an investment opportunity.

Investment Regulations and Taxation

The IRS allows you to designate specific brokerage accounts for trading or investing. You can have both - if you qualify. Which you choose for your trading/investing activity can have a big impact on taxes.

Trading Desk Showcase

If you're a trader, you know how important your workspace is when it comes to focus and overall productivity. Do you ever wonder how others organize their trading desks? We did, so we asked for traders to share photos of their setups. From multiple monitors to creative trading desk furniture, we saw it all.

What Is the Dow?

In spite of its global popularity, the stocks listed on the Dow represent only U.S. companies. Learn about the history of the Dow Jones Industrial Average Index and get an understanding of how the Dow works and what stocks are listed on the Dow.

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