But how does it look for inexperienced investors from? Are shares at all meaningful for beginners and how you can earn money at the stock exchange? Before you go to your bank with this question, we already give you a small introduction here.
Finding your way through the technical jungle: The financial ABC
The world of finance often speaks in its own language to outsiders. There are many terms whose meaning is not obvious at first glance. Therefore, you will find attached some short explanations of terms is the best known vocabulary around stock trading:
Shares: These are Shares in companies. As an investor you benefit from the profits without having to build up a company yourself.
Asset classes: The easiest way to separate investments is by category. For example, in commodities, securities and real estate.
Bonds: debt securities with a fixed term, similar to a loan (also called interest-bearing securities). government bonds are considered relatively safe, as a country is less likely to become insolvent than a company. This is especially true in economically strong countries such as Germany or the U.S. corporate bonds are somewhat riskier, but nevertheless safer than a share of the same company.
Stock market: Trading center for financial products of all kinds. This includes listed securities as well as commodities, foreign exchange or derivatives.
Derivatives: A certain product is determined in advance, which will be sold after a agreed time is traded by two contracting parties.
Foreign exchange: Payment in foreign currency.
diversification: Invest in different industries, countries and asset classes. Thus spread your risk. This is because it is assumed that investments of different groups behave differently. So you can compensate with profits losses of another investment.
Dividends: Profit share of a company, which the owners of the company shares receive.
ETFs: So-called index funds, as the Exchange Traded Funds are not actively managed by a fund manager, but automatically participate in an fixed index orient.
Funds: Similar to ETFs, a fund includes several shares (a diversification is therefore automatically present). However, a fund manager manages this actively. For this he is paid extra by the investors.
Index: A stock index contains several companies that are registered on the stock exchange and shows their average development. In Germany, for example, the DAX. This includes the 30 German stock corporations with the highest market capitalization (such as SAP or Siemens).
liquidity: If an investment is liquid, you can get to your deposited investment at any time. An example of this is the call money account, since you daily Access to your savings Has. On the other hand, with a fixed term, the liquidity decreases. Even hard-to-sell assets such as antiques can be less liquid.
Portfolio: The totality of your investments.
Yield: The Earnings from your investment. More precisely, it is the effective interest rate that your investment has earned within a specified period of time.
Volatility: The more volatile an investment is, the more fluctuating these. Investments with high volatility are riskier, Since developments are more unpredictable. An example of this is the share.
Securities: Financial products with which you can trade. This can be, for example, shares, bonds, ETFs or equity funds.
Integrate stocks into your savings plan for asset accumulation or retirement planning. Do not, under any circumstances, close all your traditional accounts. Investment options such as call money or time deposits are nevertheless essential.
How to buy stocks?
Buying shares is relatively easy even for beginners. Only Prerequisite is that you have to open a securities account.
In an online depot, you then give your online broker the order to buy a particular stock. With your house bank this settles your personal advisor.
- This security reacts strongly to external circumstances such as the general economic situation.
- The economic situation of a company can develop differently than hoped for. Businesses can of course recover from this, but the share becomes completely worthless when a company becomes insolvent.
Shares for beginners: You must count on these fees
In order to make money with a share, you must first invest a certain amount of money invest capital. The costs that you will incur are as follows:
- Possible basic fees for the securities account
- Buy and sell the share (order fees)
- Stock exchange fees depending on the chosen trading center
How much you have to pay for a single share always depends on its current price. While many shares only few euros you have to put several thousand euros on the table for others.
Are shares something for you at all??
Regardless of whether you are new to the stock market or have already gained experience with investments, you should ask yourself whether trading in shares is something for you. Do you like to be on the safe side? Or is you no risk too big, in order to capture potential profits?
Your type is crucial here, because safe stocks for beginners do not exist:
|Investment type||Shares Yes||Shares No|
If you are rather conservative or. If you want to invest safely, shares are not the first choice for you. An alternative can then stock funds or ETFs its. These bundle several shares (funds) respectively. track the performance of a specific index (ETF). Due to the broader diversification of your investment, your risk is lower than if you only hold shares of one company.
The stock market for beginners: basics
If you want to buy shares as a beginner, you must be go public. In Germany there are several regional stock exchanges. The best known of these is the Frankfurt Stock Exchange. Generally, the trading venues are closed on weekdays normal office hours open.
Only at these times you can buy or sell securities. sell.
Online you may give your broker the order for it at any time, even on weekends. However, he can then execute this again only on Monday.
Almost every country at least one stock exchange has. The largest is the New York Stock Exchange in the USA.
If you want to trade on foreign exchanges, you need to know in any case their opening hours pay attention to. The time zones of the respective country apply, as well as public holidays, which often do not exist in Germany.
Which shares should you buy as a beginner?
Our most important tip: You should do not listen to the opinion of others. Therefore, we do not tell you which share you should buy. Always question even well-intentioned advice critically.
How much money should beginners invest in shares?
How much money should you invest in shares as a beginner and how do you earn faster from it?? If you ask these questions to ten different people, you will mostly get just as many answers.
Important to know
There is no such thing as a share or. an initial sum, with which you guaranteed successful will be. Therefore, do not be guided by alleged financial gurus, experts or well-intentioned advice.
Starting with a higher sum does not guarantee a quick profit. Even with an entry of 10 euros you can achieve a rapid doubling in value.
The doubled amount is of course small at 10 €. However, this also applies to the loss. Accordingly, it is advisable for newcomers to the stock market to invest with lower sums to get in and first Gain experience. Since there are fees, you should consider at least 25 € as starting capital.
Your starting capital depends on both your assets as well as from your type of investment Depends.
If you are rather risk averse, you invest less capital. A long-term increase as a retirement provision is also possible, but not at the same speed.
What you have to pay attention to as a beginner with shares?
When trading stocks for beginners, there are some important points that you must consider. Enclosed we have compiled a few general tips for you. You should take it to heart regardless of the regulations. This and many more basics will also give you Your advisor at the house bank, if you have questions about your share depot.
More than betting on one card
We always talk about "stocks for beginners" for a reason. Because you should never buy only one single share.
To avoid a total loss, you should always invest in several stocks.
Especially for beginners, mixed funds or ETFs are helpful, which already consist of different securities.
Only use capital that you can spend
You should not incur debts. Current loans you should pay off in advance. If things are going less well for you in the stock market, you can also take losses that could make your financial situation even worse. Since there are no reliable forecasts of returns, it is safer not to speculate in the stock market until the financial basis in addition is correct.
In addition, you can expect heavy losses if you have to sell shares at a bad time because of a financial emergency.
Think long term
Various statistics prove that private users who use kept their shares for more than ten years, more profits. In comparison, the losses were higher for investors who constantly sold their shares.
In addition frequent transactions with higher costs linked. You still like to speculate and want to buy frequently resp. sell? Then you should select with the depot comparison a provider, with which Order costs lower are.
Do not be guided by emotions
Many beginners invest in company stocks that they personally find good. Just because you’re an avid follower of a product doesn’t mean their stock is a trustworthy investment.
Rely rather on objective assessments and inform yourself about the current economic events, for example in the newspaper or the news.
If your share should go badly once, get do not panic. Instead of selling these immediately, it is often more sensible to hold them and wait and see. In many cases the value stabilizes again after some time.
When the Corona pandemic hit Germany, almost the entire stock market collapsed. Those who sold at this point had to expect big losses. But investors with staying power saw after a few months how the Price stabilized.
Finding the right securities account
You know which conditions are important for you? Then find now the deposit that best suits your needs!