How do you start with as low as 80$ in SHAREBUILDER?
Question:
-----FOR SHAREBUILDER USERS-----
Im practically NEW to all this stock stuff...
I´ve read some info about stocks online in sites like howstuffworks.com
and I´ve also learnt from other people´s experience online------- other than that I only get a general idea of the thing.
NOW... my dear sharebuilder users. the 100 grand question:
How do you start with as low as 80$ in SHAREBUILDER??
How did you get started??
Did you have any previous financial/stock experience??
Does transfering from your sharebuilder to your account have a cost??
Can you transfer to a debit card and does it have a cost??
P.S.
what are things like "Automatic Investments" & "Real-time
Market Trades" ?
Answer:
Automatic Investments with ShareBuilder just mean you set up an investment before Monday and on Tuesday at approx. 1pm, they will buy the dollar amount of the stock you requested, so you may own 2.3835 shares of the stock. This is nice because you only pay $4 per investment.
Real-Time trades are when you pay approx. $15 to place a buy at a certain time, not on Tuesday at 1pm.
You can start with any dollar amount you please. You can buy as little as $5 worth of stock (plus the $4 fee).
There is no cost to transfer money from your sharebuilder account to your bank (or vise versa) but you do have to sell your shares.
I was a Finance student that started following the market 5 years ago.
I'm not aware of a debit card, but there may be one. I know there is a credit card.
Buying a stock when the price is down is a good thing because its like buying something on sale!
Also, if you are interested, if I refer you, you can get a free $25 credit in your account. This is how I got in, someone referred me. 4-6ish weeks after my first trade, I was credited with $25. Just contact me if you would like me to send you an email with instructions.
I have a Sharebuilder account. It is basically you invest $80 bucks a week or a month. They are automatic investments so once you setup your account the money comes out your checking or savings account and they do the rest. You setup what company you want to get shares from and that's it, no more worries. They do it on a Tuesday. So you can specify what tuesday of every month to invest or if you prefer, every Tuesday. If you only have $80 bucks to invest, forget about the stock market and Sharebuilder. If you have $80 every month, it might be worth it, but consider this:
- Sharebuilder charges $4 bucks for every transaccion, that means 5% of your money is going to Sharebuilder.
- Sharebuilder is a great engine to get shares as LONG term investment. If you are saving 80 bucks/ month, you need to do it for at least 3 or 4 years so it is worth to have shares of any company in America.
- Keep in mind that if you want to sell your shares, Sharebuilder charges $14.95 for the transaction. So, if you invested 10 months of $80 bucks that equals $800 bucks. If you share went up 10%, you will have $880, right? well, to save 800 bucks, you have spent $40 in buying transactions plus $14.95 to sell it. That means that broker fees are $54.95. Substract 54.95 from 880, that equals $825.05. Which means that your share did not go up 10% but intead only around 3.1%. That is why Sharebuilder has to be taken if you want to do long term investment. Of course, you have the perks of getting divindents once in a while of your company and that add to it. Think big, think on the stock market as a wealth source in the long run.
The automatic investment is a good option to buy cheap shares. I started buying DELL for $30/month 6 months ago and now they cost $19. I have lost 30% of the value. Well, you know what? who cares!? Because my vision is to get shares of Dell every month, now I get them for $19 bucks. 2 or 3 years down the road, the company will bounce back up and every share will cost $30 or 40 bucks. That mean I have almost duplicated my money of the devaluated shares I'm getting today, in 2 or 3 years. That mean an annual return of 30-40% before taxes. Not bad uh?
Again, stocks are for long term investments, specially if they are done through automatic investment.
I hope this helps and good luck making a decision.
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