A common way to try and help your money grow is through investing. There are many ways to invest your money, but one of the choices available to you is stocks, or a (often small) part of ownership in a company. With online stockbrokers, trading can be done from the comfort of your home, but it’s important to do your research before investing in a stock. Returns are not guaranteed, so doing your research can help you understand the potential risks involved. If you wish to understand how purchasing stocks works into your overall financial plan, an advisor from Harvest Wealth Partners will be happy to work with you to discuss your strategies.
Investing, as defined by Forbes, can be most simply described as “when you buy an asset at a low price and sell it at a higher price.” All investments come with risk, and you cannot guarantee with certainty that you will actually be able to sell your stock at a higher price later. Diversifying the different investments you have in your portfolio is one method to help manage risk. By purchasing a number of different stocks or other investments, you provide more opportunities for some of those purchases to perform well over time, influencing the average value of your portfolio at any given time.
Once you understand the concept of investing, you then have to understand what actions need to be taken in order to actually purchase stock. The first step is typically by creating an account with an online stockbroker. Using a trusted online platform, you can choose the type of stock you want to buy and the quantity of shares you wish to purchase it in.
Before purchasing a stock, it’s strongly recommended that you research the companies you are most interested in investing in. No one can predict the future of how a stock will perform, but there are strategies available that even beginner investors can use to guide their purchases. Understanding the business you are investing in will help you better understand the risks and potential rewards associated with purchasing shares in that company.
If you are interested in purchasing stock, but are feeling uncertain about what options to choose and how to get started, you may find it helpful to consult a financial advisor. When you meet with one of our advisors for the first time, you can discuss your financial goals with us. This helps us get a better idea of your financial picture today as well as where you would like to be tomorrow.
Investing in stock is one of many strategies that individuals use in an effort to help their money grow. If you are investing in stock for the first time, you will likely have questions about how to get started and how these investments may play a role in your overall finances. If you’d like to discuss those questions with one of our professionals, reach out to Harvest Wealth Partners to schedule a consultation.
Harvest Wealth Partners is committed to helping our clients work towards a successful future. We believe in your potential to understand the financial options that can lead you to your goals. Call us today to partner with our team. We look forward to continuing our mission for years to come.
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