Have you opened your account for selling and buying stocks? If not, this might be the good timing for you to consider opening one. Recently, the Philippine stock market has been reaching its historical highs, meaning a lot of investor are seeing a good out look for the Philippine market, that is why they are putting their money on stocks.
If you decided to join these people, here are some steps that you can take to opening your account and start buying and selling shares of stock in the market.
Open an account
First open an account with a brokerage firm in the Philippines, preferably a firm that you can do trading online and not calling your broker through phone. For me, I got Citisec Online as my online broker to automate all my transactions. I have never used any other broker and so I cannot tell if what I am getting with Citisec is the best one. You have to produce some documents such as proof of billing together with a filled up application form and send it to the company via traditional mail.
Download the forms to be filled up here.
Funding Your Account
Fund your account after your brokerage firm approved your application through local banks found in your area such as Banco de Oro (BDO) and Bank of the Philippine Islands (BPI). These are the banks I know that also offers online transactions which will be important to you if you will decide to do all your transactions via online and I suggest you do all your transactions online to avoid hassles.
Selecting Your Stocks
Hopefully, after you opened and funded your account, you already have in mind what stocks you are putting your money into. If not I suggest you become a member of Bo Sanchez Truly Rich Club, a very good membership site where you will be advice which stocks you should pick based on solid facts and research by professional.
Understanding the qoute
The first thing to do when you log in to your account is to see the qoute of your selected stocks. A stock qoute contains information such as the bid price and ask price as well as the trade volume for a specific time. Important information you should take note should be the following.
Bid – The current highest price that a buyer is willing to pay for a stock.
Ask – The least price that a seller is willing to accept for each share of his stock.
Volume – The number of shares traded on the specific time.
After you have evaluated and seen the qoutes of your selected stocks, it is now time for your to purchase it. But first understand some abbreviations you will see while filling up the order form.
ATO – meaning “at the opening”. Orders will be executed at the opening prices of stocks
ATC – meaning “at the closing”. Orders will be executed at the closing prices of stocks
You have seen above that it is not that hard to trade stocks at all, I encourage you to open your account now and try it even for small amounts. The only hardest part with stock trading is deciding on what stocks you should get, all the rest will be common sense.
Now just to get you started and also to avoid costly mistakes as you learn how to select stocks, consider joining the Truly Rich Club. For a minimal payment every month, Bo Sanchez will be sending you tips on what stocks you should put your money into with insights from his expert colleagues. I have been member of the club for about a year now and I find it very helpful and full of information. Because of this club, I was able to avoid the would be costly mistakes of first time stock investors.
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