First of all, people are going gaga about buying stocks in a certain company, particularly bluechips (SM Prime Holdings, San Miguel Corp, etc.), but do you have any idea on why they do it?
For as low as P5,000, you can now start investing in stock markets. Just go to COLFinancial, Philstocks, BPITrade, and the likes, follow instructions, and you can now start investing!
So how do they make money from it? There are two ways:
First is to wait for the market to change, whether you buy at low prices (when prices are red) and sell when prices get high (when prices become green). You just need to be slightly technical if you are not patient enough to get easy money.
There’s this thing called Dividends where a company gives an amount of share or cash for those who bought their shares, it happens depending on the company’s term (usually once a year).
Well for Stock trading, risk is higher because markets are too volatile to predict whether it goes up or down so be ready to be emotional once the market drops very low.