Introduction to the world of shares: What beginners should know

The world of shares can seem overwhelming at first glance, but with a little knowledge and preparation, even beginners can successfully enter the stock market. In this article, we explain the basics of the stock market and give you important tips for getting started.

What are shares?

Shares are shares in a company. When you buy a share, you acquire a small part of this company and become a co-owner. This means that you share in the company's profits and losses.

How do shares work?

The value of a share depends on various factors, such as the company's performance, economic developments and market news. If a company performs well, the value of its shares rises. If it does badly, the value falls.

How do you buy shares?

To buy shares, you need a custody account with a bank or online broker. Once you have opened an account and deposited money, you can buy shares via the broker's platform. You simply enter the number of shares you want to buy and confirm the transaction.

What influences the share price?

Many factors can influence the share price, including

  1. Company news: Profits, losses, new products or managers can influence the share price.
  2. Economic data: Unemployment figures, interest rates and inflation also have an influence.
  3. Market sentiment: The general confidence of investors can cause share prices to rise or fall.

Tips for beginners

  1. Start small: Only invest small amounts at the beginning to gain experience.
  2. Diversify your portfolio: Invest in different shares to minimize the risk.
  3. Education is the key: Keep yourself regularly informed about the market and the companies in which you invest.
  4. Be patient: Equity investments are designed for the long term. Don't let short-term fluctuations worry you.

With these basics, you are well equipped to immerse yourself in the world of shares and take your first steps on the stock market.

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