4 Easy Steps to Get You Started in  Buying Stocks

Some investors buy stocks to create a growing passive income stream, or a dividend growth strategy. The idea is simple and works, and many real-life stories exist of people building wealth from equities.

Steps on How to Buy Stocks for Beginners

Pick a Brokerage Firm

Start buying stocks by picking a brokerage firm. In the past, an investor had to deal with a broker who placed a buy or sell order. Today, orders are placed directly by the investor online. Therefore, a person should start the process by selecting an online broker and creating an account.

Open an Account Online

Opening an online account is simple and easy. First, a person must complete the application, provide the necessary identity information, and wait for approval. Lastly, an investor needs to add money to the account by directly linking a bank account and transferring funds or mailing a check.

Full-Service Brokers vs Discount Brokers vs  Robo Investors

The process is about the same for almost every online broker. However, many choices for an online broker exist; they are categorized as either full-service or discount brokers.otos.

Below is a partial list of brokerage firms rank-ordered by the number of accounts. 1. Fidelity 2. Charles Schwab 3. Robinhood 4. Webull 5. TD Ameritrade 6. E*Trade 7. Vanguard 8. Ally Invest 9. Merrill Lynch

Ranking of Brokerage Firms

Start researching a stock by reading about it in one of the many investing books available to the public regarding learning how to research and select stocks.

Read about Stocks in Books