There’s something exciting about finding reliable investment methods you can use apart from hands on business ideas.
I remember the first time I set out to find out more about shares .it wasn’t such an easy task because I couldn’t get straight forward answers either from people or the internet.Plus the image section that comes up when you google ‘shares ‘ is not friendly to a math phobic person.
Then the way the share market is presented by business news presenters leaves you having more questions instead of answers.
Like how exactly am I supposed to purchase this shares?
So for anyone searching for information on where to begin on becoming a shareholder of a company, this is for you
Step 1:decide on the organizations you want to be a share holder in
The biggest mistake people make is assuming that company A looks more profitable than company B just because you think so or you happen to see more adverts about it or because you heard someone mention it in your chama.
There are a lot of things to consider in order to make the right choice. Like you have to find out how competitive the company is , also look at its profitability taking note of the profit margin between in different years. The dividend policy is also something you shouldn’t miss.
In another post I might just expound more on this area but feel free to ask questions.
STEP 1(A): visit the organizations
This step is for those people who feel like they can dedicate some few minutes and head to the organizations you decided in step 1.So when you reach the organizations just say you want to become a shareholder of the company ,of course am assuming you are talking to the customer care or receptionist or the person the customer service has directed you to. They will give you directions on how to go about it .
For some it may involve just bringing a copy of your ID and the original so that they can be able to open for you a CDS account but it depends with the organization rules .
CDS stands for central depository and settlement account. This where your shares are deposited.
STEP 2:go see a stock broker
Alternatively if you have a number of organizations you want to invest in then you can just opt to visit a stockbroker. I will leave you a list of stock brokers, their location and contacts on another post.
So when you do visit the stock broker they will give you some forms to fill. one for the CDS account and another for registration .The forms will come with details on whatever documents they may need you to attach .Then they will give you an online portal where you will be conducting your transactions.
It ‘s as simple as that,for anyone who will try this steps out feel free to say how it went in the comment box.