Investing in stock shares is really not that scary.
When people begin to consider investing in stock shares, most probably end up backing away from the idea due to being persuaded by friends or family members.
Most will probably say "Don't waste your time investing in shares because there's nothing worse than gambling in stock shares investments".
Usually it's something similar to that statement.
But buying shares or to be more technical, buying stocks is not that intimidating.
If you are smart enough to learn how to invest in shares, you can definitely become an expert in the strategies involved in stock share investing, and your investments will begin to pay off sooner you think.
To start, let's try to understand what stock shares actually are.
In the literal sense, stock or shares are exactly what it means.
They are share or stocks in a public company.
A public company requires investment to begin their operations and maintain it to keep their company running.
Investments are usually pretty significant.
with that said, companies have to raise a certain amount of capital by announcing to the market there public issue shares.
This is also called an Initial Public Offering or IPO for short.
There is a particular face value for each share and typically almost anyone is free to purchase any amount of stock shares.
To put it into perspective, if you buy 500 shares of the company, you are giving a capital worth the face value of the 500 shares to the company.
In return, you end up with 500 stock share certificates and end up having ownership rights within the company to only that extend.
You will get voting rights within the company, but your ownership is restricted to only that.
So where is the investment in this whole ordeal? When you buy shares, you have invested whatever amount of capital in the company.
Now, as the company grows, it might see profits or losses.
Whatever the case the case maybe, the total value of the stock shares will either go up or go down respectively in comparison whatever the face value you put down in the beginning.
When the stock share values goes up and goes down, you as an investor is also respectively gaining and losing.
Let's just be clear though, you are not connected to the company.
You owe a portion of it and that's the only connection you have.
As the prices goes up, you can do what you please.
You can either sell off those shares and make a nice profit in the process.
Now, if the share prices goes down, you can either start selling the stock shares with a loss for yourself or try your luck with another company.
You can also wait it out and see if the company makes some progress in the next few weeks or so.
It might take longer than that, but you can too see how they progress in the near future.
It really is that simple.
Some would say that investing in stock shares is a definite form of a gamble.
But it is not all a gamble, whatever the wise investor would say.
The reason for this is that investing in stocks are typically done after doing a lot of research of market trends.
It's not all left on chance.
There are strategies that can assist you as an investor to make the most of your investments campaigns.
Strategies like Penny Stock investing, which focuses mainly on penny stock shares.
This is one investment strategy to consider.
This style of investing might be a good start for you to get your feet wet first if it's your first time investing.
Now with that said, get started and start investing.
Start small in the beginning.
Learn the ins and outs of investing then star making more serious investments once you get more comfortable.
Remember to be smart with your choices and to research each company you are considering to invest in.
Knowledge comes with the right experience!