Money Stuff - How To: Get in the Stock Market
Hey dudes, I've recently been actively fucking with the stock market and I know from my personal life, work life and everything in between that most people do NOT fuck with it and it's confusing as hell and there's a lot to figure out so I'm going to break it down into a couple of easy steps because I know it's overwhelming but once you get a couple of the things it makes sense:
So, you want to buy some shares in a company. What the fuck do you do!?
You're going to need a couple of things:
1) A trading account through a broker of your choice.
2) Some money.
3) A company you want to invest in
The very first thing you need to do is pick a broker. Your bank probably has a broker if you're with any of the major banks. CIBC, RBC, TD, Scotia. They all have brokerages.
There's also lots of online ones to choose from too.
So what the fuck is a broker? They're the arm of your bank that can actively trade stocks. You tell them you want to buy/sell (over the phone, online, in person) and they get in touch with a buyer/seller and it's done for a fee.
This can be as easy as clicking a few buttons on your phone using an app. Or you can call the motherfuckers like all the old people do because they don't understand apps.
The commission fee these days is usually a flat rate of anywhere from 6.99 per trade up to around $15.
Do you need to have a broker with YOUR bank? No, no you don't. You can have an account with any broker. You can have 10 accounts with 10 brokers.. nobody cares. It's just more accounts for you to look after.
I went with CIBC right off the bat because they had the cheapest commission. $6.99. Their UI is outdated as fuck though so I started a different one with TD and it's a much nicer setup but the trades cost $9.99.
So ok, you picked a broker, cool. Now you'll need to start the process of opening an account. This was the lamest part because I actually had to go into the bank to do it a couple of times. For me it was a little different than it might be for ya'll because I was also transferring shares from one place to another and it was a little convoluted... but for ya'll, call the place you want to use and start the process of opening an account.
Here's the important part:
YOU WANT YOUR TRADING ACCOUNT TO BE A TFSA.
"I want to open a trading account. I want it to be a TFSA"
This is very important. So a TFSA means 'Tax free savings account'. That means the investments you hold in that account, be it shares or just straight cash, any gains you make are NOT TAXABLE.
If you buy shares at a dollar that are 20 years later worth 1000 bucks, you won't have to pay tax on those gains.
It's huge and Canada is currently one of the only countries in the world that has such a thing.
I mean, really, that's all there is to it.
Find a broker.
Open an account.
Add a TFSA to the account.
Transfer money into the TFSA.
Buy some shares.
^The buy some shares stuff has lots of silly things around it too. Market Order, Limit Order, what do these things mean?
Market order says 'Gimme the stock at the price it's at RIGHT NOW!' and Limit is 'I want that stock at this price that I've chosen.'
Man, all the info is out there, it's super easy once you start messing with it.
So, just throwing it out there.
I'm no pro at this but I've done it a couple of times and man, there's money to be made out there.
Hit me up if you want to know more.