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Share dealing - merged


lapal_fan

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Not a fan of EIS's and VCT's. Great tax relief benefits but they are definitely for the adventorous/risky investors.

There are a few lower risk ones though.

Companies like Octopus & Downing have specifically tailored some to be for the less adventurous.

There's also some communtiy share scheme's popping up which are a nice idea. They are industrial provident societies run on a community basis - but also have the advantage of being EIS.

My friend is involved in a community broadband venture in Lancashire Broadband for Rural North. You get broadband perks if you invest & live in North Lancs. If it's a success then they are going to move further afield.

One of the villages near hear has bought it's own pub as a community share scheme - it raised £270K in 6 days! Crosby Ravensworth Pub - Doing really well so I've heard.

Personally I think going forward more and more people will want to invest in their local communities.

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  • 4 months later...

Hi all,

I have just turned the big 18 and have received some money in the region of about £200-£300 from my nan. Instead of pissing it up the wall and spending it on holidays and nights out etc. I have decided I want to start trading in shares. I appreciate that its not the biggest amount of money, but then again I wouldn't really be interested in investing over £1000 as I don't see the risk as appealing.

As this is my first time trading I have been advised to go to my bank and do it through them. I was just wondering if anybody had any advice etc. on the methods of how I should find my company and how I should generally go about it. If there is any material or websites I can read up on and so on? Also, I have looked into ForEx and that dosen't really appeal to me as I am no mathematician, plus I think I would rather keep the money in £BPS so would rather trade with the FTSE I reckon.

Thanks all

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Don't put all your eggs in one basket. With only 200 quid, maybe split it 50-50 across 2 co.s shares.

Pick a co.(s) you are interested in - like maybe where you bank, or where you shop, or your pushbike manufacturer or some CO. you personally like the products of. Watch the shares for a while before thinking about buying. Read about the CO. on the internet or in the paper. Use the law - PLcs have to announce if directors buy or sell shares - so if the directors are buying, they must think things are looking good, and if they are selling they may be thinking selling shares in X plc is better than buying them, so follow that implicit advice, and don't buy. look at someone else.

Don't expect a quick return, don't be sentimental. Don't invest if you are not prepared to lose money.

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The big concern currently is it matters little about the company and more about the world markets. Bad news in Greece can mean a 5% hit on a lot of financial institutions. Personally id stick it in an ISA, bit more boring but it will be there when you need it.

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Don't go to the bank, their charges are high, its inconvenient and dealing is slow. I recommend you sign up with TD and trade online. Trading is cheap, instant and you can view your portfolio on-line.

Personally I recommend investing in managed funds rather than individual shares because you can spread the risk widely, and I don't think you can ever know enough about one company to know the level of risk you are carrying. Send me a pm if you'd like some more specific ideas.

It is absolutely unrelated to putting all your money on read, as Davkaus suggested. That's an instant win or lose all adventure. I'm guessing he's taken a beating sometime and can't get over it.

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Keep the money somewhere boring for a few months.

Buy a newspaper with shares info in it.

Pick some shares.

look back in a few months time and try to work out if, after deducting commission, you would have made any money.

FWIW, last year I put some money on some shares and in 12 months I managed to make just shy of 15%

well done me, am I a financial guru? No, I was lucky, another 6 / 7 weeks and i reckon I'd have had less money than I'd started with. Mugs game unless its money you can afford to write off.

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  • 1 year later...

so did anyone apply for Royal Mail shares?  I applied for £5k worth.

 

 

my theory is that:

 

short-term - price should rise on opening day of trading due to high demand, and so i can make £1k profit (20%) and get out quickly.

 

medium-term - guaranteed dividend of between 6-9% which is better than putting savings in a bank account.  and should mean share price holds up as well until the dividend is paid.

 

long-term - once the strikes are over, a bit of modernisation, better working practices, etc, should make it more profitable. 

also, they have around £1billion worth of land in prime positions that they may decide to sell to make extra profit.

 

alternatively, share price may crash and never reach the highs of the floatation price again   ;)

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so did anyone apply for Royal Mail shares? I applied for £5k worth.

my theory is that:

short-term - price should rise on opening day of trading due to high demand, and so i can make £1k profit (20%) and get out.

This is what I'd have done but I'm required to hold all my personal investments for 30 days :(

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I applied but I get the impression it's unlikely small investors will get them

 

will wait and see I guess

 

 

a certain percentage is guaranteed for small investors, everyone will get at least the minimum £750 worth.

above that you will get a certain percentage, i would expect to get around 50% of any order below £10k.

 

its the institutional investors who will only get a small fraction of their order - they seem to have anticipated this and orders of £30billion worth have been put in!  

 

the govt also said that it may reduce its own shareholding if the retail portion (ie: us) is massively oversubscribed.

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so applied for £5k worth of Royal Mail Shares.

got skanked by the government who only gave everyone £750 worth, whilst institution like Kuwaiti govt and Saudi investors got millions of pounds worth.

 

Anyway, price was set at £3.30.

It opened this morning at £4.56, and i sold shortly afterwards at £4.44.

 

Made £250 profit.

 

i should be happy, but i'm just annoyed.

- The govt should have given small investors priority rather than the institutions

- the govt should have set the price with an auction like many private company floatations do.  By not doing that, they have cost the taxpayer over £1billion.

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ender4, on 11 Oct 2013 - 11:38 AM, said:

so applied for £5k worth of Royal Mail Shares.

got skanked by the government who only gave everyone £750 worth, whilst institution like Kuwaiti govt and Saudi investors got millions of pounds worth.

 

Anyway, price was set at £3.30.

It opened this morning at £4.56, and i sold shortly afterwards at £4.44.

 

Made £250 profit.

 

i should be happy, but i'm just annoyed.

- The govt should have given small investors priority rather than the institutions

- the govt should have set the price with an auction like many private company floatations do.  By not doing that, they have cost the taxpayer over £1billion.

 

As I read it you can't sell until the 15th and it will be at the market price on the 15th  ,so possibly lower than £4.44 

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I really want to buy some shares, have an accounting degree and there was a lot of finance modules in my course but I haven't a clue what the best way to actually go out and buy something is, we did a project in second year on share prices, mine was Paddy Power were about €14 a share then €58 now. :(

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ender4, on 11 Oct 2013 - 11:38 AM, said:

so applied for £5k worth of Royal Mail Shares.

got skanked by the government who only gave everyone £750 worth, whilst institution like Kuwaiti govt and Saudi investors got millions of pounds worth.

 

Anyway, price was set at £3.30.

It opened this morning at £4.56, and i sold shortly afterwards at £4.44.

 

Made £250 profit.

 

i should be happy, but i'm just annoyed.

- The govt should have given small investors priority rather than the institutions

- the govt should have set the price with an auction like many private company floatations do.  By not doing that, they have cost the taxpayer over £1billion.

 

As I read it you can't sell until the 15th and it will be at the market price on the 15th  ,so possibly lower than £4.44 

 

 

 

you could sell this morning on the conditional market.  (technically the transaction won't take place till Tues 15th)

In reality, the transaction has already been processed and the money was in my account a few seconds later.

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