Shares Investment recognize and how to play the stock

Shares can be interpreted as proof of securities as equity or ownership by an individual or business entity in a company, one share is equal to one part of ownership
In general, the stock can be classified into two types of common stock and preferred stock
Common stock is the most common type of shares that are traded each day on the exchange, while stock prefen is higher liquidity of shares of common stock. What is the difference?
Preferred stock itself is actually a combination of bonds and common stock. Owners of preferred shares have the right to take precedence over the common stock owners, for example in the dividend or distribution of assets if the company goes bankrupt.
In certain circumstances, for example, the issuer being a loss, there is the possibility that the owner of the shares, both ordinary and preferred shares, not receive dividends.
The difference, owners of preferred stock dividends do not lose it, the issuer shall pay dividends in the period pending the next division. This does not apply to holders of ordinary shares. In addition, if the company goes bankrupt, the owners of preferred shares will have priority in the distribution of company assets than common shareholders.
stock investment
Income from shares
1. Dividends
Part of company profits distributed to shareholders
stock. These dividends are usually distributed every certain period of time, eg 3 months, or once a year.
The proportion is comparable to the number of shares held,
the more shares you have, the greater part of the dividends you receive.
But there are also times when the dividend is not distributed by
Companies, for example, when companies lose money or unfounded
policy General Meeting of Shareholders.
2. Capital Gains
Ie the profits from the difference between the share purchase price. For example, you buy 1000 shares of ABC company whose price is USD 1000 / sheet (total $ 1,000,000).
Some time later, the share price rose to Rp 1,250 / share, if at the time you sell shares you have, you will get a capital gain of Rp 250 / share or a total of Rp 250,000.
Investment Strip
You can invest in the capital market through two channels, namely:
1. Through the Primary Market (Primary Markets)
The market there are currently companies / issuers to sell their shares
in public for the first time or the term go public
These sales are usually announced through the mass media in the form prospectus. Well, if you're interested, you can contact
the company and bought it. Usually issuers
include the address and purchase terms in
prospectus. Remember, the IPO is only valid within a certain period. When passing from the specified time period, then you have to buy through the secondary market.
2. Through the Secondary Market
If in the primary market is the transaction between the investor
with the company, then in secondary market transactions occur between one investor to another investor without the involvement of the issuer. Prices of shares traded also depends on the market, is not determined by a relatively issuers as well as in the primary market.
The process of buying and selling shares from investor to investor
can not be done directly as in the primary market, it must be carried out in the Stock Exchange through a broker or brokerage company.
To use the services of a broker, you must deposit a sum of money in a bank designated by the brokerage firm. List the name of the broker you can see on the Stock Exchange (the Indonesia Stock Exchange) or through the website jsx.co.id
The term - a term that should be understood
Issuer: the company issuing stock
Trading days: the day when the stock traded
Nominal rates: the issuer's share price set
publisher. For owners of preferred shares, the nominal price is very important, because of the price is the value of dividends remain to be determined. Suppose mentioned that the preferred stock dividend is 10%, the dividends received Artiya is 10 percent
of the nominal price. If the nominal price of a share prefern USD 500, then the dividend you receive is $ 50 / share.
Initial price: the current stock price was first sold in the primary market.
The market price: the selling value of shares in the secondary market. Its value depends on the market mechanism.
Capital gain: the profit earned on the difference in share price
Capital loss: the opposite of capital gain, capital loss is loss due to falling prices of shares purchased.
Cash dividends: the dividend in cash
Stock dividends: a dividend in the form of stock ownership
Dividend remains: is the type of dividend distributed to owners of preferred stock. Its value remains as the bond coupon payment.
Cumulative dividends: dividends are the rights holders of preferred stock, but has not been received during the period of distribution of shares ago.
Non-cumulative dividends: if you have a preferred stock dividend of non-cumulative, meaning that shareholders were not entitled to sue prefern dividends are not paid in the past.
Yield: the total benefits received by investors, both capital gains and dividends.
Callability: the right of the issuer to buy back the preferred stock that has been circulated. Usually issuers would buy the shares above the nominal price.
Convertible preferred stock: preferred stock that can be
exchanged for common stock ownership. Exchange ratio depends on the agreement between the investor and the issuer.
Non-convertible preferred stock: the opposite of convertible preferred stock. These shares can not be exchanged for common stock.
Investors and Speculators
You would never mendengan two terms, what's the difference?
An investor is more oriented towards long-term returns. If he want to invest their money in stocks, it will examine the stocks you want to buy it carefully, ranging from reputation to the issuer's performance and financial reporting issuer. As with the speculators.
Speculators chasing quick profits, he will buy shares when he predicted that the stock price will rise, no matter what kind of performance his publishing company.
Speculated it could potentially provide a big profit
quickly, but the risk is very large, you can get rich quick but also impoverished spectacular. And to date only a few rich people who get their wealth from stock speculating. On the other hand, even a lot of people lost money and hampered in gathering wealth due to stock speculation. Instead of speculation is bad, but rather as
bet. When you sell, there will be a buy. Well, actually the moment that you're betting. You assume that you sell the stock will go down, while the purchase estimate that its value will rise. The percentage of 'victory' you little if you do not plunge full time to monitor the movement of the stock.
Therefore my advice, invest and not speculate.
Stock Investment Tips
The value of shares - cheap or expensive?
I mean cheap or expensive is not the price per share, but the stock price than its intrinsic value. If the intrinsic value of a share is higher than the selling price, the stock was fairly cheap.
For example, shares of PT Alam Rp 4,000 perlembarnya, but it turns out when you reckoning, actually shares worth Rp 6,000 per strip. Then the shares of PT Alam is fairly cheap.
Purchase of Shares in the company are weighted.
Before buying any stock, conscientious company! Take time to examine the management, operational, financial, competitors, and the company's potential for growth. The company's stock buy only if you are confident performance.
Eggs in a few baskets was safer
but if too many baskets even bother, do not too much to buy shares of different companies, you will hassles monitor. In addition, you gain even so not optimal when any one of your stock value increases rapidly.
The future is unpredictable
Do not believe in anyone who predicted that 'the stock price will go up' or vice versa.
There are times when you lose. Therefore, learn to minimize losses as soon as possible.
Regular evaluation.
Changes in circumstances cause the value and risks of each stock is changing, if the stock you have turned out to have no potential longer profitable, sales only.
Always provide a reserve fund.
At least you should have emergency savings, amounting to a minimum of 5-6 times your spending month. If there is a stock that is profitable, you can use the funds to buy it. Conversely, when you lose most of the investment, you still have the support fund that will give you time to bounce back.
A few reviews on stock investments.

hopefully useful ya !!


Greetings
Anas Bully



(Source: investasijutawan.com)