The history of the stock market goes back a long way. Already in the 13th and 14th centuries, bill markets and periodic fairs were active. They act as a kind of prototype of the modern securities market. The first transactions carried out with securities took place in the 16th century, and it was then that the first exchanges began to appear in Lyon and Antwerp. The stock exchange and the stock market in the modern sense were established at the end of the 16th century, parallel to the emergence of joint stock companies.

An excursion into history and an introduction to the concept of the stock market

The oldest stock exchange is in Amsterdam, which began operating in 1611. It was she who became the first place where margin operations and forward REPO and DEPO transactions were practiced. The culmination of the development of the international stock market was the opening of the stock exchange in New York. It was there that the first investment mechanisms in history were first developed and implemented. It became the basis for the formation of multi-billion dollar financial empires, in particular Rockefeller.

The stock market is a regulated component that provides the opportunity to trade securities not only on the exchange market, but also on the over-the-counter market. Consequently, the concepts of “stock market” and “securities market” are by and large synonymous. The international stock market is a collection of markets in all countries that are integrated into a single whole and allow for financial manipulation with securities. We can conclude that the international stock market is nothing more than an integral part of the global capital market, which, in tandem with the money market, is, in fact, a global financial system.

Who takes part in the life of the market and what operations are carried out on it

The world stock market belongs to the category of supranational structures. It integrates the stock markets of all world countries. While in domestic markets the participants are either individuals or legal entities, on the international platform the states themselves are represented as trading participants. Almost all participants in the global economy have access to the platform, and their location does not affect this fact, which automatically makes the market both global and universal.

The stock market is, to some extent, a tandem of transnational companies, international stock exchanges, brokerage houses, dealers, government agencies, and financial institutions. Institutions such as banks, insurance agencies, and government financial services that can influence market movements also take part in the life of the market. All transactions carried out within the market can be differentiated into two categories. Commercial manipulations represent mutual settlements between parties in export and import transactions. Financial manipulations represent the flow of capital between various sectors of the economy.

Market division: primary and secondary market

The stock market for securities can be called an institution or mechanism that provides the basis for interaction between buyers, who are the bearers of demand, and sellers, who act as providers of value. The stock market can be divided into primary and secondary. Each subtype of institution performs a clear list of tasks.

Primary market

The primary market is the market for stocks and bonds, short-term government bonds and loans, federal loans. The concept includes the market for foreign currency loan bonds and treasury bills, a gold certificate with financial instruments. According to the law, the primary market is defined as the relationship formed during the issuance of investment securities or during the implementation of civil and legal transactions between persons who have assumed the full range of obligations under securities, and investors, professional participants in the financial industry or their representatives.

The primary market can be called the market for the first or repeated issues of securities, within the framework of which their primary distribution among investors is realized. Information on securities, including prospectuses, registration and control by government agencies inclusive, is completely open to investors, which allows them to make a rational and deliberate choice.

The primary market comes in two formats. This is a private placement, with its inherent sale of securities to a strictly limited number of investors identified in advance (without a public offer), and a public offering, which is carried out by publishing a public announcement (includes the sale of shares to an unlimited number of investors).

Secondary market

The secondary financial and stock market includes stock exchanges and the stock divisions of commodity exchanges for pre-issued shares and financial instruments. The concept implies relationships that are formed during the rotation of securities previously issued within the primary market. The secondary market is based on transactions that support the redistribution of the spheres of influence of foreign investments, including certain speculative transactions.

Securities are divided into organized (or unorganized or over-the-counter (street). The secondary stock market for shares provides a stable structured restructuring of the economy in order to increase its efficiency. It is mandatory for the existence of the securities market, like the primary one. A characteristic feature of the institution is liquidity, becoming a help for the implementation of successful trading and for the ability to absorb a large number of securities in a short time. At the same time, exchange rate fluctuations remain at an insignificant level, and implementation costs are minimal. The trading mechanism on the secondary market ensures the stability of the market itself and limits speculation.

Why do we need a stock market?

The stock market is a universal financial structure that influences many areas of activity. The institute influences business because it is essentially the easiest way to obtain finance for the development and prosperity of a young corporation. When a start-up company sells shares, an ownership interest, it receives capital that does not need to be returned and on which it does not need to pay interest, as is the case with a bank loan. Stocks turn into money not only at a high rate, but also with large dividends.

Share prices, which are largely determined by stock market participants themselves, have a direct impact on the state of the economy and act as an indicator of social sentiment. An economy in which the stock market is developing is considered developing, and the country is considered strong and prosperous. Trading on the stock market opens up great prospects for ordinary people. Bidders who do not have large capital can become co-owners of shares of large global concerns and receive stable profits from them in the future.

Domestic stock market

Until recently, over the past four years, the Russian stock market showed active growth rates, which emphasized its dominant role in the development of the state's economy. In the first stages of its development, the market played the role of distributing property within the country, but today its main purpose is to attract foreign capital to the Russian economy. At the moment, the capitalization of the domestic stock market is $498 billion, which is 80 percent of the country's GDP.

Experts predicted that, despite the crisis, in 2015 market capitalization will increase by 2.5-3 billion. In fact, the situation has only worsened, and the entire stock market is now cheaper than Apple shares. Statistical analyzes clearly show that the development potential of the Russian stock market has not yet been exhausted. The prosperity of the institute is a prerequisite for ensuring a sufficiently high level of competitiveness in the battle for global investors on the international stock market. Not only individuals are interested in the development of the market, but also enterprises that want to attract investment through bond issues.

Domestic stock market 2015

The Russian stock market has serious problems associated with problems in legislation, the low level of development of investor activity, the undervaluation of companies and the lack of corporate culture. At the same time, according to world experts, the Russian stock exchange is currently classified as the worst in the world, despite its good potential. This fact is evidenced by the RTS dollar index, which has fallen by more than 50 percent since the beginning of 2014.

Things are worse only in the markets of Ukraine, Portugal and Greece. The ruble is systematically weakening against the dollar. The latest post-trade figures were recorded below the 60 ruble mark, which is the largest intraday drop since 1998. The fall in the currency was prompted by statements from the Central Bank, which announced a forecast for the next year based on an oil price of $60 per barrel, which is absolutely not true. Investors are losing interest in the Russian market, which is reflected in the state of the economy.

American stock market

In contrast to the situation in which the Russian stock market finds itself today, its American counterpart is considered the most liquid in the world. The world's largest companies operate within its borders. These are not only shares of corporations and securities of foreign organizations, but also depository receipts, exchange-traded funds, and many other instruments. The American Stock Exchange in New York serves as a platform for trading in second-rate securities. In the early stages of its development, the exchange was presented in the format of an open-air square on Wall Street, where transactions were concluded. Only in 1921 did the retail space move indoors

To be able to invest in the American stock market, you need to open an account with one of the brokers, which is focused on providing services to traders from Russia. Each broker has specialists who will tell beginners what and how to do. The rating of stock market brokers indicates that it is preferable to cooperate with companies such as Finam and Capital Management, Insta Trade and United Traders, INVEST. which, based on a number of criteria, have been identified by the world's best agencies as the most reliable.

Features of trading on the American Stock Exchange

The Russian stock market is radically different from the American one, which determines the specifics of trading on the latter. Let's start with the fact that transactions within the platform are concluded between trading participants. Losses on the spread are not necessary. Market participants can not only accept or reject prices, they can offer their own. Within the exchange, each trader gets access to information that includes not only a price chart. The trader can evaluate the volume of transactions, market depth, prints and imbalances.

The stock exchange offers a huge range of trading instruments, of which there are at least 6.5 thousand, which automatically provides excellent opportunities for competent risk diversification. Trading on the stock exchange can be carried out daily, since the number of shares is very large, and it is very easy to choose the optimal balance of risks and profits. In order to start active trading in shares, you need a deposit of at least a thousand dollars. Companies offering to start with $500 offer very unfavorable trading conditions. You have to pay for it separately, but the profit from trading more than covers all costs.

The capitalization of the American market is equal to many trillions of dollars, which makes it attractive to investors from all over the world. And within the market there is a huge number of both undervalued shares that will allow you to make good money, and a large number of overvalued ones that open up equally broad prospects. Experts recommend developing long-term investment projects rather than counting on short-term profits and quick income.

Today, a large number of stereotypes and erroneous ideas about the stock market have already developed, so actively fueled by the business media. In this material we will figure out whether they should be believed. Let’s look at the very essence of the stock exchange, and also briefly look at a few very simple rules that will help you independently and, most importantly, invest effectively in the securities market.

What is the stock market?

Stock market is a market that obeys certain rules and has functionality and tools for buying and selling companies, or shares in them. Place - giving investors the opportunity, through the acquisition of shares, to buy a part in the business they are interested in; companies - to receive money for development through the sale of their securities. Business today is the basis of the financial system of most countries. For this reason, without the stock market, it would be impossible for the world economy to develop normally and meet the needs of every member of society.

Why is it needed?

1 . Allows you to own part of the company by purchasing shares on the stock exchange.

Daily trading of securities on the stock market provides a convenient and technologically advanced opportunity for acquiring and selling a business. When a person buys at least one share, he automatically becomes the owner of a small part of the enterprise itself. If the company grows, then the price of shares will begin to increase, and accordingly, each shareholder will receive a profit.

The holder of securities, as a partial owner, has the right:

• receive a portion of the firm's annual profits (usually paid in the form of dividends);
• vote at shareholder meetings held to elect the composition of the board of directors and resolve other important management issues;
• for part of the money received from the sale of property in the event of termination of the enterprise.

2 . Allows companies to attract additional funds for development.

Another important function of the stock market is that it allows companies that list their shares and bonds on the stock exchange to grow and develop much faster. Using the money raised, firms increase their turnover, introduce new technologies for creating goods and providing services, hire personnel, and increase their competitiveness. Taken together, all this allows the company to earn more profit. All this would have been much more difficult to achieve without investor money.

3. Selection.

Another feature of the stock market is that it is a place where it is clearly demonstrated how more reliable, promising companies that can work well and honestly are gradually replacing those that do not meet these parameters.

Because it is more difficult for bad companies

• Earn trust;
• Sell ​​your product;
• What is equally important is to attract money from potential investors.

Above, the basics of the stock market were discussed. Let's move on.

Types of market.

In order to better understand how to trade in the stock market, you should understand its types. The stock market is divided into two categories - primary and secondary markets.

In the primary market, securities newly issued by the organization are sold (issue). At this stage, and there is an infusion of investors' funds into the company's economy. Often, such transactions are closed. Further, investors who bought shares on the primary market try to realize their own capital as profitably as possible for themselves. This is how a secondary market is formed.

In the secondary market, securities and bonds that were previously issued are resold. This is where the largest number of transactions take place on the stock exchange. This type of market serves for the resale of company shares (blocks of shares on it) between large primary buyers, as well as between smaller investment companies and private investors. The companies themselves whose shares are resold on the secondary market do not receive income from this. The secondary market is fundamental in a way that without it the existence of the primary market would not be worthwhile.

The secondary market also has its own subtypes:

1. Exchangeview, more common, on it all transactions take place directly on the market. That is, the buyer of shares does not see the seller, and the transaction itself is controlled by the stock exchange, acting as an intermediary.

2. Not exchange-traded, here everything happens directly between the buyer and seller, without the participation of the stock exchange.

What rules to follow when investing in the stock market .

Below are a few simple rules that will make the stock market a safer place for beginners and allow you to feel much more confident there.

1. Buy shares of only those companies in which you are confident and which you would like to own.
2. Try to invest regularly, in small amounts, as this will maximize your income. Even if you have a fairly large amount of money, it is better to split it into several parts and invest over time every month. This (due to volatility) will allow you to get more income.
3. Try to diversify your investment portfolio. In other words, do not invest all your money in one company, but rather choose several and distribute your funds between them (8-10 are recommended). This way, you not only minimize risks, but you can also receive greater income due to stronger, even if temporary, growth of one or more firms.

Important to remember!!!

« If you are not going to own the stock for 10 years, then there is no point in buying for 10 minutes .»

Warren Buffett.

It is worth noting here that based on the price per 1 share of an enterprise, over a period of 10 years, one can judge the effectiveness of the company, the quality of its management, and the need for the enterprise as a whole. If the stock price gradually increases over 10 years or more, this indicates the reliability of the company, its growth and increased profits.

In case of reverse dynamics, if the stock price has been steadily falling over the past 10 years, then
In the best case, this may indicate an imminent buyout of such a company by a more successful competitor, and, otherwise, its imminent bankruptcy if management does not take urgent measures. The dynamics of shares is a direct reflection of the enterprise and its actions as a whole.

When purchasing shares, you should treat it as if you were purchasing a business. The mistake of many investors is that when the market value of shares falls, they try to get rid of them as quickly as possible (psychological factor); this approach is speculative and does not lead to anything good. It should be understood that business owners do not get rid of it when a crisis occurs, even if it is difficult for them. Moreover, a time of economic downturn is a golden opportunity to buy shares at a relatively low cost, since after overcoming a difficult period in the economy, share prices strong companies increase many times over.

The stock exchange is not a place for speculation and making money out of thin air. In rare cases, playing on swings can generate income, but for a very short period of time. Since speculation is the use of the stock market for purposes other than its intended purpose. Therefore, 90-95% of speculators lose to the market in the long term. Investing in a good and well-known company over a long period of time gives phenomenal results.

But many people do not equate the purchase of shares with the acquisition of a business, they try to play on fluctuations, they believe that money on the stock exchange is transferred not by the development of the enterprise and the growth of its income, but by the money of the losers going to the winners (the sweepstakes principle), hence the false stereotype that the stock market is born - this is a casino.

It is worth understanding that the stock market, even for dummies, is a good place to make money. We hope that this material helped you understand how the stock exchange functions.

50. Securities market: concept, structure, types.

RCB- this is that part of the financial markets that consists of economic relations regarding the issue and circulation of the Central Bank, i.e. this is a set of economic institutions, tools and mechanisms used to attract and redistribute finance. resources in society.

Structure of the securities market represent three main components:

– trade item(i.e. securities and their derivatives);

– professional participants; Issuers– an organization that has issued (issued) securities for the development and financing of its activities (enterprises of various forms of ownership, industries and types of activities, authorities at various levels). Investors– persons who have temporarily free funds, seeking their profitable placement and investing them in the Central Bank (legal entity, legal entity, government authorities). Intermediaries are professional participants of the securities market, they are engaged in the placement of securities of issuers in the primary market - underwriting and transactions with securities in the secondary market.

– market regulation system; Infrastructure is a set of economic institutions, instruments and mechanisms that serve the functioning of the securities market. It includes institutions engaged in settlement and clearing activities, storage of securities certificates, maintaining a register of securities owners, etc.

Types of securities. 1.According to the time of circulation of the Central Bank: money market– Central Bank circulation with a maturity of less than 1 year (instruments: treasury bills, certificates of deposit); stock– a set of mechanisms and actions aimed at trading securities (stocks, bonds) 2. Depending on the moment of the appearance of the Central Bank on the market and the main participants: primary– Central Banks appear on the Russian Securities Market for the first time, the market for new issues, participants – issuers and investors; secondary- the market on which previously issued securities are traded and includes all transactions with securities after their issue, participants are investors and intermediaries, but also issuers. 3. By level of organization: organized by RCB– transactions are carried out according to strictly established rules, the participants are only professionals and there is a trade organizer (exchange). unorganized RCB– participants are both professionals and non-professionals, the rules are less stringent. 4. By method of organization: stock exchange- this is part of the organized market, where the organizer of trade is prof. RCB participant - stock exchange; over the counter or street– this is part of the organized and all of the unorganized; electronic trading of the Central Bank– covers the exchange and over-the-counter markets and involves trading through an electronic network. 5. By territorial coverage: regional central bank– issuers, investors, intermediaries of a certain region; National– market of a specific country; world– a system of interconnected and interdependent markets on a global scale. 6. According to the level of development of the securities market: developed– level of development of the stock market; emerging securities market– stock markets are in their infancy.

51. Security: concept, types, investment qualities.

Security is a document certifying, in compliance with the established form and required details, property rights, the exercise or transfer of which is possible only upon presentation. Economic properties of the Central Bank: negotiability or marketability– the ability of the Central Bank to sell, the degree of its convertibility into cash, the ability of the Central Bank to be sold and bought; Central Bank liquidity– the ability of the Central Bank to quickly and without losses and with minimal transaction costs turn into funds; Central Bank yield– the ability of the Central Bank to generate income for its owner (not only in cash, but also benefits and benefits); reliability– the degree of security of investments in the Central Bank, reflects the stability of changes in the Central Bank to changes in market conditions. Types of securities: 1. by issuer:state central banks– the issuer is government authorities at the federal level and constituent entities of the federation; municipal central banks– local government bodies; corporate securities– Yu.L.; private– f.l. (bill of exchange ). 2.for investors: Central Banks intended only for legal entities. – as a rule, they have a high nominal value, exist in non-documentary form, transactions with them are carried out by bank transfer; Securities intended only for individuals. – relatively low nominal value, in documentary form, payments in cash. and non-cash. Forms; Central Banks intended for both legal entities so for f.l. 3. by period of circulation (existence): urgent Central Bank– are issued for a certain period, which is agreed upon at the time of issue (short-term - up to 1 year, medium-term - 1-3 (5) years, long-term - over 3 (5) years); perpetual (irredeemable securities)– do not have a period of existence determined at the time of issue, and exist as long as the issuer (shares) exists. 4. in terms of the volume and quality of rights granted: debt central banks– they are based on creditor relations and are characterized by 3 basic principles: repayment, urgency, payment (bonds, bills); equity central banks– reflect the right to a share in something: in management, in the income received by the issuer, the right to a share in the issuer’s property (shares, investment shares, privatization checks). 5. by form of existence: documentary (form) securities– details are recorded on certain paper media. undocumented (without forms)– Central Banks appeared with computer technology, all details are stored as entries in the register of owners of Central Banks. 6. according to the procedure for securing ownership rights to the Central Bank: personalized– the owner is indicated either on the form of the Central Bank or in the register of owners of the Central Bank. bearer– the owner is not indicated, the rights belong to the one who presents the securities and the transfer of the securities is carried out by handing over the securities. (privatization checks). order Central Banks– the Central Bank rights for which belong to the person named in the Central Bank, who can exercise these rights himself, or transfer by his order to another person (using an endorsement) (bill, check). 7. by nationality: national (domestic)– issuers and investors are residents of the same state; foreign (foreign)- issuers and investors are residents of different states; Europaper– Central Banks whose nominal value is foreign currency, both for issuers and for investors, i.e. These are securities issued by the issuer of one country with a nominal value in the currency of another country and circulating in the territory of 3 countries. 8. on accrual of income according to the Central Bank:profitable Central Bank– give the owner direct financial income in the form of%, dividends, discount. non-income– do not provide a direct financial result, but give investors additional rights and (or) privileges. 9. according to risk level:risk-free central banks- state federal central banks (but in Russia 1998) ; low risk– sub-federal and municipal central banks, corporate central banks, blue chips ; risky central banks– corporate and private securities. 10. according to the form of issue of the Central Bank for circulation:issuing Central Banks- these are papers that must simultaneously be characterized by a trace. features: assign a certain set of rights to the Central Bank; placed in releases (massive); within the framework of one issue, the rights are equal; registration of the Central Bank is required in the form of registration of their prospectus. (In the Russian Federation these are shares, bonds, issuer options) ; non-emission securities– do not meet the above criteria; these include all other papers. Under equal conditions, the market value of emission securities will be higher than non-em. they are more reliable. 11. by type of use:investment- Central banks are an object for long-term capital investment ; non-investment- are used to generate speculative income and to service payments for goods. 12. by the nature of appeal to RCB market securities– can be traded on the market without any restrictions; non-market central banks– have only the first and only investor and are not freely traded on the market; Central Bank with limited circulation capabilities- restrictions can be on investors (legal entity, legal entity, residents, non-residents), on territory, on terms, on freedom of placement. 13. by the nature of the placement of securities on the market:freely placed- when the investor makes the decision to purchase the securities ; forced placement- the investor is forced to purchase securities.

The main goals of investing in securities. Diversification of investments. Balanced portfolio of securities.

Securities are monetary documents that certify the ownership or loan relationship of the owner of the document in relation to the person who issued such document (the issuer). Securities may exist in the form of separate documents or entries in accounts.

Securities are one of the main types of private investment, whose purpose- distribution of savings aimed at increasing, accumulating funds. Any investor, investing money, pursues 4 goals:

1. investment security; 2. return on investment;3. investment growth;4. liquidity of investments.

Investment security – saved Investments, ensuring their independence from fluctuations in financial conditions. markets. The most basic security criterion is the stability of income generation.

Profitability - the ability of investments to generate additional income, which can be current, i.e. regular. or one-time – speculative. The securities of large joint-stock companies are profitable, because they have access to a wide variety of sources of finance, have large reserves, and therefore can direct part of their profits to pay dividends. But, although the income from these A is large, they are, accordingly, expensive. Income is determined as the ratio of income to the costs of acquiring securities.

Investment growth - increase in the exchange rate of the Central Bank. Only holders of A can increase investments in their pure form. There is a whole class of securities, cat. are called "growth central banks". These are, for example, ordinary A young fast-growing companies operating in advanced industries. Those. such A, as others, bring a low (or zero) level of dividends, but their rate is growing quickly. This happens because they, as a rule, reinvest most of their profits.

Liquidity (marketability) of investments- the ability to quickly and without damage for the holder convert the Central Bank into money. A liquid market has three characteristic features:

a) frequent transactions; b) a narrow gap between the seller’s price and the buyer’s price. The seller's price is the lowest price at which the seller is willing to sell this security. Buyer's price is the highest price that a buyer is willing to pay for a given security. The difference between the buyer's and seller's prices is spread . The smaller the spread, the faster the seller and buyer will complete the transaction; c) a slight fluctuation in prices from transaction to transaction. Transactions can be concluded at different times, in different places, but price fluctuations are small.

Investing in securities offers investors the greatest opportunities and the greatest variety. This applies both to the types of transactions carried out during operations with securities, and to the types of securities themselves. Throughout the world, this type of investment is considered the most accessible.

Investing in securities can be individual or collective. Individual investing involves the acquisition of government or corporate securities in an initial offering or in the secondary market, on an exchange or over-the-counter market. Collective investing is characterized by the acquisition of units or shares of investment companies or funds.

Diversification of Investments- distribution of investor capital between various securities. In world practice, it is customary to limit investments in each type of securities to 10 percent of the total portfolio value. There are diversifications of investments: by type of securities, by economic sectors, regions and countries, maturity (for bonds). Diversification of investments is their distribution across various areas and instruments, which can significantly reduce risks and increase profits.

The main goal of diversification is to reduce possible risks associated with loss of funds. That is, in this case, investments are less susceptible to various disruptions in the markets.

What is needed for Diversification?

1. Limit investments in this type of securities to 5-10% of the total portfolio value.

2. It is necessary to include in the portfolio bonds, preferred and ordinary A. This is called diversification by type of securities.

3. It is necessary to include in the portfolio central banks diversified by economic sectors, regions and countries.

4. It is necessary to purchase bonds that are diversified by maturity.

Balanced portfolio of securities- a set of securities in which, according to the investor purchasing them, rationally combines profitability, liquidity, and reliability.

A balanced portfolio includes securities with different maturities, potential returns and levels of investment risk. Such a portfolio is usually a combination of securities with rapidly changing exchange rates with financial instruments that generate moderate, stable income. The investor determines the relationship between them independently, based on his attitude to risk.

Balanced portfolios require a balance of not only income, but also risk. accompanies operations with securities. Balanced portfolios in def. the proportions consist of securities that are rapidly growing in exchange rates, and of highly profitable securities. A briefcase is a set of finances. assets, cat. the investor has. Ch. the purpose of portfolio formation is to strive to obtain the required level of expected return at a lower level of expected risk. This goal is achieved, firstly, through portfolio diversification, i.e. distribution of the investor's average m/y decl. assets, and, secondly, careful selection of financial assets. tools.

A balanced portfolio of securities is such a set of financial instruments that corresponds to the investor’s idea of ​​the optimal combination of investment characteristics of a security (reliability, profitability, investment growth, liquidity). This means that each investor will have his own balanced investment portfolio.

Dear visitors of the HeatherBober website, hello! I am Alexey Morozov, expert and one of the authors. The topic of today's material is trading on the stock exchange.

The laws here are slightly different compared to the Forex market, so you need to be careful.

So let's get started!

1. What is the stock market and how does it work?

The financial market can be divided into three segments: commodity and raw materials market, stock and foreign exchange (Forex).

On the commodity and raw materials and foreign exchange markets, goods/raw materials and currency are sold, respectively, but on the stock market - securities. They can be stocks, bonds, checks, bills, futures and forward contracts, and options.

Below we will describe in detail the main categories of securities listed on the stock exchange, but for now we will get to know the trading participants.

All people related to the stock market can be divided into three groups:

1. Issuers– companies that issue securities (for example, Gazprom is an issuer of shares).
2. Investors– people who buy securities to earn income from them.
3. Traders– those who want to make money on changes in the price of a security, and not on direct income from it.

The difference between traders and investors is easy to explain with an example.

Example

If we buy a Gazprom share in order to receive annual dividends from it, we act as investors. If we bought a share at a price of 130 rubles and sold it an hour later for 135 rubles, taking 5 rubles. profits - we behaved like traders.

It is very important to know the definition of the concept " blue chips" In a casino, a blue chip is the most expensive; on the stock exchange, this expression was used to describe the securities of the largest and most reliable companies.

Blue chip stocks are guaranteed to pay dividends. In addition, they are very liquid, so they allow you to make good money on speculation. By changing the price of blue chips one can judge the general state of the market.

2. What can you buy on the stock market - review of the TOP 4 trading instruments

Let's briefly describe the four main instruments that can be successfully traded on the stock exchange.

Tool 1. Stock

A share is a security, by purchasing which we contribute capital (equal to the cost of the share) to the total capital of the company and receive the right to a part of its income. For example, when we buy half of all shares, we will take 50% of the company's income.

The portion of the firm's earnings that the owner of the stock keeps for himself is called dividend. Typically, dividends are paid annually.

Sometimes the Board of Directors may decide not to share profits with shareholders: they will be reinvested to generate even more income in the future.

Tool 2. Bonds

A bond is an obligation under which one party (the issuer) undertakes to issue a certain amount of money to the bearer of the bond on a specified date.

The issuer of these securities can be individual companies or the state. In the first case, the issued securities will be called corporate, in the second – state. The former are taxed, the latter are not.

Bonds are not subject to such sharp price fluctuations as stocks, so it is advisable to start trading with them.

Tool 3. Options

The principle of an option is as follows: we make an assumption about how the price of a financial instrument (it can be anything) will change after a certain time, for example, every other day.

We then buy the option, paying a certain amount for it, say ten dollars. The price paid is called option premium. When a day (or other period) passes, the results are analyzed.

If the assumption turns out to be correct, we get back the invested amount and also profit. If not, we are simply left without the money previously paid for the option.

Tool 4. Futures

A futures is an obligation by one party to provide another with a specified quantity of a specified quantity at an agreed price in the future.

Example

Let's say Rosneft wants to buy ten barrels of oil from Gazprom in a year. For this purpose, a futures contract is drawn up: in a year, Gazprom will supply ten barrels to Rosneft at the price that was fixed at the time the parties signed the contract.

As the price of oil changes, futures can be traded freely on the exchange.

On a note

If on Forex you can trade both when the market is rising and when it is falling, then on the stock exchange you can make money only when the price of a financial instrument rises.

So, we have listed the main objects of trading, let’s move on to three ways to make money on the securities exchange.

3. How you can make money on the stock market - 3 proven ways

There are a lot of management strategies (there is a separate article about this on the site), but there are only three directions for earning money. Let's analyze them.

Method 1. Sale of shares and bonds

This line of earnings is only suitable owners companies operating securities, or joint stock companies issuing shares.

Of course, the stock market was originally created precisely to obtain capital through the sale of securities. If you have created a joint stock company and issued shares, placing them on the stock exchange will allow you to quickly find investors.

Apart from making money, you can use the stock market as a means minimization risks. Concluding option or forward contracts makes it possible not to miss out on profits in the future and to “secure” good financial opportunities for yourself.

Method 2. Investing in securities

In the article “” we said that you can make money on the foreign exchange market only through speculation, trading on changes in exchange rates.

The securities market provides an opportunity to turn trading instruments into sources of constant profit and ensure a quiet life with a stable income.

If, for example, we buy stocks not for speculation, but for dividends, then collecting a large portfolio of securities of different companies will constantly give us good money.

Many investors recommend combining investing with trading. In particular, you can buy a number of shares that are projected to rise, and when the price rises, sell most of the securities and get back the money invested.

We use the remaining shares only as a source of passive income. Fluctuations in their exchange rate no longer worry us much, since we received the invested funds back.

Method 3. Speculation in securities

Speculation in securities is the main and probably the most profitable way to make money on the stock market, attracting more and more people every day who want to learn trading.

Unlike investors, speculators are not interested in dividends and the long-term prospects of a particular security. Their key goal is to buy low and sell high, taking a profit.

We wrote about how long a trader can keep transactions open in the article “”. Most of the market players are short-term or medium-term traders, but they also cannot do without supporters of long-term trading.

Analytical methods in the stock market are similar to those we described in "". The only difference is that the fundamental factors influencing the dynamics of the state currency usually do not affect stock prices.

4. Trading on the stock market - 5 main steps

Below we list the sequence of stages that you need to go through to successfully trade in the stock market. If you have read previous articles about Forex, you will probably notice that there is a lot in common.

Stage 1. Choosing a broker

When choosing a broker - an intermediary in trade - we must rely on a number of important points. The most important thing is transparency and ease of withdrawal of money, trading conditions, availability of training and analytics.

It is advisable that training take place in the format of webinars. This makes it possible to ask questions to the teacher and significantly improves the quality of knowledge.

The more analytical materials provided by the broker - so much the better. If a company analyzes the market using different approaches (both graphical and wave analysis, for example), that’s just great.

Stage 2. Installing the terminal on a trader's computer

Since we don’t plan to go to the stock exchange, we need to install a special program - trading terminal. Installation is carried out after choosing a broker, since the terminal must be downloaded from the website of the selected company.

Once the terminal is installed, it is very important to configure it correctly. The settings mainly affect the display of charts and indicators, the list of instruments and other elements.

Stage 3. Opening a demo account

You should always start trading with demo accounts, not with real ones. Even if you have experience in Forex speculation, you should not invest real money in the stock market on the first day.

A demo account helps beginners feel at ease, try out strategies, and test their psychological readiness for trading operations.

Stage 4. Opening a real account

You can switch to trading with real money only after a constant profit on a demo account. If training trading was unprofitable, adding real funds will not change the situation.

Experienced traders advise first doubling your starting deposit on a demo, and then starting real trading.

Successful speculation for two or three days does not guarantee profitability in the future: the market loves to present surprises. If you doubled your initial capital without trading at increased risks, this is evidence of your sufficient “maturity”.

Stage 5. Buying and selling shares in accordance with the chosen strategy

When training on the demo account is completed and real funds are deposited, all that remains is to make a profit using the chosen strategy. Risking real money is not at all the same as the fear of losing the “candy wrappers” of the training regime, so be prepared for stress.

Very soon you will understand how important discipline is in the stock market game. In fact, it is the trader’s discipline, and not the smart ability to understand the markets or “luck,” that lies the main secret of success.

5. Rating of Russian stock market brokers - overview of the TOP 5 companies

There are many companies that offer themselves as intermediaries on the stock market. It is very important to be able to choose a reliable partner who will not deceive you and will support you with good training and reasonable analytics.

We have prepared a list of the most popular brokerage firms that allow tens of thousands of people to successfully trade securities.

We became acquainted with the Alpari company in detail while studying Forex. In addition to currencies, Alpari allows you to trade several futures contracts. Soon there will most likely be more instruments from the stock market.

There is probably no better training program anywhere else than in: a huge number of free webinars are held every day, and even people who are not registered with the company can view them.

The company is considered the best broker on the Russian stock market. Here you can trade stocks, futures, bonds, options and even currencies. After registration, it is most convenient to open an account at the “ Start».

In the first thirty days from the moment of opening, the broker's commission will be 0.0177% of the invested funds. After this period, the amount of commission will depend on the turnover.

Dependence of commission in BCS on trading volume:

№	Turnover (in rubles)	Commission, %
1	Up to 1,000,000	0,0354
2	From 1,000,000 to 5,000,000	0,0295
3	From 5,000,000 to 15,000,000	0,0236
4	Over 15,000,000	0, 0177

Excellent analytics and high-quality training in the format of webinars and seminars are available. If desired, you can order an individual lesson program.

3) Opening-Broker

The broker in question has three main tariffs: for independent trading, for opening transactions using professional analytics, and for investments on individual terms.

Each type of tariff is divided into many varieties, so choosing the most suitable option for yourself is not at all difficult.

In our opinion, the best solution for beginners is trading using analytical signals. The commission is 0.24% of turnover - not very much. You can open trades by simply calling the broker and transmitting an order by voice.

Finam is more suitable for professional traders. There are excellent training programs, but trading conditions are not entirely suitable for beginners. In particular, the minimum deposit is 30,000 rubles, the leverage is only 1:50.

What does Finam offer as an alternative to unpromising conditions? Reliability. The Broker has a license from the Central Bank of the Russian Federation, which ensures the highest level of quality of services provided.

Even the broker Alpari, which is one of the leading companies in the CIS, does not have such a license.

Zerich, like Finam, is proud of its Central Bank license. Beginners can get free training in the basics of technical analysis here - the free course consists of 11 lessons. In addition, constantly updated analytics are available.

Experienced traders conduct daily both paid and free webinars, where you can learn everything you need about trading strategies and the state of the markets. The broker has representative offices in all major cities, so you can study “offline”.

The video below describes the trading conditions and advantages of Zerich.

6. How NOT to trade in the stock market - 5 main mistakes of a novice trader

Above we have defined the correct sequence of steps that must be followed for successful trading. Now let’s highlight the five main mistakes of novice traders and analyze them.

Error 1. Staying in a losing position for a long time

“Everything repeats itself in the market,” says the newcomer and does not close the deal, although the price goes against him. In fact, yes, everything repeats itself. The only question is how much time will pass before the next “repeat”.

Let's assume we opened a bullish trade when the price was at 1.4165. The market went against us, we did not close, hoping that everything would “repeat itself.”

Has there been a repeat? Yes. In 12 years. Was it wise to wait?

Error 2. Early profit taking

Most likely, in the first days of trading you will close transactions when a minimum profit appears. “What if the price drops and I lose money?!” - your rational consciousness will not stop whispering to you.

Over time, you will understand that closing a trade ahead of schedule with a small profit is no better than being hit by Stop Loss with a loss. If we do not allow profits to grow, then losing trades (which cannot be avoided) will eat up the entire deposit.

Your strategy should clearly signal when to take profits. Don't act on your “gut feeling,” no matter how the market behaves.

Example

When we traded in an equidistant channel, we closed trades when the price reached the upper border of the channel. Otherwise, even if the market went against us, we did nothing, Stop Loss and Take Profit did not move.

Illustration of our trading system:

If we had closed on the apparent price turn, the profit would have been only a few cents. Trading discipline allowed us to work out the strategy and receive the planned income.

When an opportunity presented itself, we closed part of the position, set a breakeven and let the price float freely, then taking good profits.

Would you like to learn more about our strategy from the perspective of professionals? Then go to the broker’s website, select the “Training” section and look for the “Trading Strategy” course in the list. Basic principle."

It is taught by a professional trader - Marat Gazizov. The technique is incredibly popular and really works. By the way, on his official VK page, Marat provides daily market reviews for effective trading. It wouldn't hurt to take a look.

Error 3. Lack of a register of transactions and a trader's diary

All trades must be analyzed in a diary in order to learn from your mistakes. For each transaction, it is necessary to write whether it was opened and closed according to the strategy, whether a profit was made or a loss, and what lesson can be learned.

STOCKS AND BODS MARKET
08.09.2008
Topic 1: The concept of the securities market and its types.
Plan:
1. the essence of the securities market and its types.
2. functions of the securities market.
3. the place of the securities market in the financial world.

1!!! In general terms, the securities market can be defined as a set of economic relations regarding the issue and circulation of securities between its participants.
The securities market is a market that mediates credit relations, as well as financial relations through securities. The basis of the securities market is the commodity market, money and money capital. The emergence and development of the securities market is associated with the growing need to attract financial resources, due to the expansion of production and trading activities. The emergence of a security as an instrument for attracting financial resources allows the investor, to a certain extent, to solve the problem of risk associated with economic activity by purchasing such a number of securities that corresponds to the stability of his financial position. The presence of a securities market makes it possible to expand the financing of scientific and technical progress of society.
The classification of types of securities markets has many similarities with the classifications of the types of securities themselves:
1) international national
2) national and territorial
3) markets for specific types of securities
4) markets for government and corporate (non-government) securities
5) markets for primary (main) and derivative securities
According to the organizational structure, there are primary and secondary. The primary securities market is the market in which the initial placement of securities takes place. Any security is sold for the first time only on the primary market. As a result of the sale of securities on the primary market, the person who issued them receives the financial resources he needs, and the securities go to the original holders. The first and subsequent resales of securities occur on the secondary market. In the secondary market, the accumulation of new financial assets of dividends no longer occurs, but only the redistribution of resources among subsequent investors (depositors) is observed. The secondary market is a resale mechanism.
The structure of the secondary market includes exchange and over-the-counter securities markets. The stock market is represented by the circulation of securities on stock exchanges. Historically, the over-the-counter market emerged at the beginning. The subsequent growth of operations with securities required the organization of more orderly trading. As a result, stock and electronic exchanges emerged. A stock exchange can be defined as an organized securities market. Electronic exchanges are a computer network to which the terminals of companies that are members of the exchange are connected. According to two market segments, spot and futures exchanges can be distinguished. Spot (cash) securities markets are a market for cash transactions. In the spot market, simultaneous payment and delivery of securities occurs, but the maximum transaction period should not exceed two days. In addition to the cash securities market, there is also a derivatives market - this is a market on which forward transactions are concluded, which are an agreement between counterparties on the future delivery of the subject of the contract on the terms that are negotiated at the time of concluding such a transaction (from 2 days to 3 months). According to the internal organization of the exchange there are:
- commodity exchanges
- currency exchanges
- stock exchanges
Based on the nature of the issuers, the stock market can be divided into the market for government and non-government securities. The movement of funds between all of the listed capital investment markets depends on the following factors:
1) level of market profitability
2) market tax conditions
3) the level of risk of loss of capital or loss of expected income
4) organization of the market and convenience for the investor, the ability to quickly enter and exit the market.
5) Level of market awareness

2!!! Functions of the securities market.
Wound of valuable...