I will like to buy shares.I have about ВЈ200 to 'play with'. Who do I approach. I dont know where to start.

I hear that you can buy and sell shares and in that process make small amount of profit. The money will be useful but more important I think it will be fun. I asked my bank (LloydsTSB) about buying some shares through them but they said they did not buy and sell 'free standing' shares but as part of other business such as ISA. I don't want something so fprmal. Years ago I heard about 'share shops'. I didn't know what they were then but I assumed it was a shop you could just walk into and buy (or sell) shares with guidance from the 'shop assistants' at a price. Is there such a thing today and if so how can I find out where these 'shops' are.

right......... the first thing you need to do is learn what you are getting yourself into, for that, you need to take a look at this article on the UK version of The Motley Fool (the world's leading financial education website):
HOW TO PROFIT FROM SHARES
http://www.fool.co.uk/school/2006/sch060130.htm
(essential reading if you don't want to get a financial kick in the teeth, diving into trading shares without much knowledge on what you're doing)

The next thing you need to learn to do, is practise using the fantasy trading game at http://www.bullbearings.co.uk until you're certain you know what you're doing (otherwise you are extremely likely to loose money).

Next up, apply for a SHAREBUILDER account at the Halifax, which allows you to buy & sell shares for very little money (ВЈ1.50 commission to buy, ВЈ5 to sell) and is also extremely beginner friendly, especially when you've got such a small amount as you do to play with.
http://www.halifax.co.uk/sharedealing/sharebuilder.asp

While your application is being processed, use the information available @ http://quote.fool.co.uk to research some companies to invest in shares of (Halifax's own shares "HBOS" are a pretty safe ones to get the ball rolling, and perhaps Severn-Trent Water "SVT").

Just remember the more times you buy & sell, the more times you have to pay a commission fee......... and the more of them you pay, the more it eats into any profit you make on the shares. For the same reasons, is usually best to lump your all your money on shares in one company each time you buy (so you only pay 1 commission fee, and not 2 - 4 seperate ones if you buy shares in 2, 3 or 4 different companies).

If you sign up with Halifax's Sharebuilder scheme you can trade for ВЈ1.50 a time (plus tax) but you can only select the date of the trade not the value at which you buy the shares - go for FTSE 100 companies generally household names and your risk is minimised - you wont make spectacular gains but you are unlikely to make a loss and if you chose a company that is underperforming currently and then improves its profits/ is subject to private equity bid you can sell again, eg if you had invested in M&S two or three years ago you would be looking at a tidy profit on your investment

I hate to tell you this but the dealing charges on ВЈ200 will not make it wortth while
I would be surprised if you could find any company who would do it for less than ВЈ12 a time.
You might be better to invest in a shares only ISA.

Why not have a look at the Motley Fool or Moneysavingextra web sites you will get useful advice there and a lot easier to follow than Essexboyz :)

Perhaps you should consider investing in Premium Bonds instead

if you have the money but don't know where to invest, please invest in education first. you can do the courses or buy and read the books.

Before you go and try to make a nice little profit on the stocks and share market, your best bet would be to study form and get to learn how the market works, papers like the financial times or BBC 2 ceefax, Don't forget dealing on the stock market is the same as betting on the horse's, you can loose money too, and if you don't know the market, as they say a fool and his money are soon parted !!

As you don't know much about shares, you may have more luck putting ВЈ200 on the 3.45 at Haydock.

Dealing charges are pretty much the same whether you invest ВЈ200 or ВЈ2000 - it would cost you about ВЈ15 to ВЈ20 to buy ВЈ200s worth of shares, so straight away you have lost 10% of your investment, and you lose another ВЈ20 when you sell them. Unless you have at least ВЈ500, it's not worth it. And, remember investing is a medium to long-term game. Are you prepared to tie your money up for 4-5 years minium ?

Consult a brokerage firm.

This depends on the investment if you invest in normal stock with no risk and liability therefore your returns will be low you will need to go with a more riskier investment.

As a individual investment are based on your analysis do you follow the efficent market hypothesis or techical anaylsis

Efficent market hyphothesis evaluates that all people within a company have information that is available to public in order to make above average returns or a good investment one must be very lucky or be right when the whole market is wrong. Therefore investing in shares in order to make above average returns would not be good if you do not know about a company valuation . The real sharholders make the big financial gains therefore in order to make a good investment you will need to invest in a emerging company regonised brands all investor will invest as it reaches a point where you will get normal returns this is the case at the present time with google etc if you have a huge holding MAMA MIA you will get some nice meatballs. The abnormal profits have been reached in the last 20 years by major investors in risky investment the dotcom bubble burst is a prime example companies like google, ebay and amazon had made enourmous wealth but some internet comapnies on flotation made losses this is not a easy option.

However if you look at trend anaylsis it dictates that a company past performance shows us if it will be a good investment in the long term. If a company has performed very well it this will be advisable to invest in however your retuns may be so small that it will not be worht it in the end.

Please note when you invest in shares you will need to pay transaction costs also more money to broker regardless of if you make any good returns. Also your portfolio should be varied so that not all your egss are in one basket stock go up and can definatly go down

In conslusion nothing is garantee as a good investment as it all depends on market conditions if the past and present valuation of the company if it is good then invest if you have resources and can take a loss if things go bad. Please note all investment depends on your risk the investment may look good at present but to get a very good return it will be a long term commitment the same with any other investment like houses, education etc you will need to give a investment on a long term commitment. In terms of getting a higher then average return on any investment this depends on the time along side other factors no investment can be great as every transaction will have a oppurtunity cost overall check the company valuation its growth and also in order to get back a good investment what you will as a investor need to put upfront only then can you make a fair consideration if stock market is your cup of tea.

Also look at other investment as a oppurtunity such as bond they give you a percentage each year of your investment and it is fixed. Then the full value of what you brough the bonds are paid at the end. The issuing of bond is risk free as the goverment cannot become bankrupt and therfore it reduces liability.

The stock market is a good investment if you have had expereince before or have tried investing as a practical starter it is not like the movie trading places. However talk to a broker and read up information on the subject. Also note that you can loose a lot of financial assets if you gamble on stock and cannot take the risk a prime example is the wall street crash 1929 this is when stock market was worse time to invest.

In conclusion stocks depend on real world activities the market and what is happening around the world how it affects a company and all other tangancies . You will need to consider all these things and if you have good knowledge it may be good investment but it all depends what your commitments are and your overall insight of how stocks work what they are dependent on and what risk you are willing to take. Before making a decision make a informed and knowlegeable grasp of the stock market if you cannot take the risk or do not have the time then DO NOT go ahead. IF oth the other hand you are able to grasp the risk , time and other factors and are on top of your game then DO go for it the choice is yours.

Buy some good investing books from Amazon, try 'the naked trader'. thats a good and easy introduction to shares.

I love the British and the colonies--Here in the states what are you trying to buy ---SHARES. What ia a share??? Now if you are trying to invest your money and buy common stock on the market. First you need more money. If this next months rent -- keep it in your pocket. . One share of Microsoft is $30 USA. Goldman Saks $225 a share Don't you have a computer with on-line brokers advertising. I have Ameritrade and T.Rowe Price. Please if you would like advise you must cut the British jargin and write so we here in the states can help. Think like an American--military have been over their for a long time. WWII lymrick. About the Americans as the British would say ""Over paid"" ""Over sexed""" and """Over here""".

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