How much can you earn on stocks?
Every person who decides to become a trader chooses a tool through which he will make a profit.
Some people like currencies, others prefer futures , and others prefer stocks; in this article we will talk about the latter option.
Most beginners are interested in the question - How much can you earn on stocks and what are the features of this type of trading compared to other exchange assets.
There are two options for trading shares - with a change in the name of the owner in the register of shareholders and without such a change.
1. Real purchase of shares - carried out through special brokers, after which you become the full owner of the securities.
The purchase takes place offline with the signing of the contract. As a result of such an operation, you receive dividends, if any are paid by the company; their size usually ranges from 2 to 15 percent, depending on the share.
Profit can also be obtained if the value of the purchased shares increases, but in this case, in order to make a profit, you will have to sell your securities.
It is quite difficult to guess how much your investments will grow; during a crisis, negative growth may also be observed. The disadvantage of such trading is the speed with which transactions can be concluded, and the high commission of intermediaries organizing the purchase and sale.
2. Trading through a trader's terminal - selling and buying shares using special software is as simple as possible, although we are not talking about any dividends here.
You do not actually become the owner of a block of shares, but enter into speculative transactions. True, in return you get a lot of advantages:
• You can sell and buy shares almost instantly.
• You are provided with leverage up to 1:100
• The trader's terminal allows you to conduct high-quality technical analysis of the market state.
• Minimum commission for transactions.
As for earnings, it is much higher than with the real purchase of securities, but the risks are correspondingly higher.
On average, stock traders make up to 50% per annum, and this does not happen without record holders or outsiders, the latter lose all their money due to high leverage. In general, stock trading is no less profitable than other types of trading, although you won’t be able to earn more than profit using scalping , because usually the leverage provided by stock brokers is no more than 1:50 - 1:100.