Buying, selling and trading stocks is a reasonably easy way to build your personal financial portfolio. With all of the online options available to investors, you can do most of the research and trading on your own. An example of an attractive company in which to invest is Netflix. Unemployment and loss of income have led to a growth spurt for Netflix, as people cancel their cable for the less expensive entertainment option of home DVD delivery. Due to its continued and sustained profit increases, many analysts predict a net income of nearly $1.50 per share of Netflix stock. Once you decide on a company in which you would like to make an investment, such as Netflix, you can purchase the shares by following a few simple steps.
Open a brokerage account. Decide whether you want a personal broker to handle your purchase (e.g. Edward Jones), or if you want a self-service account (e.g. etrade.com). Some brokerage firms, such as Charles Schwab and Merrill Lynch, offer both personal and online trading options. To open an account, you will need your name, address, Social Security or Tax ID Number, date of birth and employer's name and address. To purchase Netflix stock immediately, you will need a bank account number.
Video of the Day
Decide on the number of Netflix shares you want to purchase, based on the current price of the stock and the amount of money you have to invest. You can discuss the current stock price with your broker or use the research tools available on your brokerage account holder's website. Note that Netflix trades on the NASDAQ (National Association of Securities Dealers Automated Quotations) exchange under the ticker symbol NFLX.
Specify limits on your brokerage account for the Netflix stock. This is known as a "buy limit," and ensures that you do not pay too much for the stock. For example, if you research and plan to purchase the Netflix stock at $40 per share, the stock could begin to move fast, resulting in a price of $50 per share. If you set a buy limit at $42, then no stock purchases will take place at higher than that price.
Confirm that the purchase information you provided to your broker or online is accurate. Make certain the ticker symbol is accurate, and that you did not inadvertently add an extra zero to the number of shares you want to purchase.
Place your order once you have confirmed all of the information is accurate.