Can someone clarify basic things for me please?

[Nooobie]

Hey,

I've recently got few thousand pounds of disposable income from a lucky win in a scratch card and I really don't have any usage for that money since I'm just a maths student getting by, so I thought to allocate some of that to stock trading.

I'm currently just in my research stage and plan to begin actual trading in the summer when my exams are all over, so here are a few questions which are probably very simple if you're into the stock market, but I simply couldn't find any answers.

I'm based in the United Kingdom, and I believe there are several different stock exchange platforms, does this mean I should for example stick to London stock exchange? How do they differ? Any other UK based ones? Anything stopping me from trading in any other stock exchange say New York Stock Exchange? One better than the other?

How do I find out what and when companies pay dividends? I've downloaded an app on my phone called 'Trading 2012' where you can buy various shares and sell them as a practice account, just to get a feel, however, I cannot find anything regarding dividends what so ever.
I believe companies pay out dividends to their share holders every year, summing up the 4 quarters, does each company pay at a different date? How long do you need to own the share for to get the dividend? Can you only buy it for a few days prior to the dividend pay out and receive full dividends(clearly price of share would have to raise on these dates)? How do I find out how much dividends companies pay, can't seem to find that anywhere on my app?
How are they calculated? I believe it's called the dividend yield, however, That's something calculated after the company decides the amount they're paying not otherwise? Say Company X says for each share you'll receive £1 each quarter, and then we work out the yield? When do they establish how much dividends they're going to pay?

What do you use to trade? Preferably people from the UK or ones using some international platforms, any websites, apps, forums, blogs you'd recommend?

So many questions, I hope somebody takes their time to read and potentially give me a better insight into this, I've only contemplated this idea for a day so apologies in advance if some of my questions are too trivial
If you have any useful material that could benefit me that'd be great!
Thank you!!

 

[barjon]

A browse through this site will clear a lot of the fog http://www.digitallook.com/uk_shares

 

[Nooobie]

A browse through this site will clear a lot of the fog http://www.digitallook.com/uk_shares

Thanks mate, that looks really good, if I could grasp my head around it all it'd be even better! :cheesy:

How long have you been stock trading for?

 

[Splitlink]

If I were you I would look at share investments, as against trading. Investing has, always, been a more satisfactory way of using the stock market, for me.

I have been a trader for many years but treat it more as a hobby than a living. The money I make from this keeps me interested, but I would not like to bring up a family on it!

The book on investment that I found very useful was Jim Slater's "The Zulu Principle" Very easy to read. What you should be careful of, though, is the fact that times have changed since 1992, when I bought it. The world is changing so fast these days! But I, still, use his PEG system.

Good Luck.

 

[f2calv]

If you have any useful material that could benefit me that'd be great!
Thank you!!

It sounds like you are at the beginning of a multi-adventure in investing/trading, you're asking a lot of the right questions so I would humbly suggest at this stage you invest a couple of quid in a book called "The Naked Trader" - which will fill a lot of the blanks for you and leave you better placed to invest (or trade) your scratch card win...

 

[mike.]

It sounds like you are at the beginning of a multi-adventure in investing/trading, you're asking a lot of the right questions so I would humbly suggest at this stage you invest a couple of quid in a book called "The Naked Trader" - which will fill a lot of the blanks for you and leave you better placed to invest (or trade) your scratch card win...

I have three fantastic books for sale, two by the naked trader as calv mentions....

Pm me if any good to you.

 

[Lúidín]

Hey,

I've recently got few thousand pounds of disposable income from a lucky win in a scratch card and I really don't have any usage for that money since I'm just a maths student getting by, so I thought to allocate some of that to stock trading.

I'm currently just in my research stage and plan to begin actual trading in the summer when my exams are all over, so here are a few questions which are probably very simple if you're into the stock market, but I simply couldn't find any answers.

I'm based in the United Kingdom, and I believe there are several different stock exchange platforms, does this mean I should for example stick to London stock exchange? How do they differ? Any other UK based ones? Anything stopping me from trading in any other stock exchange say New York Stock Exchange? One better than the other?

How do I find out what and when companies pay dividends? I've downloaded an app on my phone called 'Trading 2012' where you can buy various shares and sell them as a practice account, just to get a feel, however, I cannot find anything regarding dividends what so ever.
I believe companies pay out dividends to their share holders every year, summing up the 4 quarters, does each company pay at a different date? How long do you need to own the share for to get the dividend? Can you only buy it for a few days prior to the dividend pay out and receive full dividends(clearly price of share would have to raise on these dates)? How do I find out how much dividends companies pay, can't seem to find that anywhere on my app?
How are they calculated? I believe it's called the dividend yield, however, That's something calculated after the company decides the amount they're paying not otherwise? Say Company X says for each share you'll receive £1 each quarter, and then we work out the yield? When do they establish how much dividends they're going to pay?

What do you use to trade? Preferably people from the UK or ones using some international platforms, any websites, apps, forums, blogs you'd recommend?

So many questions, I hope somebody takes their time to read and potentially give me a better insight into this, I've only contemplated this idea for a day so apologies in advance if some of my questions are too trivial
If you have any useful material that could benefit me that'd be great!
Thank you!!

Let's assume you have 2,000 pounds to spare.

1. Do not pay anybody for anything..keep the money for learning how to invest/trade..as you will need every penny of it.

2. You must decide if you want to invest (hold for a good while)..or trade (hold for a short while).

3. You must find a GOOD cheap broker (not easy) that will give you access to all the financial markets..as you should only risk your money on the ones that will give you the best odds of making some money.

Are you clear so far..or do you have any problems with any of the points 1-3 above?

 

[peakoil]

Even better than finding a 'good broker' is to seek out one of the '1 in 5' who is consistently pulling a positive return, local to you, and then ask politely if you can sit in and watch what they do, and learn from them. I don't mean on this forum, but in your personal life - ask around. It's the very best thing you can do, because if you can find one who is willing to let you sit in and watch - for as many sessions as possible, there really is no better person (or way to learn), than to learn from someone who has the years of experience behind them, is finally doing well and is willing to let you sit in, while the action is happening.

BTW, you will find that anyone who is doing well on this forum, is invariably not exactly broadcasting that fact. So look to friends and family for an appropriate lead. Good luck!