Given the growth in superannuation, along with some high profile privatisations, more Australians are now shareholders than in previous generations.
Shares are traded on the Australian Stock Exchange (ASX) - a market place where public companies are listed and their shares open for trade. When you buy a share, you purchase an ownership stake in a public company. You receive part of the company's profits through payments known as dividends. If the share price rises, you may also see a capital gain.
|How to buy shares|
Generally, only a licensed broker can buy and sell shares on the Australian Securities Exchange (ASIC). However, your access to direct share investment is now much more flexible than it once was.
Full service brokers place your orders and can also offer advice on buying and selling shares and other securities.
Non-advisory brokers place orders for you, but they will not provide any advice on the decisions you make.
Online trading is available through organisations such as E*TRADE, enabling you to buy and sell shares online. Although they have research you can read, they don’t usually offer the services of a personal adviser.
For more information to help decide what level of service suits you, you may like to check out the investing section at www.moneysmart.gov.au.
|Choosing your own shares|
If you’re planning to trade in shares yourself, no matter what the size or reputation of the company, you should do your research and check five key areas:
ANZ Financial Planners are representatives of Australia and New Zealand Banking Group Limited, ABN 11 005 357 522, the holder of an Australian Financial Services licence.
The ANZ E*TRADE online investing service is provided by ETRADE Australia Securities Ltd (trading as “E*TRADE Australia”) (ACN 078 174 973, AFSL No. 238277), a participant of the ASX Group. E*TRADE Australia and ANZ are separate legal entities. ANZ does not have any liability to you in respect of the ANZ E*TRADE online investing service; any information, product or service offered by any third party on or through the ANZ E*TRADE online investing website; or any other services provided by E*TRADE Australia. Similarly,
E*TRADE Australia does not have any liability to you in respect of services provided by ANZ.
You should consider your own investment objectives, financial situation and particular needs before acting upon any information provided on this website. E*TRADE Australia does not provide investment advice to its clients.
The information provided is general information only and does not take into account your personal needs and financial circumstances and you should consider whether it is appropriate for you. Before making any decision to acquire, hold or sell any financial product, ANZ strongly recommends that you seek financial planning and/or tax advice and read ANZ’s Financial Services Guide (PDF 104kB), the relevant Product Disclosure Statement and/or Terms and Conditions. Terms and conditions are available on application. Fees and charges apply.
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