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Only invest money you won’t need for at least 3–5 years. The market can be volatile in the short term. 3. Research Your First Stock
If you sell a stock for more than you paid, you’ll owe Capital Gains Tax . Holding a stock for more than a year usually results in a lower tax rate. 6. Golden Rules for Beginners Diversify: Don't put all your eggs in one basket.
A "basket" of many stocks (like the S&P 500) that lets you own a tiny piece of hundreds of companies at once. This is generally safer for beginners. 4. How to Buy (The Order)
You set a specific price you’re willing to pay. The trade only happens if the stock hits that price.
Many brokers let you buy $5 or $10 worth of a stock even if one full share costs $400. 5. How to Sell
