My take at the Philippine Stock Market

Posted on February 24, 2009
Filed Under Stock Market Talk | 1 Comment

It was just recently that I get so interested with stock market trading. Don’t blame me for this. Our culture and tradition (financially speaking) have been teaching us to save through banks and only a few has been encouraging us to invest in stocks, the most active form of investment, I believe.

In stock trading, an investor (even with a capital investment of P5,000) can buy stocks posted at the Philippine Stock Exchange (www.pse.com.ph) and start the exciting game (yes, I consider it a game) of stock trading.    

(I am not an expert on Stock Market but let me share to you what I know though my knowledge is very little, hehehe)

For example, a company is selling stocks at .50 per share. We can buy 1,000 shares for P500 and watch for the movement of the stocks. Let’s say you give your stock one week and watch it move within the week. On Tuesday, your stock remained at .50 per share that means no gain for you. On Thursday, your stock suddenly rose to .80 per share so there’s a gain of .30 or P150. You can then decide to sell 500 of your shares at .80 or a total of P400.

Remember that you bought your stocks at .50 per share and you sold 500 shares for .80. That means you earn P250 for the trading the stocks. (Please remember that this is just base on my little knowledge about stock trading. If you are an expert stock trader, please let me know if this assumption of mine is correct, otherwise, please let me know how it is done. )

Please expect more posts about the Philippine Stock Market here.

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