It is very unfortunate that less than 10% of people in Indonesia are active stock traders, especially considering that many benefits to be reaped can be acquired from this activity. A lot of people are unfamiliar with the practice of buying a stock. Most people are interested in stock trading, however they do not know where to start. Below are the steps to get you started:
1. Decide whether to choose meeting a broker, or utilize an online brokerage to trade stocks. Always consider these factors: The amount of money you have, how often you are planning to trade, and how much support you want from the broker. Some examples of stock brokering firms in Indonesia are; Mandiri Sekuritas, Sucor Sekuritas, Kresna Sekuritas. While the top online brokering firms include; Phillip Securities Indonesia, Samuel Sekuritas Indonesia, and BNI Sekuritas.
2. Open your account. Some Indonesian online brokering firms are offering a relatively low minimum balance at five million Rupiah. To be sure of the minimum balance requirement, you can contact the security you choose. Here are a couple of things essential to open an account:
a. ID card b. Residence data c. Occupation data d. Will e. Saving Book
3. Choose your stock. Always remember to analyze the stocks you are about to choose; growth, development, financial health and record of the companies are the criteria that you must consider (also known as fundamental analysis). Aside from that, you must also consider the timing of stock purchase. Decide whether you want to buy the stocks now, or to wait a couple of days (recognized as technical analysis).
4. Buy your stock. Before purchasing your desired stock, it is important to make sure that you have done thorough research and analysis, in order that you can minimize any risk of unprofitability. Should you choose to purchase your stock by meeting a broker in person, you can ask him to buy the stock or simply call him/her. Otherwise, you can simply access your online brokerage account and make the purchases of your chosen stock.
5. Sell your stock. First, it would be helpful to set up a minimum price you are willing to sell. This way, you can be sure to sell your stocks above a certain price. When you are ready to sell your stocks, inform your financial advisor (assuming you bought stocks by his/her help). Typically, the financial advisor will accomplish the sell within 24 hours.
Sources: NerdWallet The Balance Detik Finance Onlenpedia