This tag is to be used for any questions related to Stocks. Ideally they should be accompanied by a country tag if relevant. It is discouraged to ask question about a specific stock. However an example can be used to illustrate a point.

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1answer
55 views

When I ask a broker to buy stock, what does the broker do?

I have been wondering while learning about finance, how do stock exchange work? I mean when you ask your broker to buy stock at this company, what does the broker do to buy it? What steps does the ...
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5answers
194 views

When a stock price goes down, does the money just disappears into thin air?

For a stock with market cap in hundreds of billions, when the price goes down, it's market cap could drop in billions in seconds. When this happens, does the money just disappears into the thin air? I ...
4
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1answer
53 views

How will a limit order be executed when the stock market opens if there is a large change from the price of the day before?

Maybe a dumb question, but I'm just learning. So news and after/pre market trading all help to determine what the price will be for a stock when it opens, but does this affect all orders the same? ...
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1answer
51 views

Can a stable value fund contain equities?

Can a stable value fund legally contain equities? I understand that the insurance premiums would be very high, and because most stable value funds are provided by insurance companies it would be ...
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1answer
50 views

Stocks by sector on italian market? [on hold]

I need the list of all stocks exchanged on italian market by sector: chemistry, goods. It would be enough the list of actions divided by sector. The aim is to study what are the "best" (in my ...
2
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1answer
43 views

Definition of day trading

Recently I got into trading thanks to the Robinhood app, for which there's no cost to trade. My question is regarding what constitutes "day trading". Example 1: You sell 20 stocks with ticker symbol "...
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0answers
45 views

Is it possible to sell private company stock options to buy below 409A (FMV) price?

Suppose that someone is an employee at a company, and their exercise price on ISOs is $5. The last round of 409A valuation caused it to spike up to $500 per share (that is what investors were paying ...
6
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2answers
1k views

Where does the money go when I buy stocks?

Let's say I spent 10k and bought some shares of stock A, where does the cash 10k go? Does it go to the stock broker and then the stock broker gives the money to the company of the stock A?
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1answer
25 views

OTC Markets, OTCBB & NASDAQ Level 2

Does NASDAQ Level 2 or NASDAQ Total View support OTCBB stocks or only stocks listed on national exchanges?
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1answer
66 views

Trading with Settled / Unsettled Funds (T+3)

My question is about settled and unsettled funds in a margin account. I'm an occasional trader and would like to better understand the settlement dates. Basically, if a stock goes up x amount, I like ...
0
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2answers
177 views

Why do people sell when demand pushes share price up?

Why would owners of a particular share want to sell if they see that there is an increasing demand and that the price is going to increase? Wouldn't holding onto it and selling at a later time when ...
4
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1answer
50 views

How does tax work for stock investment income in the United States?

Do I have to pay the stock investment income tax if I bought some stocks in 2016, it made some profits but I didn't sell them at the end of 2016? I bought some stocks in 2011, sold them in 2012 and ...
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8answers
4k views

Why do shareholders participate in shorting stocks?

When an investor wants to short a stock, they need to borrow shares from someone else. Why would a shareholder lend the investor the shares? When the investor gives them back, the stock would be down....
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2answers
79 views

When to sell stock losers

I have had some stock in a company for a number of years that pretty much went bankrupt, so I will have a loss when it is sold (around $500). I have decided that I definitely want to sell the stock, ...
0
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1answer
70 views

Biggest stock price gain vs. biggest mkt cap gain

I was perusing Google Finance and noticed that under the "Trends" tab in the third section, there are different companies listed under the biggest "stock price" change and biggest "market cap" change ...
0
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0answers
24 views

Laws/consequences against reselling stocks? [duplicate]

Assume I buy 1000 Stocks in A at 09:00 for 100USD / piece And Sell them at 11:30 for 110USD/piece At 13:10 I buy 100 Stocks for 105USD in the same company have I done anything illegal (or contain ...
5
votes
7answers
470 views

Are stories of turning a few thousands into millions by trading stocks real?

I've seen stories on the internet, people got rich from only a few thousands by trading stocks. I've seen some trading academies claim offering courses that can help you to make a living by just ...
8
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3answers
2k views

Are the stocks of competitor companies negatively correlated?

Are the stocks of competitor companies negatively correlated? i.e if Sony goes up in price will Samsung fall?
6
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4answers
360 views

How can I buy and sell the same stock on the same day?

In the United States, Is it possible to buy and sell the same stock on the same day? I heard day traders can do this, and you need to have at minimum of 25K in the account in order to be a day trader. ...
0
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1answer
18 views

optimal OTM option

Lets say ABC is at 200. If I expect that ABC will be 180 by December, and I can only purchase 1 put option, what would be the most OPTIMAL put option to purchase? This is a question I've had - im ...
1
vote
1answer
105 views

Why did my number of shares of stock decrease?

I bought 24242 shares for $0.16 each in Dec 2015. Today I logged into my brokerage account and saw that the share price has gone down to $.055 and I now only own 1358 shares. To my understanding, ...
0
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1answer
305 views

Always profitable combination of options strategies?

Why can't we just combine multiple options strategies to get an always profitable scenario? For example by combining protective call and protective put won't we be able to get an always profitable ...
20
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7answers
3k views

Why does Charles Schwab have a Mandatory Settlement Period after selling stocks?

Whenever I sell stocks with Charles Schwab, I cannot access the cash for 3 days after the day I make the sale. A coworker told me that this was called a "mandatory settlement period". I was unable ...
0
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1answer
67 views

Risks and taxes for Non-Qualified Stock Options?

I work for a US company in their UK office (I'm a UK national). 2 months ago, the company offered me a grant of non-qualified stock options, which expire in 10 years. However the system tells me I ...
36
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9answers
9k views

Why do stock prices of retailers not surge during the holidays?

My six-year-old (!) son asked me this question and I didn't have an answer, so I told him I'd get back to him. He asked why people don't buy a large number of shares of a company before the holiday ...
10
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1answer
1k views

In what ways can a public company ask for money?

I'm just curious, what are the ways that a publicly traded company can ask for more money? Do they just sell shares of their company stock they own themselves, or do they issue more bonds? Are there ...
2
votes
1answer
131 views

What type of low-cost stock index exchange-traded fund (ETF) would give the best long-term total return?

What type of low-cost stock index exchange-traded fund (ETF) would give the best long-term total return, based on historical stock market data? Would it be a narrow blue chip stock index or a broader ...
1
vote
2answers
60 views

Partner buy-out

I am in the process of buying out my partner, for a few reasons that are legitimate. To start let me say we are in an oil related buisness. The problem is he invested 140,000 for 45% a year and half ...
5
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3answers
388 views

Why do volatility stocks/ETFs (TVIX, VXX, UVXY) trend down in the long-term?

I've noticed that stocks/ETFs that measure volatility (TVIX, VXX, UVXY, XVZ) are all trending down massively (eg VXX going from $7000/share on 3/09 and on 6/16 it is around $16/share) in the long-term ...
0
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2answers
70 views

Entry point level for buying stocks [closed]

With the Brexit in full force this Friday, many US indexes fell anywhere from 3-5%. Is Monday a good entry point for a buyer's mind or will the bull continue for the next few weeks?
1
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1answer
26 views

Taxes on foreign and local dividends held in a TFSA

As far as I read in many articles, all earnings (capital gains and dividends) from Canadian stocks will be always tax-free. Right? In contrast, holding U.S. or any foreign stock that yields dividends ...
0
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1answer
44 views

Tax implications of holding EWU (or other such UK ETFs) as a US citizen?

What with the Brexit completely murdering UK stocks right now, and having taken to heart the motto "buy when there's blood in the streets", I was thinking of investing some money in the UK, via ETF. ...
0
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1answer
87 views

selling apple stock limit order

Last night around midnight I saw the Brexit voted leave so I went to sell my Apple shares. I put a limit at 96.00. It ended yesterday closing at 96.10. Will my limit order be executed? I am confused ...
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5answers
259 views

Are stocks always able to be bought and sold at market price?

I have a lot of experience with the Bitcoin industry, but little experience with the Stock Market. In the bitcoin industry, when you want to buy/sell, you have to put out a market order on whatever ...
1
vote
3answers
119 views

Stocks taxed just for selling, or just when withdrawing?

I'm humbled by the fact I couldn't find a direct answer to this anywhere so if one exists already just let me know and I'll del this one. My question is, say you have an Ameritrade (or similiar) ...
0
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1answer
64 views

Why weight a portfolio by market cap when equal weighting has higher ROI?

I've been researching how to structure my different funds, and almost everywhere I look I see people buying funds based on market cap. e.g. investing 70% in a large-cap ETF like Vanguard's $VV, 20% in ...
2
votes
4answers
157 views

How to explain quick price changes early in the morning

I don't have much experience trading and wonder why there was a large change just when the market opened. I daytraded my portfolio and started only recently. As expected, in the morning when the ...
1
vote
1answer
55 views

Why would the price of a stock remain steady after a private placement announcement?

I'm a novice investor and ran across something that I don't understand. I own shares of Aureus and recently found this notice; On June 15, 2016, Aureus announced a private placement (the "Private ...
3
votes
4answers
426 views

How are the best way to make and save money at 22 years old

I am currently 22 years old, I work as an insurance biller and make about 800-900 dollars every two weeks cash. I have no expenses because I still live with my parents but I'm trying to branch out on ...
0
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2answers
127 views

Investing in the stock market during periods of high inflation

In the past, annual inflation has gone above 7%, which is the canonical average annual rate of return for stocks. When inflation reaches that point again, would be it still be worth investing stocks ...
0
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3answers
172 views

Why do people buy stocks at higher price in merger?

http://www.wsj.com/articles/microsoft-to-acquire-linkedin-in-deal-valued-at-26-2-billion-1465821523 Microsoft give 50% premium. Why?
0
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3answers
104 views

How much do large sell orders affect stock price?

If someone makes an unlimited sell order for all their shares in a large cap company on the open market, how much do they have to sell before it affects the stock price? In general, how does a large ...
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votes
1answer
57 views

How to get information about historical stock option prices for a defunct company?

It has previously been asked how to get historical stock prices for a defunct company: How to find historical stock price for a de-listed or defunct company? I would like to know how to get ...
0
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1answer
54 views

Solicitation of a Security

Question on solicitation of securities for a mother & son in a joint account. All activity historically had been done through mother, and then when son became older the responsibility was through ...
3
votes
1answer
59 views

When does the clock start for capital gains treatment on an angel investment?

I made an investment in a startup company last year. I sent the wire transfer on August 4. I have a legal document from the company entitling me to X number of shares on September 1, but my shares ...
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votes
1answer
50 views

What are the scenarios if mining company around 4c decides to halt stock trading due to capital raising?

Also have to say that before that trading halt announcement the stock got +40% gain, anyway, does it usually mean that things are going forward and so the share price will climb higher or the price ...
0
votes
1answer
84 views

What is the purpose of a letter stock

What is the purpose of a letter stock more than protect a resale of the stock? Is it related to mutual funds in any way? How can an investor have access to these stocks if are not traded publicly? ...
2
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1answer
58 views

Variation in international ETF pricing during non trading hours

I noticed that Prices of etfs that invest in international markets are fluctuating during US trading hours. How is that possible given that the international markets are closed during that time and ...
13
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2answers
2k views

How do I invest in the S&P 500?

If I want to invest $4000 in the S&P 500 stocks (which is diversified and non-risk), how do I do this?
0
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1answer
77 views

How much do big firms and investors affect the stock market?

I have been reading quite a lot on stocks and can't seem to figure out one thing. Let's say company A is doing very well and their stock is expected to triple in a year. How much of an influence ...