Posted by: JavaBeans June 19, 2007
Making Money with Eminitrader
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Biruwa, >>If i buy stock from online and i want to sell the stock through another company. Can i do it ? If you open a position (buy) with an online banker you will usually have to close the position (sell) before moving to another brokerage firm. Taking ownership of an equity in a public company is fairly liquid- therefore, you could sell them at your current broker and quickly buy them back through another if your end goal is to switch your banker WITHOUT letting go of your position. If you have a large stake and do not want to risk the spread or commission fees you may be able to transfer the ownership of your stocks; this depends on your banker, really. >>How do i get divident from stock? Payment of stock dividends depends on the company you buy into- there is nothing you can do that will influence a company to pay dividends. As a rule of thumb- dividends are usually paid by 'cash cows', which means a slow growth company with large sums of income. This income is paid back to shareholders as a dividend. Growth companies usually do not pay dividends as they mostly 'burn' any income received on growing their markets, etc. >>If I buy stock of a company operating in canada then will my stock value depend on canada dollar? This depends on what you are asking- if you meant Canadian dollars are used as a means of valuing a company then the answer is 'YES'. If you meant whether currency fluctuations in the market will have inadvertent affect on the price of the stock, then the answer is usually 'NO'. Of course, the latter part could also be 'maybe' if you are talking about, lets say, a bank like Toronto Dominion Bank which may have large Canadian reserve. And a slight downturn against the Greenback could devalue their overall assets IF the majority of their revenue comes from outside Canada. Hope this helps. -JB
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