First principles of investing

1  2  3  4  5  6  7  8  9  10  11  12  13  14  15  16  17  18  19  20   

14. Your stockbroker

How you buy your shares (this includes investment trust shares) will depend on the nature of the agreement you have with your stockbroker. If you haven't yet got a stockbroker or investment adviser, see page 19.

Where you appoint a discretionary stockbroker (who makes all the decisions) or advisory stockbroker (who discusses decisions with you), the firm will act on your behalf once you have completed a terms of business agreement and perhaps paid a cash and/or stock deposit.

Your adviser will automatically provide a tariff of charges. Some services have a fixed charge for certain deals - for example for FTSE 100 companies.

Execution-only stockbrokers do not provide advice and merely take your instructions.

1. Five steps to establish your investment goals 2. Your attitude to risk and reward 3. The major asset classes 4. Which type of manager? 5. Your investment assessment kit 6. Is past performance a guide to the future? 7. Easy access deposits for emergencies 8. Fixed income products 9. A rising income 10. The choice of collective equity funds 11. Pensions and ISAs 12. Tax efficient but may be very risky 13. Selecting your shares 14. Your stockbroker 15. Buying your shares 16. Ethical Investment 17. When to sell 18. How to keep your portfolio on track 19. Do you need an adviser? 20. Conclusion

• First Steps in Shares
• How to Read the Financial Pages