buying shares

POSTED BY anithaveeravendhan ON November 21, 2011 12:31 pm COMMENTS (3)

What is the optimum no of shares i can buy in a stock? I don’t want to invest more than Rs.50,000.

3 replies on this article “buying shares”

  1. TheZionView says:

    How about buying as many shares you want in Kingfisher with that 50K in your hand?

    You can buy any no of shares from market that is available. But it is not about no of shares but its always about which stock at what price.

    There are large cap companies with some discount to their previous high but that does not mean it will all go back to their previous high.

    Hence you need to do research of company based on many parameters and decide whether is it worth a buy at current market price and then invest the money accordingly

  2. Dear Anithaveeravendhan, Before investing be sure about the risk involved in the direct Eq. investing.

    Regarding your 50K, I ‘ll ask you to divide it into 15+15+20K amount.

    Invest 1st 15K now in the choice of your stock.

    Invest another 15K if the price corrects some 15-20%.

    Invest remaining 20K if the price corrects another 15-20%.

    I’m not suggesting any stocks as I’m not good at all on that matter.

    Please research a lot before investing.

    Thanks

    Ashal

  3. Lokesh Jain says:

    Hi Anitha,

    There is nothing as an optimum no of stocks. I would suggest at current levels invest 50% of your money in bluechips like L&T, Bank of Baroda, Reliance, TATA Motors,SAIL. Dont go for midcaps now as the bluechips are available at good valuation. The rest 50% you can use to average the same stocks in case it falls down atleast 5% from your previous buying level. Its purely a fundamental call and dont think you might make abnormal returns in short term. Equities are always best in the long run.

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