How does Investing in stock exchange work?

I'm planning to invest in stock exchange someday.





Help me understand how stock exchange works. What are the things I need to know?|||Well you can invest in a stock exchange now because some of them are publicly traded but I think you meant invest in a stock. There are lots of good books and online information for doing this but I like some of the free information you can get from the Motley Fool web site or their books. Don't be fooled by the name.

http://www.fool.com/how-to-invest/index.鈥?/a>

The first thing you will need is a brokerage account, preferably with a discount broker. The Motley Fool can help with that too.

Then you need a reason to invest in some company, mutual fund or ETF. Until you know what you want to invest in and why, you will just be gambling. Nothing wrong with that but your returns will be probably be random.

You may have to do some reading to find your reason but that's part of the fun. Good luck!

Oh, I almost forgot. It also helps to have some money that you can put into that brokerage account to start with.