What is stock Exchange?
The stock exchange is a market by which companies finance themselves by issuing financial securities. They finance their development by issuing shares or bonds. When stocks and bonds are listed on the stock Exchange, their value increases and decreases according to supply and demand. Buyers expect an increase in the value of their securities.
Why be interested as an investor?
For investors, the stock market is investments. Investors can buy the shares and the bonds either directly or through the funds.
The stock exchange, mainly equity investments, can be a savings solution for those who want to make a long-term investment, for example to prepare for retirement financially. By making investments on the stock exchange, investors hope to obtain a performance Higher, in the long run, than risk-free investments such as savings booklets or guaranteed capital life insurance.
In the short term (a few months or less than five years), stocks fluctuate a lot and therefore the risk of financial loss is high. It is common to see the main indices varying upward or downward. It is only in the longer term (at least 5 years) that the chances of getting an interesting performance becomes more important provided that the economic and financial environment is good, that is to say that the profits of the listed companies continue to grow.
Who can open a title account?
Any legal person as a natural person may have a title account. Just contact an IMS and have the minimum amount required to open an account.
What kind of account to open?
Investing in the stock market requires essentially financial, socio-economic, and common sense knowledge to analyze all data on listed companies and especially to have a good measure of risk.
What is a free mandate
An investor who, in fact, has the ability to do his own analysis and make his own investment decisions alone will be able to open a free management account with PCM.
What is a mandate under management ?
On the other hand, an investor who has no notion of a stock exchange and whose financial and economic knowledge is limited or non-existent can give a management mandate to PCM through the managed account.
Which are the conditions for opening securities account at PCM?
Please refer to download section for opening an account.
How to invest ?
Choosing the right intermediary (its Management and Intermediation Company (MIC))
The choice of an intermediary is based on several factors namely the range of financial products proposed, the importance of the information provided such as periodic analyses (weekly, monthly and semi-annual), publications Regular on listed companies, access to the portfolio and the ordering via the Internet, the proximity with your account Manager or your portfolio management and the costs of holding an account or managing.
What is an MIC? What's its role?
An MIC is a management and intermediation company. It is principally engaged in the trading of securities on the stock exchange and retention of securities on behalf of the customers. As collateral, they make management under mandate as well as the Financial Council.
Places to invest ?
When the investor is lending
Bonds are loans issued by institutions such as the state, local authorities or businesses to finance their development.
The organization or society that needs to raise funds issues bonds. By subscribing to it, the savers lend him money, for a time fixed in advance. At maturity, the loan is obligatory and fully reimbursed: hence the term « bonds ».
In exchange for the capital loaned, the subscriber of a bond collects interest, called coupons. The rate of interest depends on the length of the loan and the financial health of the issuer. The more precarious this health is, the greater the risk the investor is taking, the higher the rate of interest is offered.
Interests, or « coupons », are usually paid each year. They are subject to income tax.
Become a co-owner of one or more companies.
The shares are securities issued by the companies (“S. A” Limited companies) when the initial capital is set up or when it is increased. These securities are shares of their capital. By buying them, investors acquire a small part of these companies and become co-owners. Each year they receive a share of the profit made. These are the « dividends ».
During the stock market listing, the shares are bought at a price fixed according to the financial health of the company and its development prospects. Once listed, the shares are exchanged at a price fixed according to the supply and demand on the market.
Although the share held is a part of the company, the shareholder (small bearer) is never personally liable for his debts. Minority, the shareholder has a right to participate in the annual general meeting.