CAPE TOWN - Three Durban-based entrepreneurs and founders of stock trading company, House of Stocks, reveal how ordinary South Africans can trade stocks and grow their trading portfolio.
House of Stocks, was co-founded by entrepreneurs, Zekhethelo Shange, Dalisu Shange and Troy Ndaba.
The company focuses on the profession of trading stocks and how individuals can benefit profitably. It equips individuals with entrepreneurial skills and teaches them how to make money and generate a profitable income.
According to CEO of House of Stocks, Shange says that House of Stocks teaches people valuable insight about the financial sector and how it operates. He adds that trading is for everyone.
“Anyone can trade stocks, you do not need to be financially literate at the beginning. This can be taught as you go along”, said Shange.
For instance, one of their most successful students is 64-year old Sipho George Nhlangothi.
Nhlangothi is living proof that anyone can be an entrepreneur and it does not matter when you decide to start your business.
When asked how does someone go about trading stocks for the very first time, Shange said that there are various factors to consider.
“First, you have to analyse the sector you intend on investing in. This is crucial; when you trade, you trade with the intention to make money. Therefore, you should analyse trends within various sectors and identify which companies are trading at a good value," he said.
Shange warned that many people immediately jump onto the bandwagon and that this was the cause of failure. “Do research about the stock market before you jump in. You have to essentially understand something in order to become good at it," he advises.
The next step is to grow your portfolio. You grow your portfolio by owning shares. Individuals own shares by purchasing stocks. They then profit from these shares when they resell it at a higher rate.
Shange says that when you start to trade, start with as little as R50. “This is to test the market. Also, the minimum you put in, the better”.
According to Shange, the main purpose is to use basically nothing and grow it into something. “Many people are of the opinion that the more you invest, the better. This is different”, said Shange.
Their most successful student, Nhlangothi was enrolled for a 4-month course with House of Stocks which covers various aspects of trading. Nhlangothi spent 85c equivalent to R11 at the time in November last year and made a profit of R10 000 on his first trade. This shows that you can grow your portfolio from virtually nothing into something great.
When asked how House of Stocks assists individuals with trading stocks, Shange said that they offer individuals an intensive 4 month course which covers the various aspects of trading.
There is a small fee involved of R3 600 which costs R200 per class.
“The great thing is that we provide individuals with the tool the trade and make money and from this, they can pay for the course”, said Shange.
However, when registered individuals are introduced to trading, they use their own capital.
Shange assured that students are guided throughout the process by experienced professionals with over 20 years of industry experience.
"Helping individuals become entrepreneurs and growing their portfolio is one of House of Stocks goals".
Picture: Zekhethelo Shange, House of Stocks Chief Executive Officer. (Supplied).
Picture: Dalisu Shange, House of Stocks Chief Analyst. (Supplied).
Picture: Troy Ndaba, House of Stocks Chief Operations Officer. (Supplied).
- BUSINESS REPORT ONLINE