Broker apps make stock market trading accessible to everyone and are currently experiencing a real boom. One of the main target groups is young, Internet-savvy investors who want to trade regardless of location and at any time. Because newcomers often lack knowledge, trading platforms have developed services that enable users to inform themselves and thus invest more successfully.
Knowledge is a success factor in trading
Mobile trading via smartphone can be successful if you have good luck or the appropriate knowledge regarding stock market mechanisms. Trading apps such as nextmarkets offer their customers a special feature in terms of knowledge transfer. For example, there are about a dozen stock market experts active on the company’s platform, who produce over 200 analyses every month. These can then serve as a basis for nextmarkets users to make sensible investments – and to educate themselves further in terms of financial knowledge.
The special feature here is that these analyses are available completely free of charge. Also, no depot or order fees are raised. This allows the platform’s customers to use the knowledge provided free of charge to make smart investments.
The success of knowledge transfer stems from the fact that investors learn, for example, to diversify their portfolio, i.e., to fill it with many different, cross-sector products and not to focus on just one company or one ETF. In addition, based on the knowledge they have acquired, they are better able to react quickly to changes in the stock markets.
Understanding the opportunities and risks of trading apps
It is no secret that stock market trading and also the use of trading apps involve both opportunities and risks. For users of such a broker platform not to blow their investments all too quickly, they must start “mobile” stock market trading responsibly.
Here, some brokers offer the so-called “auto copy”, where the user copies the strategies of professional traders partially or completely. This also creates a learning effect, if the newcomer attentively follows what the professional is doing. Ultimately, however, there remains a risk of loss even with this method.
Above all, the very simple handling, the low bureaucratic hurdles and the possibility of being able to make investments anytime and anywhere have a seductive effect. In addition, the trading apps offer the chance to invest even small sums. As a result, beginners often succumb to the resulting pull effect and quickly execute many trades. However, large sums can also result from numerous small investments. This is another reason why neobrokers should pass on financial knowledge to their users.
The necessary knowledge regarding the broker apps also includes knowing the amount of the fees incurred there. This is because there are significant differences here. Some apps, such as nextmarkets, can be used free of charge, while others charge order fees or charge for securities account management. Trading apps are generally considered to be very inexpensive, but as we all know, small fry makes a mess.
Acquiring financial knowledge outside the trading app
For newcomers to online stock market trading, it makes sense to acquire the necessary financial knowledge before the first trade. For this purpose, the Internet provides countless advice sites, some of which deal with very specific areas of stock market trading. There, the reader learns in a compact form what he needs to know to trade successfully. If you are a fan of magazines or journals, you will usually find a financial section there as well, in which corresponding topics, such as cryptocurrencies, ETFs, leverage products, certificates, or funds are dealt with. Also interesting are interviews with financial experts or CEOs of large FintTech companies. Financial programs shown on television are also very instructive. If you are a newcomer and want to invest the money as safely as possible with the help of broker apps, you will find the financial knowledge you need for success on the Internet and Off-Page.