NOTE: Catch the Wind is now renamed "Blue Scout Technologies" and is now using a trading symbol of (SCT) instead of (CTW)
I went to my bank (any Bank will do) and asked the lady at the front desk (their info booth) if I could meet with an advisor to talk about getting involved in the stock market.
She set-up an appointment and gave me the date. I then attended the bank on that date, and told the lady at the info booth I was there for my appointment. She showed me over to the waiting area where I took a seat and read some brochures for a few minutes until an advisor came out to meet me.
Even if no advisor came out to talk to me, I was happy because they had free coffee available! However, an advisor did eventually come out and introduce himself then invited me into his office. There I was introduced to a younger colleague of his who was in training.
I began by telling them that I am a small-time guy looking to get into the stock market by purchasing my first ever shares in a company. He asked me what kind of account I wanted to open and he proceeded to describe a few different options, all of which went by too fast, and were too technical in nature for me to comprehend what he was even talking about.
Not wanting to just randomly grab at any straw, I swallowed my pride, and told him, I had no idea what he just said, and told him I am totally new to investing aside from the bit of research I had conducted on the Internet over the previous few weeks and asked if he could slow down and explain in detail what he was talking about so I could better understand.
Either he did not know what the words "slow down" meant, or he did not have time for such a small-time investor like myself to actually slow down. Instead, he started to explain each part of what he said, even faster and with even more details and technical terms I had no concept of.
I said to him that if he does not mind, to imagine that I am a child coming to him with no banking experience or tax knowledge what so ever, and to talk with that in mind. He again spoke at 1,000 words per minute, appearing to actually be trying to help me understand, but it really was not helping.
I did catch one thing he said at this point which was that he was going to get something for me to read and he left the room. His colleague in training seemed to sense my confusion and he gently began discussing his experiences of entering into the world of investing, and offering assurances that in time, it will all start to make sense.
The advisor returned and after still not being able to figure out what is our best approach, he chose a Tax-Free Savings Account and set me up with that particular banks' on-line, self-directed investment account. It's called a self-directed investment account because I am free to make my own choices as to what and when I purchase or sell, such as stocks, mutual funds, or other investment options as opposed to having a person who calls me and tells me what he or she thinks I should buy or sell and when etc.
Once the account was finalized, (approximately 24-48 hours) I logged in, completed the setup procedure, and was finally ready to make my first trade. I was going to purchase my first ever stocks. (also known as shares)
I made my first purchase of shares on Aug 9, 2011. Here's what I got.
Date: Aug 9, 2011
TFSA Balance: $100.00
Company: Catch the Wind (CTW)
Number of Shares: 150 shares
Cost of Shares on Purchase Date: $0.40 per share
Commission to Bank: $29.00 commission (per completed purchase of shares or transaction) So, there you have it. With $100.00 I became the proud part owner of a company called Catch the Wind by purchasing 150 of their shares.
Date: Aug 22, 2011
TFSA Balance: $386.00
Company: Catch the Wind (CTW)
Number of Shares: 800 shares
Cost of Shares on Purchase Date: $0.42 per share
Commission to Bank: $29.00 commission (per completed purchase of shares or transaction)
Now I own 950 shares. The first 150 at $0.40 cents each, and the second 800 at $0.42 each for a grand total expense of $396.00 plus $60 in commissions (29 + 29 each transaction)
Total Cost: $456
You can monitor the value of the CTW stocks at http://www.google.com/finance?q=CVE:CTW
You can learn more about the company Catch the Wind and what they do at: http://www.catchthewindinc.com/ to see if they have increased or decreased from 42 cents per share since I last purchased them.