how to purchase shares Investing in shares means buying and keeping them for a while in order to make money. There are two ways of getting money from shares of a company: • If the company grows and becomes more valuable, the share is worth more – so your investment is worth more too. • Some shares pay you part of the company’s profits each year, called a dividend. If you buy shares in larger, long-established companies you’ll probably get dividends, but you might not get rapid growth. Shares that pay regular dividends are good for getting an income or the dividends can be reinvested to grow your capital. Dividend income is taxed at a different rate from savings interest. Smaller companies often don’t pay dividends. They might have more chance to grow rapidly, but can be more risky. Buying and selling shares If you want to buy and sell shares that you own yourself, you can use: • An online broker • A traditional stockbroker • A financial adviser or investment manager – you can ask them to buy or sell shares for you, but they’ll still go through a stockbroker nvesting in shares through a pooled (collective) fund In a pooled (collective) investment, lots of people put their money into a fund. The fund is invested in shares – or other assets, like cash, property or bonds – chosen by a professional fund manager. You can invest in funds through many banks, a fund manager, a financial adviser or a traditional or online broker. COIMBATORE, India