FAQ

How to start trading?

  1. Identify a stockbroker.
  2. Open a trading account.
  3. Make a deposit, choose the asset in which to invest and start trading!

Even those in the diaspora can trade if they can deposit in ZWL$ to fund their account.

How to gain basic knowledge on capital markets?

Visit the Securities Deposit and Exchange Commission of Zimbabwe and download their Investment 101 handbook to gain basic knowledge on capital markets.

 

Where can you trade online?

To trade online you have two of the following options.

  1. C-trade mobile
  2. ZSE direct

How does the trading process work?

The trading process is the buying and selling of company shares or stocks on the financial market through the Zimbabwe Stock Exchange.

 

Terminology

  • Blue Chip Stocks – A blue-chip stock is a large company which has operated for many years and typically has a large market capitalisation. Blue chip companies are usually better prepared to survive during economic downturns due to their consistent revenues and stable growth over time. Investors turn to blue-chip stocks because they have dependable financials and often pay regular and progressive dividends.
  • Mid Cap Stocks -Mid-cap companies haven’t quite made it to the large-cap status but have a more established business track record than small-cap companies. Similarly, their stocks offer a middle ground to the risks and rewards of their smaller and larger counterparts. Mid-cap stocks are useful in portfolio diversification because they provide a balance of growth and stability.
  • Penny Stocks - Penny stocks offered on the marketplace are often growing companies with limited cash and resources. Since these are primarily small companies, penny stocks are most suitable for investors who have a high tolerance for risk. Although penny stocks can have explosive gains, it is important to have realistic expectations as penny stocks are considered to be high-risk investments with low trading volumes.

How to get started

  • Stay up to date on economic issues and relevant current affairs. Stock prices move up and down due to fluctuations in supply and demand which is highly sensitive to the news at the moment.
  • Keep up on industry news on listed companies.
  • Track prices via the price sheet as the share stock price broadly reflects a corporation’s general financial health.
  • Stay tuned for trading updates and company financials on the Morgan & Co Research App available on the Google Play Store and Apple App Store

Why trade?

  • It is an alternative way of saving that also enable you to hedge yourself against inflation.
  • You can money by buying low and selling high or by purchasing stocks of companies that pay dividends.

How are investors protected?

  • The board of directors is directly responsible for protecting and managing shareholders' interests in the company.
  • Regulators (SECZim) also protect shareholders by helping to facilitate the smooth functioning of the financial markets.

If you already have a trading account, you simply need to register with ZSE Direct using the details on your existing trading account. ZSE Direct will automatically load your current portfolio once registration is complete. You can deposit funds via ZSE Direct in order to place a buy order through the portal.

I encountered difficulties while trying to open an account. How can l get assistance?

If you encounter challenges with opening an account, send your query to research@morganzim.com  and we will gladly assist you. Alternatively, you can be assisted by ZSE Direct personnel via zsedirect@zse.co.zw, or C -Trade personnel via c-trade@escrowgroup.org

What is the minimum amount required to start trading as a retail client?

Clients can get started with as little as ZWL$1,000

What time is the market open?

The ZSE is open between 10 am and 12 pm until further notice. FINSEC is open from 8 am to 4 pm.

What is the difference between C-Trade and ZSE Direct?

C-Trade was created by Escrow Systems which is also FINSEC. ZSE Direct was created by the ZSE. Both systems have similar functionality that encompasses buying and selling of shares. While ZSE offers greater detail market depth, C – Trade allows users to trade FINSEC-listed stocks.