Summary: Microsoft (NASDAQ: MSFT) is a global technology giant that offers its stock to the investing public. In the UK, one of the most convenient ways to trade Microsoft shares is through a reputable brokerage platform like Plus500, which offers MSFT stock CFDs.
Recommended Multi-asset Broker for Online CFD Trading
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Reliable & Regulated by CySEC (#250/14) - Plus500 Ltd is a FTSE 250 company listed on the London Stock Exchange
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Wide range of instruments - CFDs on stocks, crypto, forex, commodities, ETFs, and more
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Low cost investing - No commissions and tight spreads.
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Transparent pricing on overnight funding, currency conversion fees, guaranteed stop orders, and inactivity fees.
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Advanced platform - Top notch analytical tools, real-time quotes, fast order execution, secure withdrawals
About Microsoft
Founded in 1975 by Bill Gates and Paul Allen, Microsoft is a household name in the world of technology. The company offers popular software products, including the Windows operating system, Microsoft Office suite, and cloud computing services such as Azure. Furthermore, it’s also a significant player in the gaming industry with its Xbox gaming consoles.
Microsoft is a publicly-traded company listed on the NASDAQ stock exchange under the ticker symbol MSFT. The company’s stock has a history of steady growth and is considered a blue-chip investment option.
Microsoft IPO
Microsoft went public with its initial public offering (IPO) on March 13, 1986. At the time, shares were priced at $21.00 each. Since then, the company has undergone significant growth and expansion, making it one of the largest technology companies globally.
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How to buy/sell Microsoft shares in the UK: Step-by-step
When it comes to Microsoft shares in the UK, investors have several options. One popular method is trading contracts for difference (CFDs), which allows you to speculate on the price movements of Microsoft shares without owning the underlying asset. Here’s a step-by-step guide to help you start:
Step 1: Choose a broker
To begin, you’ll need to select a reputable broker that offers CFD trading on Microsoft shares. It’s essential to choose a broker with a strong track record, competitive fees, and a user-friendly platform. Also, ensure that the broker has a license from the Financial Conduct Authority (FCA) to ensure the safety of your investments.
Our go-to broker for Microsoft CFD trading in the UK is Plus500, which is a licensed and popular platform that offers several useful features for all types of investors, such as:
- Free demo accounts;
- Multi-asset CFDs on more than 2,000 financial instruments, including stocks, Forex, crypto, ETFs, commodities, and more;
- Mobile trading;
- Convenient deposit options via PayPal, Visa, Mastercard, etc.;
- Free withdrawals.
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Recommended Multi-asset Broker for Online CFD Trading
-
Reliable & Regulated by CySEC (#250/14) - Plus500 Ltd is a FTSE 250 company listed on the London Stock Exchange
-
Wide range of instruments - CFDs on stocks, crypto, forex, commodities, ETFs, and more
-
Low cost investing - No commissions and tight spreads.
-
Transparent pricing on overnight funding, currency conversion fees, guaranteed stop orders, and inactivity fees.
-
Advanced platform - Top notch analytical tools, real-time quotes, fast order execution, secure withdrawals
Step 2: Register and fund your account
Once you’ve picked a broker, you’ll need to register for an account. This typically involves providing some personal information and verifying your identity in compliance with regulatory requirements.
After you register an account, you’ll need to fund it. You can deposit funds using various methods, including bank transfers, credit/debit cards, and sometimes even e-wallets.
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Step 3: Place your order
With your brokerage account funded, it’s time to place your order. Here’s how:
- Search for Microsoft: Use the broker’s platform to find Microsoft shares;
- Choose your position: Decide whether you want to go long (buy) or short (sell) Microsoft shares;
- Set your trade parameters: Specify the number of CFDs you wish to trade and set stop-loss and take-profit levels to manage your risk;
- Confirm your order: Review your order details and confirm the trade.
Microsoft shares price today
Pros and cons of trading Microsoft
Pros
- Stability and growth: Microsoft is a well-established company with a history of consistent growth;
- Dividend payments: Microsoft pays dividends to its shareholders, providing an additional source of income;
- Diversification: Investing in Microsoft can add diversity to your investment portfolio, especially if you’re focused on the technology sector;
- Innovation: The company continues to innovate, with products like Azure and the Microsoft 365 suite driving its future growth.
Cons
- Market risk: Like all stocks, Microsoft shares are subject to market fluctuations and can be affected by economic events and industry trends;
- Competition: Microsoft faces competition from other technology giants, which can impact its market share and profitability;
- Regulatory risks: Changes in government regulations or antitrust actions could affect Microsoft’s business operations.
Common mistakes to avoid when investing in Microsoft
To make informed investment decisions, it’s crucial to avoid common mistakes:
- Not conducting research: Failing to research Microsoft’s financial health, competitive position, and industry trends can lead to uninformed investments;
- Overlooking risk management: Neglecting to set stop-loss orders or diversify your portfolio can expose you to unnecessary risks;
- Chasing hype: Avoid investing based solely on the latest news or market hype. Always make decisions based on solid analysis;
- Ignoring long-term perspective: Microsoft is a long-term investment. Avoid making decisions solely based on short-term price movements.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
FAQs about how to buy Microsoft shares in UK
Can I buy Microsoft shares directly from the company?
No, Microsoft shares are available on stock exchanges, and you can trade CFDs through a brokerage account like Plus500.
Do I need a large amount of capital to invest in Microsoft shares?
No, with CFD trading, you can start with a relatively small amount of capital, as you’re not purchasing the actual shares.
What is the difference between CFD trading and traditional share trading?
CFD trading allows you to speculate on price movements without owning the underlying shares, while traditional share trading involves buying and owning shares.
Is Microsoft a good long-term investment?
Microsoft has a track record of long-term growth and stability, making it a potential candidate for a long-term investment. However, it’s essential to conduct your research and consider your financial goals.
Recommended Multi-asset Broker for Online CFD Trading
-
Reliable & Regulated by CySEC (#250/14) - Plus500 Ltd is a FTSE 250 company listed on the London Stock Exchange
-
Wide range of instruments - CFDs on stocks, crypto, forex, commodities, ETFs, and more
-
Low cost investing - No commissions and tight spreads.
-
Transparent pricing on overnight funding, currency conversion fees, guaranteed stop orders, and inactivity fees.
-
Advanced platform - Top notch analytical tools, real-time quotes, fast order execution, secure withdrawals