Ways to invest in Cisco
To buy shares in Cisco, you need to open an account with an online stockbroker and fund it. These are services that let you buy and sell stocks from a website or your mobile device, and they often have low fees. It only takes a few minutes to sign up, too.
Other than using a broker, there are plenty of other ways to invest in Cisco stock. This includes things like a mutual fund that holds Cisco or using an exchange-traded fund (ETF). Each method requires different considerations, and these are outlined below along with links to key learning points.
What is Cisco?
Cisco is one of the largest technology companies in the world. The company makes networking hardware and software and a wide variety of telecommunications equipment. Cisco employs more than 75,000 people and reported revenue of $51.9 billion in its most recently ended fiscal year.
If you are looking to kickstart your education, check out our Stock Markets 101 course. This guide explains the fundamentals of stock investing in a simple and accessible fashion.
How to invest in Cisco
We have created a list of approaches you can use to make your first move on the stock market below. To learn more, click the link(s) on each method.
- Cisco stock brokers. Perhaps the easiest option is to buy shares through an online stock broker. The majority of brokers charge a modest commission fee of a few pounds per trade, and this is performed instantly meaning you don’t have to wait around to get your Cisco shares. In addition, many have research and analysis tools you can use to better understand your options as an investor. Check out our reviews for an overview of the best ones.
- Cisco mutual funds. If you use a mutual fund, you pool your money with other people and then a mutual fund manager puts that money into an array of stocks, including Cisco. This is a much easier way of investing because you don’t have to do your own research, but make sure you trust the fund manager before providing them the responsibility of your capital.
- Cisco ETFs. ETFs are funds that trade like stocks, making them easy to get. They are generally groups of stocks that fall in a similar industry or economic sector (such as a technology or telecommunications ETF, in the case of Cisco). Investing in a Cisco ETF allows you to defray risk through diversification, while still maintaining a profitable investment.
- Cisco CFDs. Trading a contract for difference (CFD) is another popular method. A CFD is a contractual agreement between a buyer and a seller, where the former pays the latter the difference between the current value of an asset (in this case shares of Cisco) and the value of that asset on the contract’s date. A CFD lets you speculate on the movement in Cisco’s stock price without requiring you to own shares of the stock outright, and CFDs are often cheaper. You can also use leverage to trade with CFDs, which allows you to increase your exposure to Cisco’s share price without additional upfront investment.
- Cisco trusts. This is a closed-end investment method that is especially popular in the UK. It is a collaborative effort between multiple different investors, and it allows you to benefit from a rise in the value of Cisco.
- Cisco ISAs. An ISA (Individual Savings Account) is a tax-free savings account, and if you tailor it, you can own shares of Cisco within it along with other assets. Typically, you can nominate a portion of your income for the current tax year (up to £20,000) to be used.
Where can I buy Cisco shares now?
Latest Cisco price analysis
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