How to invest in stocks in the US

Why invest in stocks? 

Stocks offer a way to participate in the growth of publicly traded companies. As the company grows and generates profit, the value of its shares may rise. You may also receive dividend payments if the company chooses to distribute a portion of its earnings.

Over time, stock market investing has historically provided opportunities to build wealth. But returns are never guaranteed. Stock prices fluctuate due to economic changes, market conditions and company performance. This makes investing in stocks inherently risky.

Still, many people choose to invest in stocks because they offer a balance of growth potential and accessibility. Unlike some other assets, you can start with small amounts, diversify your holdings and make adjustments anytime.

Investing in stocks also aligns well with long-term financial goals. Whether you’re saving for retirement, education or another future milestone, a stock portfolio can be an important part of your broader strategy.

What you need before you start investing

Before investing, there are a few key things to prepare:

• Internet access and documentation: Most platforms will ask for government-issued ID and basic personal information. If you have the Crypto.com App, you can sign up for an account on the App. 
• Understand your financial goals: Are you aiming to grow your savings over the next 20 years or looking for short-term income? Your time horizon and goals will affect what kinds of stocks and strategies make sense.
• Know your risk tolerance: Some people can handle large price swings, while others prefer stability. Being clear about how much risk you can take will help shape your portfolio.
• Emergency savings: It’s generally wise to have a financial cushion set aside before investing. Stocks can go up or down and having cash available can help you avoid selling in a downturn.

With these basics in place, you’re ready to begin investing in US stocks and exploring different options.

How to invest in stocks: Step-by-step guide

1. Choose a brokerage account
2. Fund your account
3. Research the stocks you want to invest in
4. Make your first investment
5. Track and adjust your portfolio

1. Choose a brokerage account

To start investing, you’ll first need to open a brokerage account. This is where you’ll deposit your money, search for stocks, place buy and sell orders and manage your holdings over time. Today’s platforms are designed for accessibility – but it’s important to pick one that matches your goals and experience level.

Key features to consider include:

• Fees: Some platforms charge inactivity or withdrawal fees – so check the full fee structure.
• User interface and tools: Good platforms offer features like real-time price tracking, stock screeners, earnings reports and financial news.
• Mobile access: A responsive mobile app can help you track and manage your portfolio wherever you are.
• Support and security: Consider choosing platforms with two-factor authentication (2FA), encryption and responsive customer service.

Crypto.com offers commission-free access to 10,000+ US stocks through a mobile-first platform that supports beginner and intermediate investors alike.

2. Fund your account

After you choose your brokerage, you’ll need to deposit money into your account. This is known as ‘funding’ your account and is a key step before placing any trades. You can either make a bank transfer, link your debit card or convert your existing crypto with us to cash. 

Once your account is funded, you’re ready to start your research and invest.

3. Research the stocks you want to invest in

Investing is more than just picking a familiar company name. To make informed choices, you'll want to understand the fundamentals of each company and how it fits into your overall strategy.

Start by exploring:

• Company performance: Look at revenue growth, profitability and recent earnings results.
• Sector and industry trends: Different sectors (like tech, healthcare or energy) react differently to economic cycles.
• Stock categories: Compare growth vs value stocks and small-cap vs large-cap options.

Use tools like charts to view trends over time, newsfeeds to stay on top of relevant events and financial ratios like P/E (price-to-earnings), dividend yield and debt-to-equity. It’s also wise to diversify by holding stocks from different industries and market segments. This helps reduce risk and makes your portfolio more resilient over time.

4. Make your first investment

With research in hand, you’re ready to make your first investment. You’ll usually select from:

• Market order: Buys immediately at the current market price
• Limit order: Executes only if the stock reaches your specified price

Set the number of shares – or better yet, choose a dollar amount if the platform supports fractional shares. This lets you buy a portion of a stock if one full share is too expensive, making high-priced companies more accessible.

Example: Want to buy $20 worth of a $200 stock? Fractional shares let you buy 0.1 of a share.

Review your order details before submitting. Once executed, you’ll see the stock listed in your portfolio.

5. Track and adjust your portfolio

Your work isn’t done once you’ve made a purchase. Successful investing means monitoring your positions and adjusting over time. Key actions include:

• Set price alerts: Get notified when a stock rises or falls to a certain level
• Use watchlists: Track potential buys or holdings across sectors
• Rebalance: Adjust your portfolio mix if one stock or sector becomes too dominant

You can also add new stocks over time or sell positions based on new goals or changing market outlooks. Our App allows you to monitor performance, set alerts and adjust holdings with ease.

Start investing 

Building a long-term stock strategy

Building a sound stock strategy is about more than picking the right companies – it’s about developing a consistent, thoughtful approach that reflects your goals, risk tolerance and time horizon. A strong strategy helps reduce impulsive decisions and encourages a disciplined investment habit, even during market turbulence.

• Dollar-cost averaging: Invest a fixed amount on a regular schedule. This helps smooth out buying prices over time.
• Reinvesting dividends: Some companies pay dividends. Reinvesting them allows you to compound your holdings.
• Stay the course: Avoid trying to time the market. It’s better to stay invested and adjust gradually.
• Ongoing education: Markets change. Staying informed can help you make better choices. Use the Learn Hub to deepen your understanding.

Many successful investors focus on consistent contributions and long-term positioning rather than trying to predict short-term market movements. Sticking to your plan, even during downturns, is key to weathering volatility and growing your portfolio over time.

Common risks to consider when investing in stocks

All investments come with risk – and stock investing is no exception. Understanding these risks is essential to making informed decisions and protecting your capital.

• Market volatility: Prices can swing due to economic data, interest rates or global events.
• Company-specific risk: Even strong companies can face setbacks, leadership changes or regulatory issues.
• Sector shocks: Entire industries (like energy or banking) can be affected by policy or demand changes.
• Personal financial risk: Never invest more than you can afford to lose. Keep emergency funds separate.
• Timing risk: Trying to buy or sell at the perfect time can lead to missed opportunities or unexpected losses. Even professional investors can’t consistently time the market.
• Emotional bias: Panic-selling during market dips or FOMO-buying during spikes can derail long-term plans.
• Concentration risk: Holding too much in a single stock or sector can expose your portfolio to significant volatility.

Benefits of using Crypto.com to invest in stocks

We offer a user-friendly, secure and low-cost way to begin investing in US stocks. With a focus on accessibility, transparency and convenience, our platform is built to meet the needs of both beginners and experienced investors.

• Zero commission trades: Save on every transaction with commission-free access to thousands of US-listed stocks. This helps keep more of your capital invested and working for you.
• Mobile-first experience: Our App offers a clean, intuitive interface with real-time data order tracking, price alerts and portfolio monitoring – all from your smartphone.
• Fractional shares: Don’t let high share prices hold you back. With fractional share support, you can buy into top-performing companies with as little as a few dollars.
• Robust educational resources: Our integrated Learn Hub helps users understand key concepts, market trends and strategies for making informed investment decisions.
• Global credibility and trust: Crypto.com is trusted by over 140 million people worldwide
• Integrated ecosystem: For users already familiar with crypto, the app allows for seamless crypto-to-stock conversion and portfolio diversification within one platform.
  

Ready to get started?

1. Download the Crypto.com App to access thousands of US stocks.
2. Sign up and buy your first stock – with zero commission.
3. Explore our Learn Hub for stock tips and guides.
4. Enable price alerts to track your favorite stocks in real time.

Foris Capital US LLC (FCUL) is a broker-dealer registered with the U.S. Securities and Exchange Commission (SEC) and a Member of the Financial Industry Regulatory Authority (FINRA) and the Securities Investor Protection Corporation (SIPC). For further information about FCUL, please visit FINRA BrokerCheck.  

FCUL is a subsidiary of Crypto.com. FCUL is a separate entity from Crypto.com, Foris DAX, Inc. and other affiliated Foris companies. FCUL does not engage in the sale, transfer or custody of crypto currencies or digital assets. Crypto.com is a separate entity from FCUL and does not engage in the securities business. Customer balances and crypto holdings held and transacted at Crypto.com and other entities outside of FCUL are not covered by SIPC insurance and are separate from securities transactions and holdings at FCUL.

All investments involve risk and not all risks are suitable for every investor. The value of securities may fluctuate and as a result, clients may lose more than their original investment. The past performance of a security or financial product does not guarantee future results or returns. Keep in mind that while diversification may help spread risk, it does not assure a profit or protect against loss in a down market. There is always the potential of losing money when you invest in securities or other financial products. Investors should consider their investment objectives and risks carefully before investing.

​​This is informational content sponsored by Crypto.com and should not be considered as investment advice.