Investing in Shell
Such is the case of Royal Dutch Shell, which has affected the price of its shares, however, this may be the best opportunity to invest in this company. So we want to show you everything you need to invest in Shell in the safest way possible.
What is Shell?
Shell, also known as Royal Dutch Shell, is one of the largest multinational companies today. Its economic activity is focused on the extraction of oil and natural gas, but also on the refining of gasoline. It has become one of the largest in its sector and was recognized in 2009 as the company with the highest revenues.This company arose from the merger of the Royal Dutch Petroleum Company and the Shell Transport and Trading Company. They merged and in 2004 emerged with a single capital structure called Royal Dutch Shell. Its headquarters are located in The Hague, The Netherlands. Since then, it has managed to expand and establish itself in the world market.However, like all companies operating in this market, it has been involved in numerous problems and controversies. Most of them are due to the enormous amount of carbon dioxide that this type of industry tends to produce.In addition to working with all elements related to crude oil, gas and petroleum products, they have also been moving into the electric energy branch. Currently, they offer liquefied petroleum gas, natural gas, gasoline, diesel and an enormous variety of derivative products to the market.
One of the most important reasons to buy Shell shares is its positioning in the industry as one of the best. Although its share prices have been severely depressed due to the existing pandemic, being one of the largest companies in the world, guarantees that in the long term its shares will increase profitably.Considering this important aspect, we can deduce that the current moment is the ideal time to make the decision to invest in this industry. However, we must keep in mind that the results will begin to show in the long term.Buying Shell shares: AdvantagesWhen we wish to invest in Shell we can appreciate certain advantages that will allow us to obtain guaranteed profits. Although the stock market is so unpredictable and changeable, these advantages give us certain confidence.
- As it is considered one of the four largest companies in the oil sector and is so well established internationally, they guarantee that after the current crisis it will be one of the main companies to emerge from the current crisis.
- The strategy implemented by this company has allowed it to maintain an enviable financial growth since its inception. This is thanks to the expansion and diversification of its activities.
- The company’s commitment to development and innovation allows it to propose solutions with the future in mind. Staying at the forefront and trying to surpass its competitors by far.
- Shell is in charge of almost the entire process of exploitation and commercialization of its products. This aspect allows it to reduce costs
Buying shares in Shell: DisadvantagesAlthough Royal Dutch Shell is one of the largest companies in the market, it does not escape from the disadvantages that can affect its value in the stock market. In this sense, we can present the following disadvantages that are important to take into account before investing.
- Due to the Covid-19 pandemic, we cannot expect to achieve positive results from our investment in the short or medium term.
- Being one of the largest producers of carbon dioxide decreases greatly affects its reputation. In this sense, your sales and revenues may be affected.
Whether you are a beginner or an experienced trader, the best method is through online brokers. On the web we can find a huge variety, however, it is important to choose one that is properly regulated and certified. In this way we can entrust our money to that platform with peace of mind.In this sense, we can recommend eToro, which is one of the safest and best rated. It has more than 10 years of experience in which it has provided its service to millions of investors. It offers all its services free of charge and in a professional manner.The operation of this platform is really simple, both for the registration process and to invest in it. When we choose the company in which we want to invest, we will be presented with a graph with its recent evolution. This will allow us to plan our investment strategy in the best way.It even has a method of use called CopyTrading, with which we can emulate, either manually or automatically, the behavior of the best investors. In this way we can increase our chances of profiting by following in the footsteps of an expert.Another viable option to invest in Shell is through the IQ Option platform. In this trading website it is only necessary to make a minimum deposit of 10 euros, which makes it accessible to most investors. After registering we can have access to investment documentation, really useful to learn new strategies.
It is important to make sure that the money we want to invest in Shell will not be needed soon. This is due to the fact that the growth of the value of this company’s shares is estimated for the long term. In this sense, it is necessary to keep an eye on all the news regarding this company in order to know when it is the right time to withdraw our investment.On the other hand, Royal Dutch Shell is developing new technologies that will allow it to reduce carbon dioxide emissions. This would increase its reliability and permanence in the international market.