How to Invest in AT&T – Investing in AT&T For Beginners 2021

The Telecom industries probably have the highest number of profitable investment opportunities.  So, suppose you are looking to build a new investment portfolio or diversify an already existing one you must consider investing your funds in the telecom markets. In which case, you must have stumbled upon the name of the telecom giant, AT&T. 

This article will show you how to invest in AT&T and will guide you through other complex details you should know while making the decision. 

#1 Broker to Invest in AT&T – eToro

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How to invest in AT&T – Step-by-Step Guide 2021

Simply follow our below guidelines on how to buy AT&T:

  • Step 1: Register an account with eToro: Go to eToro and click the “Join Now” button. Enter the details required on the registration form.
  • Step 2: pass the KYC verification: To verify your identity on eToro simply provide a valid ID, plus a utility bill or bank statement to confirm your address.
  • Step 3: Deposit funds in your account: After the KYC verification is complete, go to your account’s profile page and click on the “Deposit Funds” button. Input the amount you wish to invest and hit “Deposit”.
  • Step 4: Invest in AT&T: Now that your account is credited, write “AT&T into the site’s search bar and hit the Enter button. On the search result showing AT&T, click on “Trade” and enter the amount you want to invest. Finally, click on “Buy.”

Where to Invest in AT&T – Choose a broker

Selecting an online stock broker may be the most significant decision you will make as an investor. In the following sections, you will find in-depth reviews of the best online brokers you can use to invest in AT&T shares.

1. eToro – The simplest way to invest in AT&T stocks

Launched in 2007, the popular online broker currently provides trading services to over 17 million users. eToro also offers innovative and proprietary trading features that help investors to simplify their investment journey. 

It’s worth mentioning that the UI/UX design is one of the notable features that makes eToro a reputable online broker.

Let’s go over the main features one after the other. 

Customization of Features

eToro structures its platform such that investors can reorganize some of the frequently used functions according to their taste. 

For example, you can set up a personalized watchlist of selected instruments you want to stay abreast of in the market. As if that wasn’t enough, you can always open a new position directly from the watchlist menu. 

Copy-trading 

In trying to bridge the knowledge gap between veteran investors and beginners, eToro introduced the CopyPortfolios tool. 

As the name implies, it is a valuable tool that allows inexperienced investors to copy the investment setups of experts, a process known as Copy-trading. 

A starter with zero exposure to investment principles can leverage this feature to create a consistent passive income stream. 

While copy-trading is presently being offered on most stock exchanges, eToro’s implementation of the concept stands out for a reason: copy-traders have the freedom to diversify their portfolio to different sectors, as opposed to being tied to one specific asset class. 

Security & Privacy

The war against cybercrime is an eternal one. That’s why security must be at the top of your list when dealing with online brokers. Even the scope here is not limited to website security alone. 

You must be sure the platform is in strict compliance with local authorities. That said, eToro operates under the laws and guidelines of the FCA and CySEC. 

Meanwhile, to keep the platform secured against cyber threats, eToro uses SSL encryption to prevent unauthorized access to sensitive information, such as users’ login details. 

Moreover, investors can activate the 2FA access method as an extra security layer, which is especially useful in the event of a compromise. 

Commission/Fees

Investors will also be excited to know that eToro offers all of its services on a commission-free basis. 

That, however, doesn’t mean, if you invest $1000, you can withdraw all $1000 after trading. You may only do so if you didn’t initiate any trade position with the funds. 

eToro makes a profit from the trading costs incurred by investors in the ask/bid spreads of their positions. The same applies to using the copy-trading tool.

eToro Fees 

Fee Type Fee Amount
Deposit Fee $0
Withdrawal Fee $5
Commission Fee $0
Inactivity Fee (charged monthly) $10

Pros

  • Commission-free
  • Minimal trading cost
  • Multi-platform support
  • Regulatory compliance
  • User-friendly interface
  • Copy-trading
  • SSL encryption and 2FA implementation
  • Free educational resources
  • Assets variety

Cons

  • MetaTrader not supported
  • No line drawing tool for charting

67% of retail investor accounts lose money when trading CFDs with this provider.

 

2. Degiro – Cheapest way to invest in AT&T stocks

Established in 2008, DEGIRO has climbed the ranks to emerge as one of many investors’ most preferred online brokers.

The platform presently provides stock investment services to over 600,000 investors, spread across different countries. 

Yet despite being less sophisticated (and less resourceful in terms of investment research data) than other brokers, DEGIRO has continued to retain its relevance after many years. 

Of course, all that is owing to several factors, which we will go through briefly. We will also point out its weak sides so you can decide if DEGIRO will be the best way to invest in AT&T shares. 

Commissions and Fees

DEGIRO allows investors to access its brokerage services at an almost zero-fee cost. 

For income-minded investors, it is vital to keep costs at the lowest level possible to have maximum benefits on their investment gains. 

As of the time of this writing, trading on DEGIRO attracts a service charge of only £1.75 + 0.014% (spreads). The maximum amount is £5.00. 

When compared with the service fees (both commission and spread) of other brokers, DEGIRO’s claim that it charges 80% less might well just be true. 

And as if that wasn’t generous enough, DEGIRO has a list of some selected ETFs that can be traded at a zero cost. 

Platforms and Features

When it comes to user interface and trading tools such as charts, live updates, etc., DEGIRO trails behind some of the more popular names like eToro. 

However, the charting features have improved recently. For example, it is now possible to plot patterns showing price movements with various indicators, line-drawing tools, multiple chart types, and various trade views. 

On the web platform, you will need to open multiple running tabs to access these features. This may not go down well with experienced traders. 

The mobile and desktop applications are similar to the web, aside from adding customization tools like the personalized watchlist called “Favourite” which automatically syncs with the web. 

Security and Privacy

It calms the nerves to know that DEGIRO and its parent bank, flatexDEGIRO Bank AG, are subjected to the German financial watchdog, BaFin. 

The European Central Bank (ECB) also holds indirect supervisory power over the affairs of the platform. 

If that doesn’t still assure you of the safety of your funds, you will be pleased to know that DEGIRO maintains separate custodial accounts for the assets under its care. 

Thus, should an unforeseen catastrophe occur, your funds will be safe. 

However, you might ask, what then happens if DEGIRO fails to fulfill its promise of safeguarding clients? 

The answer is this; DEGIRO’s license by the Netherlands Authority for the Financial Markets (AFM) means that investors will get refunded under the terms and conditions of the Dutch Investor Protection Scheme. 

DEGIRO Fees

Fee Type Fee Amount
Deposit Fee $0
Withdrawal Fee $0
Commission Fee $0
Inactivity Fee $0

 

Pros

  • Cheap trading fee
  • Extensive assets library
  • One month fee-less ETF trading
  • Regulated by top-tier authorities 

Cons

  • Poor user interface
  • Less technical guides

67% of retail investor accounts lose money when trading CFDs with this provider.

 

3. Capital.com – Simplest Way to start buying AT&T stocks

Capital.com review

Founded in 2016, Capital.com’s fast ascension to the top spots on the list of leading online brokers has been nothing short of amazing. 

However, some factors can be quickly pointed out as the secrets behind the platform’s accelerated growth. 

First is Capital.com’s deliberate efforts to make investment knowledge more readily accessible and also provide educational materials that are easily understandable. 

This can raise a higher number of investors than has been seen in the last few decades. 

Aside from that, Capital is one of the best ways to gain access into the international markets, an essential factor for high-ticket investors that might want to diversify into other stocks.

Funds Security and Data Protection

As with most regulation-abiding brokers, Capital only grants access to its asset trading services after a user has passed the KYC verification process. 

This means you will be required to submit some private information. 

However, you should know that Capital derives its data management policies from those of the PCI standard. 

That’s a guarantee that your data will not be shared with third parties. 

Aside from that, Capital is subject to the regulatory supervision of the following bodies: The UK’s FCA, the Cyprus-based CySEC, the Australian Securities and Investments Commission (ASIC), and the National Bank of the Republic Belarus (NBRB).

For UK customers, the FDIC ensures customers’ funds up to the maximum limit of £80k.

Trading Features 

We have already mentioned Capital.com’s rich library of in-depth educational materials covering virtually every area a beginner trader must understand before diving independently into the market. 

Although expert investors may not find resources useful, they will most certainly appreciate the availability of an advanced analytic tool. 

This probably explains Capital.com’s integration of the popular TradingView API, which helps to greatly simplify the cumbersome process of plotting chart patterns in the market.

Capital.com Fees

Fee Type Fee Amount
Deposit Fee $0
Withdrawal Fee $0
Commission Fee $0
Inactivity Fee $0

 

Pros

  • Regulated by top-tier authorities
  • Offers commission-free trading
  • Demo-trading available
  • Intuitive web design
  • SSL encryption applied
  • 2FA two-step login process
  • TradingView integration
  • FDIC premium insurance

Cons

  • Offers only CFDs and stocks trading
  • Operational in less than 10 years, therefore not time-tested

67% of retail investor accounts lose money when trading CFDs with this provider.

Invest in AT&T – Broker Price Comparison 

Here is a side-by-side comparison of the three brokers mentioned above.

 

Broker Deposit Fee Withdrawal Fee Commission Fee Inactivity Fee
eToro $0 $5 $0 $10
Capital.com $0 $0 $0 $0
DEGIRO $0 $0 $0 $0

What are the different ways to invest in AT&T?

There are three ways you can invest in AT$T stocks. 

Familiarizing yourself with these types of investments will help you strategize and achieve your investment goals faster. 

We have laid out the full details in the simplest form below. Hence, you don’t have to worry over the confusing financial terminologies often associated with these concepts. 

However, it’s worth adding that while we have done a thorough job of breaking them down into simpler terms, the technical aspects can be overwhelming, especially for new investors. 

Hence, you will need to make sure you select a broker that can provide immediate technical support if you get stuck somewhere. 

That said, here are the three ways you can invest in AT&T.

Invest directly in AT&T stocks

Stocks are one of the popular ways investors can use when betting their funds on AT&T. The trading processes very much mirror the standard version of buying and selling. Therefore, it requires minimal technical know-how.

Also, when an investor buys a company’s stock, they automatically own a fraction of its assets. This means, adding AT&T shares to your portfolio confers ownership of a part of the company to you.

There are perks of benefits to this too. One of which is dividends, a form of passive income paid into your account quarterly or annually.

These payments are generated from the company’s profits. 

Aside from dividends, stocks also accord voting rights to the holder. As an investor invested in AT&T, you get to influence some key decisions from the board meetings. The voting power is usually linked to the number of shares you’ve purchased. 

Invest indirectly in AT&T through CFDs (Contract for Difference)

CFD is a general term that describes the different ways investors can stake their funds on a company’s assets without owning the assets. 

It includes the following forms of trading: forex, index, equity, commodity, and crypto. 

Few things must be said here quickly. One, CFD is a way of making a speculative investment. Thus, rather than owning shares of the company, you will merely speculate on its shares price. This also means you won’t be receiving dividends benefits. 

Investing in an AT&T CFD comes with higher risks of liquidation. However, it offers higher rewards than stocks, and profits can be realized within shorter time frames (a day or two) than stocks (weeks or months). 

Invest in AT&T by an ETF (Exchange-Traded Fund)

This is the third way of investing in AT&T. The principle behind an ETF is to use collective efforts to invest in a variety of stock assets at once. 

In other words, by using the ETF method, you are investing not only in AT&T alone but also in a portfolio of companies automatically. 

A funds manager is usually hired to monitor and tweak the ETFs to maximize profits and reduce losses. 

You may also receive dividends payments. 

What are the best ways to invest in AT&T?

In the previous section, you understood the three different ways you can invest in AT&T. 

To understand which will suit you the most, we also tried to analyze the benefits attached. 

However, remember that the final decision ultimately rests on your personal needs, trade strategy, and investment duration. 

Pros/cons of investing in AT&T stocks

If you invest in AT&T stocks, you will be betting on the company’s ability to perform excellently above its competitors. 

However, the main icing on the cake that comes with buying a stock is the passive income opportunity it offers. 

That being said, if the company records a lousy performance in a year, you will be most likely left with a depreciated account.

Pros/cons of investing in AT&T CFD

Most often, investments in stocks never translate to meaningful profits unless they are kept for the long term. 

That might not be suitable for you. Hence, investing in a CFD may be the best option for you. 

However, be reminded that though there is a greater chance of earning huge returns, the risk is on an equally higher level. 

Pros/cons of Investing in AT&T ETF

An ETF combines elements of CFDs and direct stocks trading. As with an ETF, you are not going to invest directly in a specific company’s assets. 

However, unlike an ETF, this comes with a reduced risk level.  

Then again, in similarity to stock trading, an ETF combines stocks of different companies under a single pool such that if one underperforms, the other stocks in the fund will cancel out the depreciating effect. 

However, before investing in an ETF, be sure to determine what percentage of the funds is made up of AT&T stocks. 

Is AT&T a Good Investment?  

In 2020, due to the bearish impact of the coronavirus pandemic, AT&T shares plunged 26% from the initial high. 

Despite that, the company still managed to close the year with revenue of over $172bn. 

So far, in 2021, the stock has retracted by over 30% and has maintained a 7.5% annual dividend yield. This is something investors can benefit from right now. 

Diversifying into other markets

Although it remains one of the leading mobile services providers globally, AT&T recently made forays into other sectors and is the owner of WernerMedia (which reportedly accumulated $30bn revenue in 2020). 

With this move, AT&T shareholders will be able to earn revenue from two sectors – the Telco and Entertainment industry.

Telecom Industry, a Safe-haven

Perhaps, however, the brighter side about investing in AT&T lies in it being one of the most sought-after stocks in the telecom industry. 

Moreover, stocks from the telecommunications sector tend to exhibit stronger stability during periods of intense market volatility, thus appealing to most investors as safe-havens. 

That’s because telecom services have become an increasingly important aspect of everyday life. 

Investing in AT&T – What are the Risks

AT&T has posted a strong performance in 2021, with projected year-to-date revenue hitting $88bn. 

However, the company’s mountain of outstanding debts is estimated to be somewhere around $180bn, a problem of serious concern among analysts. 

However, if the company can retain its new growth momentum under the current leadership of CEO John Stankey, then there is a strong reason to believe that AT&T is worth investing in this year. 

How to invest in AT&T with eToro

Thus far, we have, among other things, highlighted why you need to identify a broker as the first step to investing in AT&T. 

However, it’s not constantly navigating these platforms. That’s why we have compiled the below comprehensive guide to start your AT&T investment journey easily. 

Step 1: Register an account with eToro

First, go to your browser’s search bar and type “eToro.com.” This will auto-direct you to the broker’s homepage. Then, tap on the “Join Now” button and enter the details required on the registration form. 

Step 2: pass the KYC verification.

In compliance with regulation, eToro requires every investor to go through its identity verification process. 

First, you will need digitally scanned copies of your IDs (driving license, national ID, or passport). 

Then, for the proof of address, a utility bill or bank statement will work just fine. 

Step 3: Deposit funds in your account

After the KYC verification is complete, go to your account’s profile page and click on the “Deposit Funds” button. Next, input the amount you wish to invest and hit “Deposit.” 

Step 4: Invest in AT&T

Now that your account is credited, write “AT&T into the site’s search bar and hit the Enter button. On the search result showing AT&T, click on “Trade” and enter the investment amount. Finally, click on “Buy”. 

Conclusion

So far in this article, we have covered all you need to know about investing in AT&T stocks. We also included a non-biased review of the best brokers you can use to invest in AT&T. However when it comes to ease of use, extensive features, and security, our recommended pick is eToro. 

#1 Broker to Invest in AT&T – eToro

1
$50Exclusive promotion
Our score10
  • Buy over 800 stocks with 0% commission
  • Social trading network
  • Copy over 12 million traders and investors
0% Commissionstart TradingOur score 10

FAQs

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About Shrey Jain PRO INVESTOR

Shrey Jain is a Chartered Accountant who holds a forte in creating informative content on niches like Blockchain, crypto, business, and fintech. He is also a contributor on Benzinga, Hackernoon, Publish0x, and Seeking Alpha. He can help readers get valuable insights on varied topics.