Right, this is where all your strengths and skills are chosen.
Ofcourse everyone tends to put every point they have in only a few stats, however this will make you unbalanced, and makes you most likely have problems in certain things lateron.
To make sure you don't suddenly find out you're missing out on things you realy need, you should read every skill before starting to jam points in things you like.
I'd advice to put at least 3 points in every stat. And ofcourse take the skills "Weapons", "Clothings", "Magical Items", "Dodge", "Accuracy" and best is to put one into "Fleeing" aswell.
When you find out you are lacking on someting during the game, put more points into stats that improves those things.
It's also important to note that next to the skills you pick, the stats they belong too also give thier stat bonusses:
Increases the damage you do with your weapons.
Increases your Health and base armor. This also decreases damage taken in battle and the damage from falling and traps.
Heightens your SP, SP regeneration, and damage output with magic.
Heightens the chance to attack first. Increases dodge chance, and the chance to evade traps. Also gives a small chance to retaliate when a creature attacks you by surprise.
Affects your chance to hit things, and land on your feet when you fall. Also raises the chance to land a critical blow, and balances your damage output.