How safe do you feel it is to invest in the stock market?

Question

http://www.watchtower.org/library/g/2000/10/8a/article_01.htm
Is it Wise to Invest in the Stock Market?

Answer 1

You have to define for yourself what "safe" means. For example, I feel comfortable crossing the street when the stoplight is yellow. Some people feel comfortable running across the street when it just turns red. I've seen people cross when the light is red. They go halfway, wait for the cars to clear, and cross the rest of the way.

The same with stocks. I feel most comfortable putting money I won't need for 10 years away into mutual funds in at least 6 different categories. Some people feel comfortable with individual stocks using money they might need in less than 5 years. Some people take out a home equity loan and do short-term speculating.

So it comes down to:
1) When you'll need the money. Stocks tend to make money over time.
2 How much risk you are willing to take.
3) How you invest the money.

For most people who won't need the money for 10 or more years, who differsify the money in several different kinds of mutual funds, and who use careful and patient methods, there's more risk to not investing in the stock market than to invest wisely.

Answer 2

The market, if you know what you’re doing, is safe. People lose money, because they buy high and sell low. It makes no sense to me.

You wouldn’t be asking this question if your grandparents would’ve invested $1000 dollars back in the 30’s because you’d be busy hammering some fine piece of strange on a yacht somewhere out in the pacific… going through crystal like it was bottled water… all while trying to pick out a color for the maserati your about to buy.

The market WILL make you money, over time…

Answer 3

At the moment, not very good! Rising interest rates, higher oil and gasoline prices are yet to
come! With terrorists threatening another large
attack in the U.S.A. stocks would drop 30% to
50%- that's billions of dollars! Use money market funds or certificates of deposit at this moment for safety. the rule is that "if you worry
about losing lots of money before you go to sleep" you need to change your investment strategy!

Answer 4

It's a good way to make money, but it's probably not going to make you rich. Also, you have to have a substantial amount of money to invest to see any kind of large returns, so it's better to wait until you've got a good job and can afford to LOSE everything you're investing. It sounds like you've got a ways to go yet, it might be better for you to just put your money into a money market fund with a 5% return. It's safe, FDIC insured, and it beats inflation by 3%.

Answer 5

You are always taking a risk in the stock market. Do your re-search and start small. Just invest what you can afford to lose and if you re-search your stocks, you should come ahead!

Answer 6

if you dont know how it works or why it works then nah. if you DO know how it works and why, then yeah. ive made some and lost some on the stockmarket, but so does everyone, and u learn from your mistakes. if u wanna get into this sh*t u need to prepare for capital losses, invest only what u can afford to loose, and read boookksss! and ask people who are hardcore in the game

Answer 7

It depends on how you set up your portfolio. If you pick blue chips and the right timing, you can expect 15-25% annual return easily.

Answer 8

the market's recent plunge, you could move a ... he figured, and keep it safe while waiting ... Long-term stock and bond investments do significantly better ...

Answer 9

It is safer to build up treasures in heaven.

(Matthew 6:19-21) “Stop storing up for yourselves treasures upon the earth, where moth and rust consume, and where thieves break in and steal. Rather, store up for yourselves treasures in heaven, where neither moth nor rust consumes, and where thieves do not break in and steal. For where your treasure is, there your heart will be also.

Answer 10

Very safe. (If you hire me as your Portfolio Manager)

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