I would like to invest about two thousand to three thousand dollars in stocks. What stocks are pretty safe and productive?
2006-10-10 07:04:39 · 6 answers · asked by lauriecherie 3 in Business & Finance ➔ Investing
I would check out Exchange Traded Funds. http://ETF-World.Org/ has some good info.
2006-10-10 07:47:24 · answer #1 · answered by phx_oil 2 · 0⤊ 0⤋
2-3 thousand dollars huh?
Okay, if you want a safe investment I suggest purhasing shares in a mutual fund. Mutual funds are a great way to diversify your portfolio and reduce risk.
Mutual funds are made up of several different companeis. If one company fails or it's stock performs badly, you will still have a vested interest in several other companies.
My favorite way to diversiy is QQQQ. (QQQQ is a stock symbol, type it into a search engine like Google and it will return a performance chart.) It's performance is tied to the success of the economy at large.
Remember to do your research and become familiar with market terminology. A good place to get started is your the business section of your local newspaper.
Or, take the digital route:
http://investopedia.com
http://investingsensei.blogspot.com
http://barchat.com
http://finance.yahoo.com
http://cnn.com/money
Here are URLS to some popular Online Brokerages
http://sharebuilder.com
http://scottrade.com
http://etrade.com
Graciously
The Investing Sensei
http://www.investingsensei.blogspot.com
If you have any other questions, comments, or concerns you can contact me at:
My Site: http://investingsensei.blogspot.com
Email: investingsensei@yahoo.com
2006-10-11 14:31:14 · answer #2 · answered by Johnny B 2 · 0⤊ 0⤋
A few questions to help you get started.
1. When do you what to get your return? That is to ask yourself what is your investment time horizon?
Short time horizon - trading
Long time horizon - investing
2. Are you a high risk, medium risk or low risk taker? This will help you to decide what kinds of investment instruments.
Stock can be high risk if you buy penny stock. Stock can be medium risk if buy blue chips stocks.
Mutual Funds by itself is a diversified instrument but it can be high risk too if the fund is invested in certain sector of the industries. If the funds is invested worldwide, the fund can be medium risk or low risk
What is the rate of return are you trying to achieve? Your return will help you determined the instruments to use. There is a lots more to decide before you invest your hard earned money. Educate yourself first before investing. Below are some free resources for your decision making.
Yours Sincerely
Sean Toh
2006-10-10 19:42:43 · answer #3 · answered by Anonymous · 0⤊ 0⤋
It depends on your time horizon and your age. If you are young you may want to be a bit more adventure with your cash. If your time horizon is 20 years you could consider tech stocks. The went down a lot in 2000 but are now slowly going up in value. So now may be a good time to jump on the band wagon. If your time horizon is on 5 years then probable good bet would be to go for well know stock. Wall Mart (everyone has to eat)
Regards
Felix
2006-10-10 08:18:34 · answer #4 · answered by Felix 1 · 0⤊ 0⤋
Mutual funds are the safest. Lower money makers, but much more safe. Go for it!! Good luck!!
Chow!!
2006-10-10 07:13:55 · answer #5 · answered by No one 7 · 0⤊ 0⤋
Download this free financial software
http://www.lsefinance.blogspot.com
2006-10-10 07:06:48 · answer #6 · answered by Anonymous · 0⤊ 0⤋