I'm trying to put money each week aside so I save. But in doing this I looked around and saw something called DRIPs. What is the best way I can invest $25 a week, and is there a better way to invest $25 a week? Any websites that I can use would help to. I am new at thius and just need to start saving and trying to make my money work for me. Any help or guidence would be great. I don't have a lump some of cash either. Remeber to list the best web sites to buy through. And I do plan on doing this for a long time. Not a short term thing but I would be open for them.
Thanks everyone
2006-10-17 13:56:46 · 6 answers · asked by jr_footballpro 2 in Business & Finance ➔ Investing
to play it safe and definitely collect interest i would do to things one is a regular savings account you can add special request to them they have different types ask your bank about what they have or shop the competitors to see who will benefit you more, also check in to Cd's I'm not quite sure what they are but i heard that some cashes them in every year for a lump sum of money this is great way to collect and reinvest your money wisely instead of things like playing the stock market. But what ever you chose play it safe that's what makes smart money big money.
2006-10-17 14:25:29 · answer #1 · answered by bigmannyphantom 2 · 0⤊ 0⤋
You've got a tough question because you're not really playing with a lot of money, at least not at first.
I would avoid DRIPs because pouring all your money into a single company is VERY risky, and is generally accepted to be a bad idea.
You're better off with a mutual fund, but most mutual funds require a minimum initial investment of between $1000 and $3000.
So that leaves you with two options (assuming you're not able to pony up the grand or so.) One is you could open a high-yield savings account with INGdirect (www.ingdirect.com) or something similar until you have the minimum investment.
Or you could go with a brokerage like Sharebuilder (www.sharebuilder.com) that has low commissions ($4), and just make stock purchases when you accumulate $100 or so. If you go this route, check out the ETFs, which have all the benefits of a mutual fund without the hassle.
2006-10-17 21:53:51 · answer #2 · answered by mrmatt1476 3 · 0⤊ 0⤋
ns&i are a good long term investment company to go with & they guarantee that you'll get your money when you finally come to reap your rewards.
hsbc also have a good mini cash isa which is more short term; if you put in 3000 pounds then of course you'll have that to spend once your investment is done and you'll make at least £350 a year each year that balance is in the account. & since 3000 is the maximum you can have in any account & you can only open 1 minicash isa a year, it's flexible & designed to suit your needs.
2006-10-17 21:12:37 · answer #3 · answered by Anonymous · 1⤊ 0⤋
If you invest $25 a week from age 25 to 65 in mutual funds, you will have over $1 million dollars at retirement. (your input would be $52,000)
2006-10-17 22:21:29 · answer #4 · answered by normobrian 6 · 0⤊ 0⤋
Here is an excellent site to look at for more info:
http://dripinvesting.org/
2006-10-17 20:58:27 · answer #5 · answered by shakopcool 3 · 1⤊ 0⤋
how about in my pocket?
2006-10-17 21:06:40 · answer #6 · answered by Anonymous · 0⤊ 4⤋