What type of stocks should a teenager start to invest in?

Answer 1

You likely lack a couple of things:
a. experience in choosing stocks
b. large funds

Pick a good mutual fund that is of interest to you. Let the professionals do the picking of the exact stocks.

And put more money in each month. You'll be amazed how your fund will grow over the years.

Answer 2

You should think about what industries are going to be important 20 or 30 years from now. Invest in stocks that have some risk, but not too much. My recommendation to you would be Energy Conversion Devices, symbol ENER. I own this stock. They make the batteries that power hybrid cars. They also make solar panels.

If you are looking for more investment ideas, I would suggest http://www.top10traders.com - this is a free site that lets you create a portfolio of stocks with $100,000 in "play" money. Each day the site ranks the best performing portfolios, so you can see how your picks perform compared to other investors. You can also read posts on investing from the best traders, as well as share your own investing ideas.

Here are this month's best traders:

http://www.top10traders.com/Top10Standings.aspx

Hope this helps.

Answer 3

invest in companies you know and use everyday.

One of Warren Buffet’s strategies towards investing has been to view stock ownership as if it were a business. Asking oneself, is this a business you understand and want to own? If the answer is yes, one should initiate the process of investigating the company’s financial situation and growth potential. This fundamental principle of investing is often overlooked by investors hoping to make a quick profit. If after visiting the company’s web site, you still do not understand how the company generates revenue, it is best to stay clear of the stock.

read more at http://ibooyah.com/blog/2006/08/microsoft_corporation_msft_the.html

good luck!

Answer 4

ANYTHING that interests them.

Have them look around and see what is being used everyday by everyone around them. Have the research many companies before jumping in.

Search "direct stock purchase plans" and find out about companies that offer you to buy directly from the company without a broker.

I cannot stress enough, the importance of getting your teens and their friends interested in their financial future!! My son started when he was just 13 and 7 years later he has accumulated more wealth than most 50 year olds ! Get them going NOW !!!

Answer 5

That's a good question. Invest in a company like Coke or Pepsi and look at Proctor and Gamble these company's make products for the every day person. Try drug companies America is getting older and Gas Companies like Exxon, Citgo. Also the big thing in other countries is renewable energy companies not big here in the U.S. So go for it and you can start out with a 25 dollar account and build up your money and have a broker buy it for you. Good Luck