what is the best way to invest $2000 ? (U.S.)?

Answer 1

Depends on your economic situation. Do you have other investments already? Do you have debts?

If you still have debts, first try to pay these off with it especially if you have them in Credit Card form.

If you don't have any savings, economic advisors usually say to save at least 3 months of income in cash form that it guaranteed and easily accesible. This means leaving it in a bank or cashable CD. I'd suggest going with one of the many banks that offer the free internet savings accounts that pay 5% that are available from Citibank, ING direct, ICICI, HSBC, etc. MANY to choose from.

If you have established some savings, then you should consider higher risk items or wealth building assets. This includes stocks, bonds, land, commodities etc. If you want to stay on the safer side, I'd invest in either bonds, mutual funds, or big blue chip stocks so that you probably won't lose any value and still gain high growth. Although everyone is right now still in the property and land investment hype. DON'T! Right now is a bubble market, and if the economic downturn that the Federal Reserve comes true, you probably will lose a lot of money for the first few years and maybe for longer. The last one in the 70's 80's lasted more than 10 years before values started recooperating. If you do want to invest in real estate or land, I'd suggest waiting out at least a year for the land prices to tank. Then you can buy it at a cheaper price. Besides, you won't be able to buy much with $2000 anyway.

If you are an economic novice, probably start with a mutual fund. That way, you avoid risk, have a diversified investment, and have professionals look after your money. But make sure not to cash in early. The fees would eat away any gain you have earned. At least have it in for 5 years minimum if not more.

Answer 2

Assuming you mean "in the stock market" then I would put it in one of the stock indexes. AMEX, NASDAQ, etc.. The beauty of that is that they are, in a sense, already diversified which is hard to do with only $2000.

You could also look into a Mutual Fund or a host of other vehicles.

And consider taking some of that money and paying a financial consultant to help you. It could be money very well spent.

Answer 3

I like Vanguard's Index 500. A no-load mutual fund that has enough companies included that you won't have any surprises. It won't outperform the market as a whole since it is representative of the market as a whole, but you also won't risk it going belly-up or anything. Individual stocks make me too nervous! And (assuming you are a US citizen) you could always put the money in a Roth IRA if it is for retirement and then it can grow tax-free!

Answer 4

Best way to invest 2000

1.Buy and sell any item thats in deamand and double,triple your money

2. Put money in shares (Risky)

3. Can bet on sports game etc

4. Start small business online

5. Get some family memebers to put in some money equivilant to 2000 dollars and invest in a small business

Answer 5

Honestly I like gold right now...the real estate market could crash in the coming years, and that could very well tank the economy and send the US into deep recession...The stock markets around the world would plumet................

Where do people go to invest when the S*%$ hits the fan?

GOLD....it has been appreciating nicely recently...I invest in it through a fund that tracks the market price of gold it is listed as "GLD" you can trade it with any online stockbroker.

Answer 6

Money market fund is the least riskiest. Sometimes some online broker accounts offer to automatically enroll your money that hasn't been used for the stock exchange into a money market fund. You earn about 5% every quarter. Options Xpress is an account that does this. I have .06 to my name in that account currently. But before, I earned more on the money market fund than I did through the actual exchange itself.

Answer 7

Put it in an IRA. You may be eligible for a tax deduction for the deposit and then the earnings are tax free.

As far as what investment in the IRA, I'd go for a balanced mutual fund (one that invests in a balance of stocks and bonds).

Answer 8

buy land

you will need another $500 to go there and stay awhile and food

also like $100 a year for taxes

Northern Maine or New Hampshire, get like 2 acres at least, look for Southern exposure, some water at least sometimes, no swamps though,

Answer 9

Depends on long term or short term. Long term you should put it on a constant value increase such as a certificate of deposit or treasury bond. Short term you should try stock start-ups, just be ready to lose if it don't work.

Answer 10

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