i want to do it over the interntet, please explain
2006-12-21 04:48:42 · 8 answers · asked by Gonzz 2 in Business & Finance ➔ Investing
Use a mutual fund to spread the risk. Purchasing individual stocks is like taking the money to Las Vegas and hoping your number comes up.
Learn what you are doing before doing it. Some mutual funds take a commission up front. That is called a "Load". Some funds do not. That is called "Unloaded" I refer unloaded funds as that puts ALL your money to work.
Anything you invest into the stockmarket should be money that you plan not to touch for 5 years or more. Do NOT try your hand at day trading with real money.
There are others, but Morningstar and the Motley Fool web sites are a great place to start.
2006-12-21 04:58:49 · answer #1 · answered by Jeff H 5 · 0⤊ 0⤋
I would look into opening an account with sharebuilder.com. They offer you the ability to buy over time with stock commissions as low as $4. The internet broker like etrade etc. have higher commissions and trust me when the market turns south those brokers are the first to start charging quarterly fees for accounts under 25k. Specifically, if you won't need the money right away you should think about opening a Roth IRA through them. For 2006 you can contribute 4k and your money grows tax free. This is just a broad brush stroke, should you want additional information or have additional questions feel free and ask. Good luck!!
2006-12-21 12:56:28 · answer #2 · answered by Steve S 2 · 1⤊ 0⤋
Assuming that you will need access to the money sooner rather than later I would look at a money market account or a short term CD.
If this is the beginning of building an investment portfolio for the long term I would suggest that you look at a good mutual fund. A mutual fund rather than individual stocks because a fund spreads your risk among stocks of many companies.
Rather than getting into a discussion of investment management I would also recommend that you look at a good balanced fund. If you go to Vanguard.com under personal investors you will find a listing of balanced funds under the heading funds by asset class. The star fund is a good one to start with.
After you get set up I recommend that you find some books on investing so that you learn enough so that you won't be taken by advisers who are out for themselves rather than their clients.
2006-12-21 13:33:13 · answer #3 · answered by waggy_33 6 · 0⤊ 0⤋
The best way for you to invest 2k is to buy a good mutual fund. PENNX falls into that catagory. Go to Royce Funds web site and down load the necessary documents. They also have other great funds.
With a mutual fund you get diversity of investments with very little cash. There is much less risk of you getting taken to the clearners.
2006-12-21 15:15:07 · answer #4 · answered by Anonymous · 0⤊ 0⤋
You could use Scottrade (www.scottrade.com). You basically set-up an account (I think the minimum to open is $500). Then, you can buy stocks with the money in the account and each stock transaction (regardless of the # of shares you buy or sell) costs $7. There are no other fees ever. It is all online.
2006-12-21 12:53:29 · answer #5 · answered by siegrisj 2 · 0⤊ 0⤋
Open a Roth IRA with any number of investment firms out there.
You can choose where/what to invest it in.
2006-12-21 12:58:02 · answer #6 · answered by Anonymous · 0⤊ 0⤋
Buy a diversified basket of stocks at folioFN.com.
2006-12-21 12:56:37 · answer #7 · answered by BowtiePasta 6 · 0⤊ 1⤋
Don't do it. Save more $$ before you invest.
2006-12-21 12:50:29 · answer #8 · answered by Vincent K 2 · 0⤊ 1⤋