You can start with DRIP's, known as Direct investment plans. Most of the major companies offer them. The dividends are reinvested automatically and the fees are small or none at all. You will need to contact the company to see if its being offered or goto http://www.dripcentral.com/ for more detail on other companies.
2006-12-23 18:21:02
·
answer #1
·
answered by Tom C 2
·
0⤊
0⤋
Hi, I'm Sean Toh from Singapore. It's great that you have opened an account. Now, investing take lots of proactive steps in you participating in it or else you will start losing money.
You can start investing by hiring a financial planner to help you. Or you can pick up a book on trading and experiment online on the internet and start investing. Before you can do all the suggestions above, you have to go through a period of learning from books, courses, seminars or from mentors and practice what you learn in reality. Actually, investing in small amount and you feel comfortable and confident about it before you invest even more.
Here are a few things you need to ask yourself before you throw that money into it and lose them.
1. What is your investment objective?
Are you investing to get some money for holiday? Are you investing to prepare for your retirement? Are you investing to prepare for your child education college funds? ...... You see everybody will answer it very differently because everyone needs are different. Only you know best.
2. What time period do you have for you to get the return?
If you have longer time period like 30 years, you can increase your stake of your investemnt risks. This will let you make decisions as to what kind of instruments to pick for your investment? With long time horizon, you can afford to put more money in stocks as you can tolerate the fluctuations.
If you have a short time period for this investment like 2 years, you can park your money in cash desposit to mature on the date where you will earn some interest based on the principal sum you put it. Do remember, you have short time horizon, the instruments you picked have to be conservative because you do not have time to stand the drops or fluctuations.
3. What is your risk factor scale?
You have to sit down and ask yourself what kind of person you are. Are you going to lose sleep over an investment? If 'Yes', the instruments you pick should be more conservative.
4. Are you investing all your money that you have?
You can't throw all your money into an investment as emergency can happen. Do have some emergency fund for unexpected circumstances.
5. Do you have a financial roadmap to guide you in your investment? In order to get out of a jungle, you need a map, compass and navigation skills to get you to your destination. Do you have a plan or map for your investment? If not, sit down and draw a plan.
6. Do you understand the operating mechanism of instruments the that you are investing in ?
If you do not understand, you are going to lose your sleep because everytime there is a drop, you will fear horribly. You do not have the adequate financial education to invest. I would suggest you leave the money untouched in your bank account rather than to lose it.
There are still lots to learn in investing. Taking responsible proactive actions to eduacate yourself will help you achieve your investment objective. For more resources, click the links below.
Yours Sincerely
Sean Toh
Author of Four Steps To Financial Freedom
2006-12-23 21:21:22
·
answer #2
·
answered by Anonymous
·
0⤊
1⤋
Hi, i suggest a great site with plenty of Issues related to your Investing and everything around it. it also provide clear and accurate answer to many common questions.
I am sure that you can get your answers in this website.
http://investing.sitesled.com/
Merry Xmas , Happy NewYear !!!
2006-12-24 22:57:33
·
answer #3
·
answered by Anonymous
·
0⤊
0⤋