i have very little money that i have save this year
2007-02-22 07:20:47 · 6 answers · asked by tammys 1 in Business & Finance ➔ Investing
If you have very little money to invest, DONT PICK STOCKS! Instead, invest in the broad market in order to get diversification...meaning, put 100% of your money in something that tracks the S&P500 like ticker symbol SPY.
This will eliminate your diversifiable risk...doing anything other than that will cause you to have MORE risk without the benefit of any extra reward/return.
On average, individual investors GREATLY underperform the general stock market and mutual funds SOMEWHAT underperform the market. Solution? Bet with the house, not against it.
2007-02-22 07:59:45 · answer #1 · answered by mukwonago53149 5 · 1⤊ 0⤋
If you have NO experience or knowledge, you could still invest in a roth ira or a traditional ira. Or you could just put your money in a money market account. Now realize the ira's are for retirement and are long term. Money market accounts are low returns. Now if you just took some time and read some information on various investment topics, you could invest in some other options. Knowledge is key.
2007-02-22 16:59:51 · answer #2 · answered by mike 2 · 0⤊ 0⤋
First invest in knowledge, it all starts in your mind.
Take some courses and do some paper trading before putting your money on the line.
2007-02-22 20:21:17 · answer #3 · answered by Carlos G 3 · 0⤊ 0⤋
read tips on investing , stocks and mutual funds to help you better on this site
2007-02-22 15:42:16 · answer #4 · answered by Anonymous · 0⤊ 0⤋
You might want to consider ETFs, which you can learn about at http://www.valuestockreports.com/021907.htm
2007-02-23 12:34:56 · answer #5 · answered by Anonymous · 0⤊ 0⤋
Zecco.
2007-02-23 03:17:44 · answer #6 · answered by Anonymous · 0⤊ 3⤋