I want to start making my money work for me.?

Question

I want to start making my money work for me. I'm 19 year old and want to start investing. Which way should i go? Mutual funds? Roth? Stocks? Also i only have about $2000 to play with. Any help is appreciated.

Answer 1

Take action NOW. This is all you need to know.

http://www.vanguard.com

Open a Roth IRA.
Put the $2,000 into VFINX (S&P 500 Index Fund)
Sign up for automatic checking account small withdrawals

Once you have done the above, then you will have plenty of opportunity to evaluate all the world of investments. YOU DO NOT need further research at this time.

DO IT NOW!

Answer 2

Stocks are a big risk. I have 2 Roth IRA's that are mutual funds (one's aggresssive and the other conservative). With a mutual fund, you invest in a number of stocks so your profits or losses vary. That would be the best way to go until you do more research on investing. Also consider a CD or money market. The interest isn't that great, but it's better than a regular savings account.

Answer 3

Contact any financial manager (ex: UBS, Merril-Lynch, etc.) and tell them you want to start investing. Most companies require a minimum account balance, and with 2k you are knocking on the door. If you want to invest for retirement DO A ROTH IRA! Within this account you can do practically anything (mutuals, stocks, etc.). The best part is you do not pay any capital gains tax when you withdraw it (the target time is 59.5 years old and you will pay a penalty for reaching in early). The max amount you can put in the account is 4k a year, and for good reason. With compound interest your 4k investment at age 19 would be arround 25000 when you are 60, with around 5% growth. The best part is that you get to talk with an advisor who will pick a plan right for you! Avoid banks like Chase, Bank of America, etc because they won't give you the same service. Im twenty and just started my IRA this year. My only regret will be that I didnt start it when I was younger. For every missed year it means a lot less money. Hope this helps, and good luck.

Answer 4

I would say go with stocks since you are so young. They are more risky but the returns can be a lot higher than mutual funds or any other funds. You are young and you have plenty enough time to take a little risk with stocks. Send me an email and I'll send you an e-book on how to invest in stocks.

Answer 5

Use your $2000 to start a small business. What is your passion, hobbies, what makes you tick? Know it? Find a way to connect with others who share your passion and make money doing it.

When you start making money give 10% of it to your church or charity. 10% into Conservative Mutual Funds, 5% into aggressive mutual funds. Reinvest 25% into marketing your business.

Avoid taking an income until you have hired an accounting firm to work on projections and business financial plan with you.

Answer 6

You can put money in Mutual funds. T.Rowe Price is a good fund. I read the food "Mutual Funds for Dummies." It helped me to set up a portfolio and invest.

Good Luck!

Answer 7

Well Congrats on starting so young. You have received some good answers to a point but first you need to look at what your risk factor is, in other words what are you trying to gain from your investments? Are you seeking immediate reward or something more long term? Basically depending on what you are trying to achieve there are many good investments from the ones already listed to forex market to R.E. If you have any more questions email me at [e-mail]

Answer 8

Attaincapital.com Period.**** Mutual funds.**** stocks. Those are for people who want big capitalistic pig corporations to charge them large fees and tiny returns.

Answer 9

mutual funds would b better