Need to invest to prepare for the future. I am young and dont have a whole lot of money. Whats should I do?

Answer 1

If your employer offers a 401k with matching, sign up right away. If your employer offers a 401k WITHOUT matching shop around for an IRA.

Either way, start a retirement account NOW. Sock away as much as possible each month. Conisider that one of your monthly bills.

Also have a separate savings account where you amass enough money to live off of for about 3 months if you have an emergency.

Answer 2

The first thing you should do is get rid of any debt that you have. Credit cards, student loans, car payments, etc. Focus on paying those off before you begin investing. Once you're debt-free, your income can be one of the most powerful tools you can have in your investing and planning for the future.

If you're debt free (except for a mortgage), then you can start thinking about investing. Look for mutual funds that are aggressive (especially if you're young) that have a little bit higher risk but definitely higher returns.

Mutual funds are great, because it spreads out your investment over a number of investments. That way, if one particular stock goes south, you're cushioned by many others. If you're young, pick an aggressive STOCK fund. The mutual fund companies have people that get paid to watch the stock market and invest your money so that it gets the greatest returns. Most mutual funds make more money than individuals who are investing in individual stocks.

Good luck!

Answer 3

Invest in stocks: You should understand the main reason why you want to spend money buying a particular stock. This step should preclude investing in stock. It allows you to move swiftly as soon as the price of the stock goes down a lot. If you know the main motivation about purchasing a specific stock, you will not hesitate to buy it once the price falls. Stocks purchased on the spur of the moment can be sold as soon as the price goes down.
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Answer 4

You want to invest in mutual funds. You need to keep your money here until you retire. Thus, you should reinvest any dividends or distributions. Look for funds that have no sales loads (extra charges just to invest in a fund). You also want funds that have a low expense ratio (found in prosectus - a book created for incoming investors).

Since you are young, you want to be more risky and invest in equity funds and international. Bond funds should be 50% or less of your total capital.

Answer 5

Buy solid growth companies. Your young and can afford to take some risks. Buy companies that have a history of a high rate of return on equity and hold on. A few years ago Apple stock was less than 10 bucks, today its over 100.

Answer 6

Mutual funds are the best way to invest if you have only a small amount to invest.

For a free downloadable eBook, click on my profile and read my info or email me. It will teach you everything you need to know about retirement investing.

Answer 7

You didn't mention how far into the future here, saving for college, or retirement? The closer you are to what you want to use the money on, the least amount of risk you'll want to put your money in.

Answer 8

You can start by selling drugs and eventually move to pimping
women and use that money to buy a share in the stock market
and create a full time hoe-ski business where all the women
get a paycheck and you become CEO pimp.

Answer 9

Get alot of jobs and save and keep going to school. You really can't make it these days without a good education! Good Luck. I am going through the same thing!!