A Begginer's Investment for $1,000 CAD?

Question

Hi,
I got $1,000 in my bank account, and I wish to make an investment on it. I've never done any before; I am only 17 so when I ask things at the bank like this question, they think I am joking. I am hella serious. I wish to learn investing.
I prefer the investment to be just a little bit risky rather than straight stable. MF or stocks or any kind for $1,000.
Also, it would help a lot how I can get the investment.
Thanks!

Answer 1

You have to be 18 to open a account with discount brokers like tradeking.
If you want to do your own research, start reading books, a lot of books, but you have a lot of time. If you want to get into the stock market, i recommend reading "A fool and his money" by John Rothchild. It is an honest opinion of an average investor.
good website: www.investopedia.com

Answer 2

The age limit to open an account in your name is 18, but you can have one of your parents open an account under the uniform gifts to minors law. Scottrade requires $500 minimum. Most mutual funds are at least $2500 minimum. I started at age 16 with $300, so in my opinion at least you are not starting too soon. Back then there were not so many laws to deal with. If you do hanker for a MF there are plenty of closed end funds that are traded like stocks. You can buy as many shares of one of those as you wish.

Before you begin, read "Investing for Dummies". Your library probably has a copy.

Here is a site listing a lot of closed end funds and their performance history. One of my favorites is CHN. Another is GAM.

http://www.etfconnect.com/

Answer 3

Usually you can't begin buying stocks unless you have 8000 - 10000 collateral in the bank. You have to sign up with an online broker and it costs 10 dollars for every transaction.

Answer 4

Most brokerages have a $5K min to start .
For example , check the schwab site & call their toll free numbers , ask if they have student accounts . .
Maybe they have lower requirements for students .

https://www.schwab.com/

http://www.schwab.com/public/schwab/home/get_started/new_investing?cmsid=P-986451&lvl1=home&lvl2=get_started&refid=P-999648&refpid=P-1526933

For education , go to the Yahoo finance investing education link (about 1/2 way down on the left )

http://finance.yahoo.com/

For just a $1K amount , I would open a checking (if that is currently legal for a minor) then link it to ING or CitiBank where you can get 4 to 5% until you get enough to open a brokerage account .

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