How do you know when and where to invest your money?

Question

I've never invested money before and I'm wondering is there anything out there that can help me with it. Is there like a software which is connected to the stock market and is constantly updated that tells you when you should invest and what you should invest in?

Answer 1

There is no sure thing in investing. You have to thouroughly research a company before buying shares, and there is no guarantee that the shares will rise. Even the experts cannot predict how the market will go. If you want to invest personally, try to pick good solid companies to buy, and then hold them for the long term, collecting the dividends. If you are not confident, invest in managed funds with a reputable managed fund company. It is sometimes helpful to get advise from a financial adviser

Answer 2

The first thing you need to do is define investing. It's not just money that must go up, but real worth. For instance you couple have invested $1,000 in 1970 and had $3,000 today. After taxes and inflation, you couldn't buy now what you could have if you spent that $1,000 in 1970.

Right now anything over 7% a year is an investment. 7% is a wash and anything under 7% is a loss of real worth.

That doesn't leave you with much choices. Right now your choices are stocks and commodities. Commodities can require a lot of money so now you are down to stocks.

Now you have to define investing. Technically anything under 120 days is not investing. If you want to play stocks under the 120 days, go to barchart.com and click signals. That will give you technicals on buys, holds and sells.

If you want to invest for longer periods, there are basically three rules. Buy with what you know (like the company that makes your favorite coffee), buy for the future (what will still be popular when you sell such as utilities and energy companies), and buy into companies that are growing or holding their value.

Answer 3

There are companies that will do this for you. As far a a software I have not heard of one yet but that is way risky. Your best bet would be to find someone you can copy who is already investing and doing well. If you do not know anyone. I would recommend looking into a company who has a good track record of success. you can check out oneyearplan.net/jspaulding There you will find some information on a company who has an investment alliance with companies who have a 25 year great track record.