Im 21 years old, this is alot of money to me, but i want to invest it and I know I cant leave it laying around. What stocks or bonds would be valuable for me and my future?
2007-10-01 14:12:45 · 17 answers · asked by paleofilms 1 in Business & Finance ➔ Investing
Buy some stock in a local community bank.
2007-10-01 14:15:28 · answer #1 · answered by Daniel T 5 · 0⤊ 0⤋
I applaud you in wanting to put your money to work. However, to answer your question in a responsible manner would require you to answer a number of questions. For instance, are you currently carrying any consumber debt; what’s your time horizon for your investment; can you afford to lose any of your money; what are your goals for the $1,500; will your initial $1,500 be the start of a more regular investment plan?
Perhaps you already have the answers to these questions or perhaps not. Whatever the case may be, answering the questions noted above as well as others will help you get started in determining an investment strategy. Ultimately if you discover that you have a short time horizon or fear losing your money, you may determine that it’s best to pay off some debt or buy a bank CD or savings account. On the other hands, if your time horizon is long; your risk tolerance is somewhat high; and you are debt free, you might consider a simple index fund.
The bottom line to investing is not so much what you invest in but why you are investing. Just to be clear, the “what” is important, but so too is the “why,” for it will ultimately help you determined time horizon, which should better help you determine what investment strategy to pursue.
p.s. if you do have debts that total well above $1,500, consider paying off a portion of your debt ($500) and maintaining the rest as “rainy-day” money.
Best.
2007-10-01 15:37:46 · answer #2 · answered by Anonymous · 1⤊ 0⤋
Can you leave this money and not touch it for the next 40 years. If the answer is yes then open a Roth IRA.
If you can leave the money for 5yrs or better but not 40 years invest it in a stock mutual fund. You will pay taxes and capital gains but it will still be better than a bank account or money market and you will have access to the money w/o penalities. No one can guarantee you success but you stand a fair chance of earning more than in in money market.
If you feel you may use the money within the next 5 years put it into a money market. Investing is long term. Another name for short term investing is called gambling. If this is a lot of money to you then please do as I say.
2007-10-04 09:32:11 · answer #3 · answered by Richard Jackel 3 · 0⤊ 0⤋
As the prices of mutual funds change daily, finding the best performing funds can be quite tricky. In case of normal stocks and securities, you often track the prices. But for the mutual funds, it is better to conduct research to decide which investment company is administering the fund and the specific securities held by the mutual fund.
Selecting a mutual fund administered by an investment company with good record of selecting attractive investments is a right sign that buying the fund is a smart move and securities held by the fund have been steady performers that can increase stability and security of a risky investment.
http://debts-to-wealth.com/category/Guide-to-Mutual-Funds.html
2007-10-02 05:02:47 · answer #4 · answered by biskio 2 · 0⤊ 0⤋
If you would spend the money in education, that would be a sunk cost. You need to learn how to invest. I would recommend joining the NAIC and investigating DRIP's. These are purchase direct fund that you can get direct from companies (typically with no broker fee). As you learn and build more capital, you can venture into a low cost online trading account.. Recommend you learn first and not buy on margin untilyou have had some experience..
2007-10-01 17:17:13 · answer #5 · answered by nucleusone 2 · 0⤊ 0⤋
I would suggest putting it into a high rate CD or money market or even a savings account. The stock market is risky. With the choices I gave you above, you gain money with no chance of losing it. You should check with the bank just to make sure how much they insure.
2007-10-01 14:20:10 · answer #6 · answered by ? 4 · 2⤊ 0⤋
AVOID THE STOCK MARKET!!!! the stock market right now is horrible, your best bet would be to see if a local bank is offering a high interest checking account. you'll have to complete a certain number of transactions but you can just take from your spending money and put it back in. i have a checking account that makes 15%. way better than anything the stock market is doing right now.
2016-04-06 23:30:43 · answer #7 · answered by Anonymous · 0⤊ 0⤋
If it is long-term investing you should buy rare coins then sell them 20 years later lol.Second is short-term investing, you can buy oil and save it I'm a teen so give my answer some slack ok?
2007-10-01 14:18:10 · answer #8 · answered by Reggae Man 2 · 0⤊ 2⤋
u can invest with BAT ( brtitish american tobacco) 1 unit min is RM10 000= usd 4000. evry two month u will get 10% profit..emeil me if interested
2007-10-01 18:05:56 · answer #9 · answered by cikumanis 1 · 0⤊ 0⤋
Use this for education. You are the Best Investment!
2007-10-01 14:16:35 · answer #10 · answered by Anonymous · 0⤊ 1⤋