how do i invest???where how & how much?? how does all that work???

Question

and does it really make you money??? how
thank you.

Answer 1

I have friends and relatives who like to hunt. When the walk into the woods they don't know precisely where the deer, turkeys, etc. are, but they have the idea that their prey is present. Part of the idea is their (real or imagined) perceived understanding of the animals. The environment is right, the time is right, the food or water (or both) are right, or not. Still they had to find an opportune place to wait for the opportune time to get their shot.

Some people have to work at figuring out which companies are likely to rise in price, about how much, and when. Sometimes they are wrong, and they lose value. Sometimes they are right, and the value of those holdings rise.

Suppose, for whatever reasons, you were interested in Noble Corporation (stock symbol NE) back around this last February. Say you had something like about $4,000, and bought 100 shares at around $36 per share ($3,600 plus commission, like $7 at Scottrade.com). The price recently was about $51 (and change) per share, so that $3,600 is worth $5,100, which is a little better than the interest the bank was going to pay you on that money in the meanwhile.

The problem is picking a company like that and not something like this: Suppose you spent about $50 a share for Church & Dwight (CHD), a maker of detergent and stuff, and you spent about $5,000 but around September you looked again and found the shares selling for around $43, the block of stock is now valued at $4,300, losing $700 on paper. The recent price is just a tad below $55. How do you know that it isn't going down further?

May I suggest, considering your level of experience, something a little more akin to planting a tree and waiting for it to grow, and maybe produce some fruit. Find a company like Microsoft, Coke, or Mastercard. They are solid and established companies. They make profits and are likely to continue to make profits for a long, long time. Go to a company like sharebuilder.com and every month or two, park some budgeted amount into one of them. Don't worry about price, just watch that they continue to do what they do superlatively well, making money in the process. Once in a while they will send you a check (dividend) for a piece of the profits. You can save and invest it, or do whatever (I used to take my Phillips Petroleum dividend to a nice restaurant every three months). Sure, that is about as exciting as watching paint dry, but as long as the company is making money, and these three make lots of it, then you will have a value that grows.

Answer 2

YES
it really makes you money.

Invest in business.
I don't like stocks. I have invested just $5,000 in my own business. Now I am earning 2% income monthly (24% annually)
I am sure I'll double my money in 3-4 years.

Answer 3

People study this for their whole lives and still don't have the answer, and you want it in a paragraph

Its up to you what you do depending on your risk personality. Stocks = higher risk
Savings account=lower risk

Answer 4

Talk to a financial advisor.