Hi, Welcome Back. My time is limited today so in case you missed some of my previous post, here is a few you can catch up on in the mean time: Choosing a Broker that Right for You. How to Determine your Risk Tolerance. Determining Where You will Invest. Investing Basics-What Are Your Investment Goals. Getting Your Feet Wet-Begin Investing.
In my post today I want you to think about these questions. How much money should you invest in the stock market? Do you think you should invest all of your savings? Well, do you know that many first time investors think that they should invest all their savings, and this isn't necessarily true. To determine how much money you should invest, you must first determine how much you actually can afford to invest, and what your financial goals are. (You would see financial goals mention a lot because its important). Like I mention at the begin of this post my time is limited, so stay tune for more.....
Happy Investing
Tuesday, February 27, 2007
Monday, February 26, 2007
Getting Your Feet Wet-Begin Investing
Okay, now that you have read my previous articles, you think you are ready to begin investing without having a lot of knowledge about the stock market. Here is some basic things you can begin with, and you can start by being a conservative investor with a low risk tolerance. This will give you a way to making your money grow while you learn more about investing.
Start with an interest bearing saving account. You may already have one. If you don't you should. A savings account can be opened at the same bank that you do your checking at-or at any other bank. A savings account should pay 2-4% on the money that you have save in the account. It's not a lot of money-unless you have a million dollars in that account-but it is a start, and it is money making money.
Next, invest in Money Market Funds. This can often be done through your bank. These funds have higher interest payouts than typical saving accounts, but they work much the same way. These are short term investments, so your money won't be tied up for a long period of time-but again, it is money making money.
Certificates of Deposit are also sound investments with no risk. The interest rates CD's are typically higher than those of savings accounts or Money Market Funds.
You can select the duration of your investment, and interest is paid regularly until the CD reaches maturity. CD's can be purchased at your bank, and your bank will insure them against loss. When the CD reaches maturity, you receive your original investment, plus the interest that the CD has earned.
If you are just starting out, one or all of these three types of investments is the best starting point. Again, this will allow your money to start making money for you while you learn about investing in other places.
Remember my blog was created for new investor(basic information) not for the advance investors, but I certainly welcome any comments & suggestions.
Happy investing....stay tuned for more
Start with an interest bearing saving account. You may already have one. If you don't you should. A savings account can be opened at the same bank that you do your checking at-or at any other bank. A savings account should pay 2-4% on the money that you have save in the account. It's not a lot of money-unless you have a million dollars in that account-but it is a start, and it is money making money.
Next, invest in Money Market Funds. This can often be done through your bank. These funds have higher interest payouts than typical saving accounts, but they work much the same way. These are short term investments, so your money won't be tied up for a long period of time-but again, it is money making money.
Certificates of Deposit are also sound investments with no risk. The interest rates CD's are typically higher than those of savings accounts or Money Market Funds.
You can select the duration of your investment, and interest is paid regularly until the CD reaches maturity. CD's can be purchased at your bank, and your bank will insure them against loss. When the CD reaches maturity, you receive your original investment, plus the interest that the CD has earned.
If you are just starting out, one or all of these three types of investments is the best starting point. Again, this will allow your money to start making money for you while you learn about investing in other places.
Remember my blog was created for new investor(basic information) not for the advance investors, but I certainly welcome any comments & suggestions.
Happy investing....stay tuned for more
Saturday, February 24, 2007
Investing Basics-What Are Your Investment Goals
You know most people I know are nervous about the stock market, and may not know anything about the stock market. I was just like that, but my hubby is an independent agent for a financial company, so I am not as nervous about trading online as before because he's teaching me. So, I decided to create some basic information for the nervous first timers, and those who are not sure. I suggest you read my first article: "Is Trading Online For You?" Click here!
When it comes to investing, many first time investors want to jump right in with both feet. Unfortunately, very few of those investors are successful. Investing in anything requires some degree of skill. It is important to remember that few investments are a sure thing-there is the risk of losing your money!
Before you jump right in, it is better to not only find out more about investing and how it all works, but also to determine what your goals are. What do you hope to achieve with your investments? Will you be funding a college education? Buying a home? Retiring? Before you invest a single penny, really think about what you hope to achieve with that investment. Knowing what your goal is will help you make smarter investment decisions along the way!
Too often, people invest money with dreams of becoming rich overnight. This is possible-but it is also rare. It is usually a very bad idea to start investing with hopes of becoming rich overnight. It is safer to invest your money in such a way that it will grow slowly over time, and be used for retirement or a child's education. However, if your investment goal is to get rich quick, you should learn as much about high-yield, short term investing as you possibly can before you invest.
You should strongly consider talking to a financial planner before making any investments. Your Financial planner can help you determine what type of investing you must do to reach the financial goals that you have set. He or she can give you realistic information as to what kind of returns you can expect and how long it will take to reach your specific goals.
Again, remember that investing requires more than calling a broker and telling them that you want to buy stocks or bonds. It takes a certain amount of research and knowledge about the market if you hope to invest successfully.
Stay tune for more.....
Happy investing
When it comes to investing, many first time investors want to jump right in with both feet. Unfortunately, very few of those investors are successful. Investing in anything requires some degree of skill. It is important to remember that few investments are a sure thing-there is the risk of losing your money!
Before you jump right in, it is better to not only find out more about investing and how it all works, but also to determine what your goals are. What do you hope to achieve with your investments? Will you be funding a college education? Buying a home? Retiring? Before you invest a single penny, really think about what you hope to achieve with that investment. Knowing what your goal is will help you make smarter investment decisions along the way!
Too often, people invest money with dreams of becoming rich overnight. This is possible-but it is also rare. It is usually a very bad idea to start investing with hopes of becoming rich overnight. It is safer to invest your money in such a way that it will grow slowly over time, and be used for retirement or a child's education. However, if your investment goal is to get rich quick, you should learn as much about high-yield, short term investing as you possibly can before you invest.
You should strongly consider talking to a financial planner before making any investments. Your Financial planner can help you determine what type of investing you must do to reach the financial goals that you have set. He or she can give you realistic information as to what kind of returns you can expect and how long it will take to reach your specific goals.
Again, remember that investing requires more than calling a broker and telling them that you want to buy stocks or bonds. It takes a certain amount of research and knowledge about the market if you hope to invest successfully.
Stay tune for more.....
Happy investing
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