Quick Wealth Network

investing?

what are some ways I can begin investing? my dad currently pays for everything. and I love being spoiled by him. I love being daddy's little girl but I don't want to be daddy's little moocher, ya know? I am only 15 but I have big dreams. and the last thing I want to do is live off my dad forever. what are some good ways I can begin investing at such a young age? what exactly is a mutual fund?

Public Comments

1. IRA, look it up, i'm not even sure what a roth ira is but i know my parents have been putting fortune into it for my brother and i since we were born
2. get some mutual funds. they almost always go up because they are "owned" by trained professionals who predict which ones rise and they then invest in them. thats what i did, and im doing well.
3. Try putting away a part of your pocket money in a savings bank every month. You may make DAD as your manager in this matter.
4. Save your money and put it in a savings account for right now. When you have $500, talk to your Dad about investing in a mutual fund. He will have to place the money and have you on the account, too. Choose a good mutual fund like TiaaCref or Vanguard. One that has a no load. How about ask your Dad if he will match your contribution to a mutual fund? Dad's like that idea usually.
5. good question. perhaps you can start with a high yield savings account like HSBC. another way to invest is to put your money in a money market or CD. to learn about investing check out morningstar.com they have a free online course on investing which teaches you about money and finances. great idea and with this type of attitude you will go very far and be successful one bit of advice for you - whatever money you get, find or earn, put some away in savings or whatever. If you start now and pay yourself first (into your savings), if you save a consistent 10 percent of everything you get, you can easily be a millionaire by your mid thirties when you learn the beauty of compound interest another thing to do it to talk to someone that you know that is financially succesfull and ask them for advice and maybe even to be your mentor good luck
6. saving bonds GIC saving accounts paying what you need cash buy what you really need always save a little from all your income stay focused dont touch money you saved talk to a financiel adv.YOUR DOING VERY WELL VERY SMART and mature of you to have questions like that and a plan not too many adults even think of that continue you will be very rewarded if you stick with your plan.
7. You read the other answers: HERE IS THE ANSWER! In the beginning “newbie” traders and investors DO NOT INVEST THE FIRST cent or dollar. No amount of money. In the beginning you LEARN HOW: A] the stock market works. B] to invest in many, many various ways. C] to properly trade D] many other concepts and aspects. Beginning or novice ['newbies"] investors and traders ALWAYS make mistakes. In fact, throughout a person's avocation or hobby to do trading, he/she will make mistakes. In the very beginning, you READ AND LEARN about the market and how it works: Read "Investing for Dummies" As you are reading and doing research about the investments you are interested in, sometimes you'll come across a financial or investment term you never heard before. You can usually find excellent, easy-to-understand definitions of many financial and investment terms by going to Investopedia’s dictionary. http://investopedia.com is a free site. It’s recognized by Y! A as a "Featured Knowledge Partner". It probably won’t be long when you’ll feel you’re ready to invest your hard-earned money. Before taking that step, you really should do research about what you are investing in. It also has a free, paper trading platform. You can set up a virtual account and almost trade as though you were trading with real money. http://finance.yahoo.com is also recognized by Y! A as a "Featured Knowledge Partner" END E-MAIL #1 The thought processes are: 1] to have more successful trades than failing trades. 2] to minimize the losses of those losing trades. 3] "To live to trade another day." Having enough money in the trading account to return to the market. ALL this is accomplished by a few true expressions used on Wall Street: Some trading expressions come to mind: A] "On Wall Street there aren't any gifts." No one gives anyone else anything - not even stock tips. B] BUlls [BUyers] earn money. BEars [SEllers] earn money. Pigs get fat. Hogs [Greedy Traders] get slaughtered. They lose the money in their trading accounts. C] "Trees don't grow to Heaven. Neither do stocks or any other investments." In other words: What goes up, MUST come down! D] "Plan your trade. THEN trade your plan!" Have a trading plan with rules for that plan for each strategy. I want everyone to know I DO NOT own any portion of this man’s estate, nor am I associated with him or any one else connected with him in any way. I am not part of the publishing company or an agent or anything else. This man does not know me from Adam AND I don’t know him. I know of him and the wonderful book he wrote. THIS IS NOT SPAM. You should buy a copy of this book: “The Richest Man in Babylon” by George S. Classon. You can get the book on http://amazon.com Its very easy to read. Its very easy to follow. You can write in it. You can make notes in it. All you have to do is to read five [5] pages - Let’s count 1 - 2 - 3 - 4 - 5 pages of this book - or any book - each and every day. OR You can leave it sit on the shelf, on a table or on the floor and let it collect dust. Thanks for asking your Q! I enjoyed answering it! VTY, Ron Berue Yes, that is my real last name!
8. Your first option, should be to open a retirement account. This is always a good investment, regardless of who you are. If you have fully funded your retirement account and would like other options, you should consider a DRIP Plan. They are seldom recommended by brokers due to the low rate of commissions received. However, these reinvestment plans can be very powerful long-term investments. Studies have shown that DRIP's are one of the best strategies on Wall Street. They are inexpensive and easy to start. New investors to the stock market should definitely consider a DRIP Plan. Companies like Toyota, Royal Canadian Bank, Sony, Bank of America, General Electric and many other Blue Chip Stocks can be purchased through your DRIP Plan, with as little as 1 share in most cases. These long-term plans are great for beginners as well as veterans. Check them out. Best of Luck
9. To be honest, the last thing I was thinking about at 15 was seeking good investment advice. But, here's what you do. Set aside a certain percentage of every dollar that goes through your hands. 5%, 10%, 15% or whatever you can afford. Stash this in savings. When you get $1000 buy a higher yield CD. Ask your daddy to set you up with a checking account that pays interest. Once you have $10,000 in CD, check out no fee on-line stock brokers. Start reading everything you can about stocks and mutual funds. You want well diversified funds that are spread across different sectors like technology, manufacturing, communications, financial services etc. An alternative to buying stocks is real estate. For instance, when you go to college you use your savings to buy a condo, and rent out the room to a roommate, you will be getting ahead financially as well. Maybe even better in the long run.
10. Don't bother with CDs or savings accounts. The best thing you can do is open a retirement account (I'd recommend Roth IRA) put ALL the money dad gives you there. There should be no tax consequences as long as the amounts of gifts are under $12k. Buy an index fund. As wide as you can get. The one that has every stock in the world would be ideal. And here is the most important advice: BUY AND FORGET ABOUT IT. Because you are young, time is your friend. You have 50 years before retirement. Assuming that you get 10% return in inflation-adjusted dollars (average over the last century), to have $1M at retirement, all you need to invest is $9000. Add the same amount annualy, you'll be worth $12.5M. Tax free! And, you don't need to do or know a thing about investment.
11. Invest in Mutual Funds: You should know the meaning of mutual funds, before you choose to invest in mutual funds. These funds are a type of security that can be traded on the stock market, allowing shareholders to buy and sell shares in the funds. The revenue generated by purchase of shares is used by mutual fund manager to buy more shares of specific stocks, bonds, and other market securities and money market instruments. Since the prices of the stocks, bonds, and other securities held by the mutual fund vary, the value of the fund changes. The average value of every share of the mutual fund is fixed daily based on the total value of the underlying securities held by the fund. http://debts-to-wealth.com/category/Guide-to-Mutual-Funds.html
12. First of all, your curiosity and willingness to ask and learn is a great start. Read and ask as much as you can about the issue. First of all focus on your education. Then start the baby steps of saving 10 to 20 percent of your monthly income through mutual funds in a Roth IRA. Do not overspend on items you don't need as many young people do. After you have started that, then you can start asking more questions.
13. Read "The Warren Buffett Way" by Hagstrom.
14. Check out a book called The Motley Fool Investment Guide for Teens. It will give you some great ideas, and it sounds like you're in a good spot - if you show your dad that you're learning about investing and smart money management, he might just give you some money to start investing with. Good luck!