There are many investment instruments for you to choose from. The most popular include:
Exchange-Traded Funds (ETFs)
You need to be willing to take a huge risk which is involved with investments. Be prepared to lose what you invest. Thus, only invest a certain amount that you are willing to part with. That is the first main factor to consider and the rest will fall into place.
Money doesn’t grow on trees, it can grow when save and invest wisely. Knowing how to secure financial well-being is one of the most important things never ever need in life. In this saving and investing brochure, will cover the basics on saving and investing.
Everything you need to know starting out as a noob can be found here. https://www.investopedia.com/
If you plan on "Social Trading" sites as I refer to then such as stocktwits or social wall street and yahoo beware of "pumpers" #1 Rule. Trade YOUR style of trading and don't chase bc of FOMO. You trade the trend and what is moving. Cut your losses quickly and let your winners run. Best of Luck!
Check out the organization American Association of Individual Investors (AAII). They are non-profit, unbiased, and impartial. Buy a 1-year subscription and you will learn things.
Beware of organizations like Motley Fool, who will make you pay for each bit of advice. They are in it for their own profit more than yours.
The following summary from the article “Investment Advice to a World Champ” by prominent investment analyst Dr. Steve Sjuggerud is not only great advice for beginners, but is also a good reminder to the more experienced:
1. Nobody will care more about your situation than you, so never hand off your finances completely.
2. There is no magic bullet or shortcut. (The "hot tip" doesn't exist.)
3. If you don't understand it, don't buy it. (If it sounds too good to be true, it probably is.)
4. Buy investments that are cheap, hated, and in the start of an uptrend.
That's it. Remember these points, and take control of your wealth.
Note: To help determine what is “cheap, hated, and the start of an uptrend” see bigcharts.com. Just type your ticker symbol in the upper left field, click “Draw Chart” and you will see past and current market direction.
Wishing you all the best of good buys,
1. Have 3-6 months of living expenses in a savings or money market account.
2. Max out contributions to any employer retirement plan you have and start an IRA.
3. Determine your risk tolerance by using an asset allocation calculator you can find online from institutions like Vanguard and Fidelity.
4. Based on what your allocation is, invest in low cost index stock and bond funds.
5. Rebalance your allocation when it varies by 5 percentage points so you will be forced to sell high and buy low.
6. Ignore advice to make a quick killing in an investment you don’t understand
7. Don’t buy an asset because a neighbor, friend, or relative told you how great it is.
I have been wanting to build a stock portfolio for a while now, and I am going to start when taxes come. I have a few ideas about what i want to invest in such as the "new craze" cannabis companies that are established with a good portfolio and business plan, but not one of the big ones that have already are a fortune to invest in, but someone with great potential and in a state that supports their business, also my thinking is when marijuana gets passed in all 52 states and trust me it will, that stock will provide a huge return! It isnt going to happen yet, but many states little by little will eventually come around because the money their state will benefit from, and they will join the ranks...also I am looking for businesses that are just starting out, online shopping is big...but you must research research research! Do your homework...afterall its your money depending on your smart moves 🙂 hope this helps..
Thanks for the info! I am not really knowledgeable about investing or stocks but I'm very interested to know more. Any references and information books that you can recommend?