Wednesday, February 6, 2013

The Quick Guide to Start Investing With Only $500

Investing can be a lot of fun if you know what you are doing. It is fun but also teaches you a lot of information that you will need to know when you get older. When I first began getting interested in the stock market my dad told me that the first stock I buy should be a company that I am interested in, because then I will care about it more. One more tip before I get started because of it only being $500 don't let checking your current stock positions hurt work/school because they are more important!

1.
Do some research
Find a company that should have a positive upside for the next 20 years or so. Also check out what professionals have as a "buy now" stock. Don't forget to try to find a company that you are aware of and that interests you

2.
Do the Math
Decide how many stocks you want to invest in. I personally recommend two because of the low amount of money being invested but you are also a little diverse. Also decide how many shares you can afford of each of the stocks. I recommend stocks under $5 so you can buy more shares and hopefully have room for the stock to jump. Investing can make math fun.

3.
Choose your broker
I am personally a fan of Fidelity Investments (fidelity.com) because its only $7.95 per transaction (NOT per share). There are many other websites/companies out there... So do your research and find what fits your needs for a great transaction.

4.
Watch it grow
Last but not least watch your stocks grow to something you could never imagine. Hopefully it will make you wealthy!

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