Lots of people would love to dump oodles of money into investments that would benefit them in the future, but they just don’t have it! If you’re one of those people you may have been lead to believe that you need a ton of money to start investing. Not so, you can start with a few dollars - Right now.
Now, it’s common knowledge that most young people don’t know the first thing about investing. Which is only half correct, because older people don’t either. They have stock brokers that tell them everything. It’s no wonder that young people don’t know anything about money since their parents are no better.
You may have been lead to believe that there’s no hope for you investing, because you have no money. The truth is you can invest with as little as you need to. That’s how an investment works - It grows into something big. It started out as something very small though!
The best way I’ve found to do this is to automatically set aside a portion of my check every month before I even get my grubby little hands on it! Lots of banks - especially online ones will allow you to have a scheduled recurring deposit every month.
I have a high yield savings account with Capital One, and I do just this. Let’s say you can afford to set aside $150 for investments, and savings every month. In six months that means you’ll have $900, and in 12 months you’ll have $1800. Even if it doesn’t seem like much it will if put into a good investment.
Let’s say you want to buy some stocks with it. My brokerage firm is Share Builder (Owned by INGDirect), and I’ve been very happy with them. One of the interesting services they have is that they are very friendly to those who do not have much money.
You can elect to invest as little as you want for as low as $4 per trade with their automatic investment plan. I use this often to get cheaper investments, but you can only do it on Tuesday. So if you want to grab the best stock price it may be better for you to pay the standard $9.99 rate, and purchase those shares now.
I choose to wait until I have at least $500 towards an investment to make the most of the flat transaction fee. You can of course invest less, but you will lose some money on the fees that way.
If individual stocks are not your cup of tea then they also offer an attractive index fund plan. I’ve not tried it yet because I prefer to choose my own, but they look promising.
The minimum investment for these plans is $1000, but you can issue a recurring investment for just $100 a month until you have met that goal. Which is great for people who can’t yet afford mutual funds - If you’ve wanted some this could be a good opportunity for you.
The only good thing about the economy right now is that stocks are cheap. A savy, young investor could pick up a lot of quality companies for cheap while others are running scared. As long as you diversify you’ll do well, but if you put all your eggs in one basket the consequences could be dire.
Related Posts -
Where to get products to start selling on ebay While Ebay wasn't the first place I started online it was the most interesting for me. I was thinking about getting back into it again, and thought I would share some sources for product sourcing. If you have some more ideas feel free to post in the comments. This list...... - A little birdie told me to day trade with Twitter. I like to read other personal finance finance blogs; because.. well I that's one of the things I like to learn about! I recently was reading The Wild Investor, and came across a nifty little post that introduced me to Stock Twits I've never been a fan of Twitter, because......
-
Could you be a wealthy franchise owner? There's lots of advantages to owning a franchise. You can operate under an established name, sell products people already want, have a pre-determined pricing structure, and it can be a valuable opportunity. Some may be more beneficial than others, and you'll have to do your homework though! Is a...... - Get paid to write! Real cash for your original or reprint articles! Tired of getting pennies for your writing, and want to delve into the realm of real freelance writing? Constant-Content could be the ticket for you! Constant-Content is different from most other writing sites. Here you can really get paid to write about what you want to, much like Associated Content.......
- Where are the best interest rates hiding? It's always a cat and mouse game to get the best interest rates. Don't just believe whatever your local banker tells you. They're getting paid to secure your investment! Just because they say that's the best rate available doesn't mean it is. I surprised a bank employee who was trying......
Related Websites -
Managing Your Finances and Your Future One of the hardest things for many of us to do is to manage our finances properly. It can be hard if you’ve had no training and you’re used to just spending freely, whenever you want. There are thousands of people out there that can’t balance their checkbooks let alone...... - Are Paid Survey Companies Real Or Just A Way To Get Taken Advantage Of Many people are worried about getting scammed by paid survey companies. In reality I'm not sure how this is possible because the only thing you really stand to lose is the time you invest in taking a survey. You can invest in buying a directory to find quality companies to......
-
GICs - Guaranteed Investment Certificates Explained Guaranteed Investment Certificates (GIC) are a low risk investment were you lend banks, trust companies and credit unions money for a defined time frame and get a certain interest rate in return. This interest rate is based on the length of time you agree to lend the money and what...... - Laid Off? Some Survival Tips. I got a sad email from Candi yesterday (name changed to protect the innocent): [blockquote]Help, I have been layed off and will no longer be able to keep up on the mortgages (2) or bills. Family of 5. Husband works still but I made so much money previously that our......
- Ask The M-Network: Where Is The Best Place To Save & Grow Cash? My Two Dollars reader Kelly sent in the following question to the M-Network's new feature "Ask The M-Network": "My husband and I currently have 30K in savings and put in 2500 a month into a HSBC Online account paying about 2.4% currently. Is this the best place to save or......
Leave a Reply
You must be logged in to post a comment.
Recent Comments