investing
investing questions and answers
Learn about investing at the number one young investor website Teen Analyst.
Q: What industries are worth investing in nowadays?
I have to work on a business case wherein a large publicly-listed company (into beverage, food, and packaging) wants to diversify. It has been investing a lot in petroleum, electricity, and telecom. Do you know any other industries it can invest in?
A: The Funeral Undertaking Business as people are still dying everyday ! A+ Cure for Dying has still yet to be discovered !
Q: How can I start investing my money in the market without having thousands to start with?
With the markets being so low, I figure now would be a great time to start investing in stocks. I figure i'll weather the storm for another 6-12 months, then the market should start to turn around. I have a little money left over every month and I want to make it work for me. I looked at E-Trade and Scot-trade, but it looks like I need thousands to start up. Any suggestions?
A: Exhange Traded Fund - ETF. These are counters that usually track a broad based types of stocks and commodities, including Indexes like the Dow Jones, or S&P.
The best thing about ETFs are that they are traded in the open market just like any other stocks in the respective exchanges. The management fees are very also low compared to unit trusts and mutual funds.
Some ETF are also available for purchase in small denomination like 100 shares (or odd lots). This allows one acquire a large basket of blue chips using a samll capital.
Q: How can I start in investing in pre-developed or developing real estate?
I'm interested in learning more about investing in developing real estate. Can somebody tell me how to approach this? Is there a list of developers that I can look up that may have a list of their projects?
A: that takes tons of money and lots of risk - you're better off starting with investing in rental properties that can give you positive ash flow from day one
Q: Does anyone know what big companies started off using angel investing for their start-up?
I am doing an M.B.A. presentation on Angel investing and am trying to use a big corporation as an example of successful angel investing. Are there any big companies that started off using angel investing to fund their idea and now are very successful? Please let me know of any. Thanks.
A: Creative Technology Ltd
Q: How much $ should i have to start investing safely, and Stocks or Bonds?
I am a university student. I want to start investing and i have researched about it recently. There are some companies i want to buy stocks from.
How much money should i have to invest without risking my future?
and as a first time investor should i choose Bonds or stocks?
BCNDQ, thanks ive never heard of Scalping, its interesting and ill look into it
A: First of all, scalping (buying and selling short term) is a idiotic and dangerous idea for novices. Of the few who try it, probably only 20% of *experienced* investors consistently make money at it.
Save your money and buy bank CDs ($1000). If you have less than that, then you should leave it in a bank for emergencies (car repairs, hospital bills, etc.).
This is not a good time to buy stocks. Some people will tell you that if you try to time the market, you'll miss the big up days where most of the profit is made. Of course, they forget that if you saty in cash, you miss the big down days as well.
Spend about a year "paper trading." Start a spreadsheet and list the quatity and starting price of the stock you want, e.g. 5 shares of Exxon at $69.17 and 5 shares of JNJ at $50.66. Then follow these stock and keep track of the price to see how you would have done.
Q: What is the best real estate investing business structure?
All the investing literature I have read say to protect yourself from liability and taxes. I know there are LLC and Corp (S and C) which provide these benefits. The investing literature also says to use the banks money to leverage your investing (OPM). However, my lender will not provide a single or multi family home investment loan for a business (only under my name). So, how do I create a business structure that protects me but still allows me to get home loans.
A: Inquire with your lender, or other lenders, whether they will lend to you, individually, with a guaranty from the LLC and with the collateral being an Indemnity Deed of Trust (IDOT), supplied by the LLC which owns the real property.
Feel free to e-mail me if you have any additional questions.
Q: I'm 16 and want to start investing in the stock market. What are some of long term options?
I have more or less $50-60 dollars that I want to start investing for the long run. What kind of stocks will do best for me in the long run? What stocks are safer and which are more risky?
A: Congratulations on getting started at a young age. It’ll help you more than you know! You ask a very broad question, so be prepared for a pretty long answer. Just take it in chunks!
How to invest depends on what you already know. We'll assume that you're beginning.
A good primer is How to Make Money in Stocks by William O'Neil. You can get it cheap just about anywhere. It’s widely available new or used.
Another good one is one of Jim Cramer's books.
But books will only get you so far. At some point, you'll also want to get at least a little training. There are some great education companies if you want to make the investment. Investools.com or optionetics.com are both very good companies as is tmitchell.com
For free, you can start by visiting thestreet.com. That'll get you a pretty good primer so at least you'll understand what the markets are and what a stock is, etc. If you get a chance, watch Mad Money on CNBC. Don't trade any of his picks. Just use the show to get you to understand some basics and get a feel for the market itself.
Next, subscribe to something like investorsbusiness daily or something like that that can help you identify good stocks.
*** Do a quick search (at the top of the page) on ROTH IRAs. You’ll want to put some money in there. ***
Once you understand stocks, go to 888options.com. It's a website that'll help you understand options (what they do, how they work, etc). You don't need to trade them, but the more you know, the more you'll see how options can really be the safest way to invest (once you're educated).
As you get more advanced, you might want a technical analysis book like Murphy's Visual Investor or A Technical Analysis Course by Meyer.
If it's discipline (which is crucial to successful trading), probably Trading in the Zone by Mark Douglas or Mastering the Trade by John Carter
I know that’s a LOT to absorb. Just take it one step at a time for now. Start with a book or two to give you an idea of where to begin.
Since you're starting with a smaller amount of money, you'll probably want to save up at least a few dollars so you don't get eaten up by commissions (around $10-15/trade). When you have say $200 or so, you can put it into an ETF or into a growth stock. Meanwhile, you can always papertrade to practice (highly recommended).
Start slow, then as you figure things out, you can buy more shares.
Congrats again on getting started. If you have any questions, please let me know.
Hope this helps!
Q: how to start investing,like what is the basic level for a starting investor?
i want to learn the safe game of investing.i want to know the abcd"s of investing.
please tell me where to start and i am really interested to know.
A: If you are 25 today and you retire at 67 with a million dollar investment portfolio, that will safely generate $60K/year. But when you are 67, that 60K will only have the buying power of a little over $16K/year. It gets worse though, because at 67, you will still probably have 30 more years to live and that 16K will shrink each year until it’s only worth $8K/year at age 90.
A million dollars isn’t what it used to be… and it will be even less in the future.
So…. We must all become educated investors much more so then our parents were and start sooner. These are some basic steps to get you started. You’ve got to jump in now.
Step 1.
First decide what kind of brokerage you want to work with. You can open a brokerage account in your bank, with a large full service brokerage or an internet brokerage. I find when I get help, most people want to sell me things that are better for them…. So I use http://www.scottrade.com because it’s cheap and easy with low frills. I like their streaming quotes and I do my own research and make my own investments. But any low cost internet brokerage service is fine.
Step 2. get a subscription to Barrons or Investors Business Daily… Do this for 6 months or a year. At first, It seems a bit mysterious, but pretty soon you start to understand the terms and things that investors are looking for and what they are afraid of
Step 3. If you have some money to invest, put it in 3 month CD’s right now. First the market is unstable and second you have some homework in Step 4 to do before you do any investing.
Step 4. Go out to the internet and search on the following subjects. Become very familiar with the concepts.
Asset allocation
Long term investing
inflation
Roth ira vs ira
Large med small cap
Value vs growth
Indexed mutual funds
No load mutual funds
ETF
Sector funds
Bonds CD preferred stock
dividends
International funds
Market cycles
volatility
Fundamental analysis
Technical analysis
In most cases, I think it is wise to use indexed mutual funds and ETF to build the base of your portfolio.
Step 5 go to http://clearstation.etrade.com/ and sign up for a free account. Play around there by looking at graphs and fundamentals. If you click on the graph names, you will get clear information about what the graph is based on and how to interpret it. I think it’s also a good idea to pretend you have $10,000 and start buying and selling on paper. Keep track of where you are each day for a month… It’s a lot easier to lose play money then real money….
WARNING: don’t rely on technical analysis alone. These graphs are good at telling you WHEN to buy and sell, but now WHAT to buy.
Step 6. It’s always a good Idea to see a CFP (certified financial planner). Their job is to work for your benefit, not to sell you investments. They can cover subjects like employee benefits, insurance, budgeting, living trusts, 401k, taxes and real estate as well as investment types and investment types to keep away from.
Always strive to do your own research… you’ll find everyone sounds like an expert so take everything people tell you with a grain of salt. It’s not easy in the beginning but soon you will be the expert.
Don’t get involved with futures, currency, options (unless you get stock options at work), commodities, annuities or other derivative type investments at this time.
Good Luck
Q: What are some advantages and disadvantages of investing in a stock market?
It's for a school project.
Some advantages and disadvantages of investing in a stock market.
Thank you :P
A: Advantages: You could make tons of money
Disadvantages: You could lose all your money.
Alright, well the advantages are that in the long run the stock market goes up. If you buy all the stocks listed on the DOW, you will make a profit in the very long run almost without a doubt. There is also the chance that you can be good at picking stocks and at timing when you buy the stocks, and make a lot of money very fast.
But the disadvantage is the risk. You will not be able to buy every stock and you won't be able to hold on to stocks long enough to definitely make money. You may need the cash before the market goes up. You also may be bad at picking stocks and be bad at timing when you buy the stocks. There is a large risk involved.
The alternative would be putting your money in something safer where you will make less money, but won't have the risk. This would be something like a savings account or a CD or bonds or anything like that.
Q: What is good resource to learn investing in stock & shares?
I want to start investing in shares & stocks. I don't know anything about investing so first of all I want to do some research and understand it before i start investing. But i don't know where to start or to learn from. please if anybody knows, your advise would be appreciated.
A: Trade real time with the stock simulator at Investopedia. They also have a good resource center.
http://www.stock-trading.jims-info.com/...
http://money.howstuffworks.com/...
If you wish to research the “Buy and Hold Strategy” vs. trading and market timeing further, or perhaps trade yourself, I recommend two book titles. One is called "Which Is Better, Buy-and-Hold or Market Timing?" The other is "Do You Have What It Takes to Be a Market Timer?" They will give you plenty to think about.
http://www.investopedia.com/
http://sharebuilder.com/
Q: I am 33 and want to start investing for the future. Which is the best way to make money fast?
I don't have a lot of money to start with. What I am looking for is, who to contact? What company? What type of investments, real estate, stocks and bonds? I have three children oldest is 10 youngest is one, I need to make money fast and bend into a long term portfolio. I know little to nothing about investing, under any circumstance?
A: I would be careful about trying to make too much money too fast - you'll just end up losing money trying to hit a homerun with a single stock pick. Slow and steady is the only way to make it in the market.
That said, I would suggest buying what the best traders are buying. This is the idea behind the site http://www.top10traders.com - this is a free site that lets you create a portfolio of stocks with $100,000 in "play" money. Each day the site ranks the best performing portfolios, so you can see how your picks perform compared to other investors. You can also read posts on investing from the best traders, as well as share your own investing ideas.
Here are this month's best traders:
http://www.top10traders.com/Top10Standings.aspx
Q: What are the best online tools for stock trading and investing?
I want to start investing on my own. Does anyone know of a GREAT online investing tool or tools that will help make this a success?
A: yahoo finance for sure!!!
Q: How much should you start out with for investing in stocks?
I want to start an Ameritrade account or one of the other brands of online investing. What's a good amount to get started?
A: you really don't need that much money. $500 is plenty to get involved. But you have to be wary of the fees of buying and selling the stocks. No Load (no fees) mutual funds are still good despite the problems with them. But you have to do a lot of research watch a lot of business progams before investing in anything to see what the "experts" think. CNBC, Bloomberg and Fox business block saturdays are excellent for picking information. One place I recommend for starters is http://www.marketocracy.com no risk all play money but the stocks are real. and its free to enter.
As far as this sitesled.com goes its more of a question an answer for basic use. The poster needs to start reading these questions before babbling about this site. The question here has NO USE for the site you recommend.
Johnny it may be $4 to buy but nearly $15 to sell. Better options than that out there.
Q: What is the best way to get started investing in the stock market?
I am 18 and a senior in highschool. I have don't have much capital but i want to start investing in the stock market. Should i read books, trial and error or a virtual stock exchange?
A: yup, you need to learn & continue learning. However, this might cut your learning curve:
Step-by-Step Stock Investing for Beginner
http://www.stock-investment-made-easy.com/
Q: When it comes to Investing, what is the smallest amount you can invest?
I am someone who knows absolutely nothing about investing and would like to know the very very basics, and would like to start out tiny if possible. Any tips?
A: Congratulations on getting started. It’ll help you more than you know!
Your first dollars should be spent on getting educated on investing. You don't have to train to trade them professionally, but we are talking about your future here. So the more you learn, the more it'll help you! So let's start there.
You ask a very broad question, so be prepared for a pretty long answer. Just take it in chunks!
How to invest depends on what you already know. We'll assume that you're beginning since you say you've got no clue!
A good primer is How to Make Money in Stocks by William O'Neil. You can get it cheap just about anywhere. It’s widely available new or used.
Another good one is one of Jim Cramer's books.
But books will only get you so far. At some point, you'll also want to get at least a little training. There are some great education companies if you want to make the investment. Investools.com or optionetics.com are both very good companies as is tmitchell.com
For free, you can start by visiting thestreet.com and investopedia.com. That'll get you a pretty good primer so at least you'll understand what the markets are and what a stock is, etc.
If you get a chance, watch Mad Money on CNBC. Don't trade any of his picks until you track many of them over time. Just use the show to get you to understand some basics and get a feel for the market itself.
Next, subscribe to something like investorsbusiness daily or something like that that can help you identify good stocks.
Once you understand stocks, go to 888options.com. It's a website that'll help you understand options (what they do, how they work, etc). You don't need to trade them, but the more you know, the more you'll see how options can really be the safest way to invest (once you're educated).
For discipline (which is crucial to successful trading), probably Trading in the Zone by Mark Douglas or Mastering the Trade by John Carter
I know that’s a LOT to absorb. Just take it one step at a time for now. Start with a book or two to give you an idea of where to begin. Take your time, and let it seep in.
As you get up to speed, you should papertrade to practice (highly recommended). This should help reduce your losses in the beginning as you get used to buying/selling.
You can practice for free on almost any reputable broker site (optionsxpress, scottrade, thinkorswim, etc).
Save up until you get a few hundred dollars (since you don't want commissions to eat up your investment. Start slow, then as you figure things out, you can buy more shares.
Congrats again on getting started. If you have any questions, please let me know.
Hope this helps!