What are some good investments/funds for me to consider?
Posted by admin on 30 Mar 2008 5:47 pm. Filed under Investing.
iwillretireyoungandrich asked:
I am a 20 year old in college with a part-time job making only about $100 a week…a have a monthly car insurance bill of $175 which leaves me with about $150 a month (after gas and other expenses)…..what are some good funds/investments i can begin? i heard investing early is smart..i was considering a roth ira account? is there something better out there?
I am a 20 year old in college with a part-time job making only about $100 a week…a have a monthly car insurance bill of $175 which leaves me with about $150 a month (after gas and other expenses)…..what are some good funds/investments i can begin? i heard investing early is smart..i was considering a roth ira account? is there something better out there?
On April 1st, 2008 at 5:38 am
start with a money market fund or something where it’s automatically debited from your account each month. maybe an rrsp, $25 per month. you won’t notice ot too much and you’ll appreciate it in 30 years.
On April 4th, 2008 at 10:27 am
at banks u can use what is called CD what u do is give them a certain amount of money and the take it and put it on what they call a cd. the catch is u cant touch it for so many years but u pick the length of time the interest rate is high so the more money u give them the more money u will make when u take it out or cash them in.
On April 4th, 2008 at 3:50 pm
You’ve certainly got the right idea… just save up a few months, then log on to E*trade, Amertrade, Fidelity, etc and open an account…$250/$500. may do it for an IRA.
You’ll get an on-line account where you can start a portfolio… you’ll have to choose some type of ” fund” to put your money into…. some companies will let you start inexpensively if it’s an IRA… otherwise you’ll have to just buy small amounts of shares in what’s called an ETF..( like a ” mutual fund” but no ” minimum buy-in ” required.)
Look at something ” international” for a while… that’s where the growth is right now. EEM is an ” emerging markets” ETF, but you’ll only be able to afford 5 shares or so…that’s okay..it will grow, and if you keep adding money monthly, you can buy into other different ETF’s …from individual countries or growing ” sectors”. EWA ( Australia) does nicely with all their raw materials trades with China and India.
As a little ” encouragement” look at this site and see what you can accomplish by ” investing early” !!?
On April 7th, 2008 at 4:29 am
Start with this book: “Investing For Dummies.” Gives you all the basics.
You can only contribute to an IRA if you have earned income. I would recommend waiting on the IRA until you are employed full time.
On April 8th, 2008 at 1:11 pm
The most straightforward investment I can think of is exchange traded funds that track the S&P 500 (a list of the 500 biggest stocks in the US).
Try the SPDR fund (SPY) or iShares (IVV)
On April 8th, 2008 at 2:26 pm
If you invest that $150.00 each month into a Roth IRA you will be a millionaire by the time you are ready to retire. If I could suggest you start by opening an account at an online discount broker such as scottrade or sharebuilder. To be safe to start you can use a variety of index ETFs (exchange traded funds) that are based on a broad number of stocks in the USA and all over the world. Adding some international stocks can diversify your investments even more. You could also buy funds that target certain sectors such as natural resources like oil and steel. Do some research and buy some books on investing for sure. I’ll give you a few index funds to look up for examples; (SPY- this tracks the S&P 500 index the 500 largest US companies) (EFA-This follows the MSCI EAFE index a mix of stocks from developed international markets like Europe, Australia and Japan) (EEM- This tracks the MSCI Emerging markets index for growing economies such as China, India, Brazil and Russia) (You also might want to look at IGE it follows the S&P GSSI Natural Resources index. It holds companies that have an interest in natural resources such as oil, steel and copper) all of that world growth should create quite a demand for these. As you become more comfortable with investing you could add some more aggressive growth funds or single stocks. But above all READ READ READ!!!