I don’t make a lot of , therefore I am quite conservative minded. Please give me advice on what to do. Should I go to a local broker? Should I find a website to invest on? Should I invest in , or ? Are better than managed funds?
Please help, I am afraid of getting ripped off. Any advice would be appreciated.

 

  • pUnkInner 9:02 am on February 16, 2010

    Disclaimer: I am not an investment professional, so consider this as a suggestion and not a professional opinion. Do your own research before considering or applying any of these options.

    You must first ask yourself three crucial questions:

    1. how much time are you willing to invest in the process of learning about investment?
    2. When do you expect to need the money?
    3. Do you plan to continue investing money or is this a one shot deal?

    Assuming this is a one shot deal, and you want the money to be available immediately with minimal risk of losing it, then the simplest approach is to put the money in an online savings account, such as HSBC or Citibank, that earns over 5% per year as of today. You should check to ensure that the account is FDIC insured which means that the FDIC (a government body) assures that your money is safe upto a maximum amount, even if the bank is unable to pay it back.

    If you want to leave the money aside for some months or years, then you may consider opening a CD with a broker – CD trades are typically free, and many of them are FDIC insured. You can find a good CD by searching on your broker’s site, or use bankrate.com. You may find better rates than online savings banks.

    If you are interested in investing in the stock market, then first of all, there is always a risk, however small or large, of losing some or all of your money, which you should be aware of. Also, right now the market is very highly overvalued, and that is not a good time to invest in the equity market in general, in equity funds or in index funds. In order to identify good stocks, you would need to put in a great deal of time to study companies and find good options, and decide when they are available cheap. If you want to try that option, you can start by reading the classic on the subject- Intelligent Investor by Benjamin Graham, in its latest edition.

    There are other options such as bond funds, but that also involves more risk than picking a savings account or CDs.

  • ... 9:02 am on February 16, 2010

    If you don’t want to get ripped off, its better sticking to/consulting your bank/federal credit union and asking a banker about their products(CD’s, bonds, money market accts.) or finding out stock portfolio info from their investment bankers. Your local broker from Fidelity, Morgan Stanley etc. are reputable co.’s but charge fees here and there. However, you can do your own stock investments through ameritrade or etrade. Avoid and don’t trust "financial planners" like AmEx, who hire off the street, you need a Certified Finan. Planner and should go to the association’s website to find a reputable planner if you’re going that route. Good Luck!

  • Frank Castle 9:02 am on February 16, 2010

    I suggest you to open a brokerage account at TD Ameritrade and buy DIA.

  • Dang 9:02 am on February 16, 2010

    I will suggest you go into money market securites like Treasury bill, certificate of deposit or even fixed deposit. Its wiser this way as you do not have any financial knowledge investing in the stock market or real estate. If you do not mind risking a little more to earn a much higher than money market securites, you can invest into mutual fund/unit trust which is managed by a professional fund manager.

  • Barry_Robbins_98 9:02 am on February 16, 2010

    I have a few bits of advice. Use a discount broker like Scottrade.com or maybe Sharebuilder.com. To start with, invest in dividend-paying stocks or REITs (real estate investment trusts). Here are 2 portfolios of dividend-paying stocks and REITs:

    http://www.top10traders.com/ViewPortfolio.aspx?userID=940

    http://www.top10traders.com/ViewPortfolio.aspx?userID=565

    These are from 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. There is also a charting feature , so you can see how your portfolio performs compared to the S&P 500.

    Here are this month’s best traders:

    http://www.top10traders.com/Top10Standings.aspx

    Good luck.

  • Paul 9:02 am on February 16, 2010

    I would suggest you invest some money in stocks. Check the website below to learn more on shares and stock trading and how to select the best stocks.

    http://money-review-site.com/shares.html

    Balance money you can put in Forex trading as it gives very high returns provided you know the tricks to do the trading.

    http://money-review-site.com/investment.html

  • vivien 9:02 am on February 16, 2010

    Forex baby!! More milionares have been created through Forex than any other investment vehicle in history. I recomend to trade Forex only with http://4xgenie.com . Promo code for free trial is MSMS555. Nothing more to say…just Good luck!

  • claudio b 9:02 am on February 16, 2010

  • harvman 9:02 am on February 16, 2010

    Invest in the Stock market ONLY if you can afford to lose the money
    (There is no guarantee here)

    Real estate is pretty safe as long as you don’t overpay market prices.

    Get a GIC at a bank oran RRSP and save on taxes. Something with no risk

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