I am 21 and want to start investing please help me wise one?
Greetings. I would like to start investing but I know little information about how stocks work. Can anyone give me a quick description maybe or direct me to a good website or book that can shed light on the market? I know much money can be made in this market. I am getting my B.A in psychology and am I computer tech so I am pretty sure I have the brains to do it. Thank you all in advance!
Tags: brains, greetings, much money, Psychology, stocks
Great site on investing.
http://investopedia.com/dictionary/default.asp
You have brains…use them…don’t trust anyone and be cautions!! I wish you all the luck!! Its risky though!!!
Right now you should probably as concerned with the debt market as the stock market. Having a good understand of how bonds work is important.
If you buy stock you are an owner in a company. As an owner you are entitled to a share of what that company earns in profit and their underlying assets. As stockholder though you are really the last in line should the company unwind. Debt holders (bond holders) will come before you in the event of liquidation. There are different viewpoints on how you determine the value of a company and many at present are supporting a return to basics as laid out in Graham and Dodd’s book Securities Analysis. Some people think reading a chart is enough. They are known as quants.
A good idea too is to watch wallstreet warriors on Hulu. This will give you a sense of the different roles on wallstreet.
I am 32 and started in the market when I was 18. Not sure how much money I have made off the market in that time but there is certainly always something more to learn.
http://seekingalpha.com
http://www.wikinvest.com/
I would hold off on investing in anything until the economy settles down.
My favorite books on investing:
The Bogleheads’ Guide to Investing
The Smartest Investment Book You’ll Ever Read
If you want something that’s more generally personal-finance focused for our age group, but includes investing as a topic, I highly recommend the new book I Will Teach You To Be Rich by Ramit Sethi. I read a review copy of it, and it’s the best money book I’ve ever read for 20-somethings.
read investopedia.com until your eyes bleed -
there are tutorials on there that are excellent and if you have the discipline, it’s a fantastically complete basis for going forward -
Read the book Irrational Exuberance.
There are times to invest in the stock market, and times to invest in commodities markets. I am invested in both, but my stocks are all commodities producers.
The best mid to long term investment now is war commodities such as copper (sell to the sound of trumpets). Another great investment is gold and silver (inflation hedges). Agriculture is a great investment since our food stockpiles are at 30 year lows in US.
Good luck, but start with the book and go from there. You will be thankful you did. I am.
its a big casino…there is more mney in the risky assets , but you cant invest till you have alot of money, i really dont think anyone should be in stocks now, because they will still crash….but who will listen..