Showing posts with label how to invest in stocks. Show all posts
Showing posts with label how to invest in stocks. Show all posts

Wednesday, March 7, 2012

Questions About How To Invest In Stocks

Steven asks…

How can i invest my money in stocks?

I recently deposited about $300 dollars into my PNC bank account and im only seveteen soon to be 18 so i dont know if theres an age requirement but i wanted to invest my money from that bank account into wind energy how would i go about doing that and please give me advice on my specific suitiation and not the standard way you go about investing stocks.Thanks need som advice!

admin answers:

$300 really isn't enough to make it worthwhile... You'd only get a few shares and the commission alone would probably cost 5% of the investment.

Keep saving your money! In the meantime, read up on the stock market and on investing so you can begin to learn the craft.

Donna asks…

I'm 16 years old, and I would like to learn how to invest in stocks?

I have no prior knowledge whatsoever about investing, stocks, compound interest, etc. Can somebody give me an overview about all this? Is it even legal for me to invest on my own? How do I go about it, and how do I determine what to invest in?

admin answers:

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're a newbie!

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 (he’s got a few).

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).

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!

Jenny asks…

I'm trying to find a company to invest stocks in based on what they sell how do I find them?

So I love this thing sold by the company farux, and I can't find their company?

The question is, how do you find a company and find out what they're stock trading name is so as to invest in some of their stock?

admin answers:

It may not even be a publicly-held company.

Richard asks…

How can I invest stocks into Barrick Gold Corporation?

I'm trying to invest in bonds and since Barrick Gold is the world's largest gold producer I think It would be a wise money making decision. If anyone knows how to go about this,can they please assist me?

admin answers:

The equity Barrick Gold trades under the symbol ABX. If you think that Barrick gold is a good investment, you really want to invest in the stock rather than the bonds. The bonds offer very little if any growth potential. Also Barrick Gold may not have any bonds that are tradable. I do not know. But ABX is a decent hedge against the potential collapse of the dollar.

Chris asks…

How Do I Invest In Stocks ? Should I Invest ? Apple Computer ?

I Was wondering how do I get into investing stocks and if it is a good idea to start investing in Apple Computers since thier computers and ipod and even iphone has been so successfull.

admin answers:

If I was starting out in investing I would buy ETF's (exchange traded funds). They offer the lowest fees overall and mimick the market or sectors of the market. Then, delve into individual companies finances, charts and potentials and learn the market in that manner. ETF's are great vehicles and can give you the best returns ...better than nearly 90% of all mutual funds that are professionally managed. That's the best advice I can give.

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Thursday, January 26, 2012

Questions About How To Invest In Stocks And Make Money

Mary asks…

I wanted to know how do you invest in stocks and make money from them?

I'm eighteen and have never bought a stock in my life I don't know anything about them I just want to start investing my money so I can make money

admin answers:

Use various financial ratio to get rid of junk stocks. These will helps you out:

Good Stock Pick for Unlimited Profits Framework
http://www.stock-investment-made-easy.com/good-stock-pick.html
How to Find Good Stocks That Will Survive 2008 Market Crash
http://www.stock-investment-made-easy.com/how-to-find-good-stocks-that-can-survive-2008-market-crash.html
How to Pick Good Stocks That Can Make You Rich in The Long Run
http://ezinearticles.com/?How-to-Pick-Good-Stocks-That-Can-Make-You-Rich-in-The-Long-Run&id=864890

Sandy asks…

F1 Student can Invest and make money using Stocks ?

Hi, I am F1 student. I want to double money using stocks, can I do that ? as in, if the money is routed to the bank account, I will have to pay a Tax of course and then.....the IRS will question how they money came in.....so I have to tell them - its through stocks investment. Is it legal in United States ? Please Advice...
Thanks a lot, I will explore further :)

admin answers:

If you invest in the stock market and have a gain, your tax rate on that gain will be 30%.

Http://www.irs.gov/businesses/small/international/article/0,,id=129253,00.html

Susan asks…

How can you make money investing in stocks with sharebuilder.com or other sites that charge $4/trade?

Say an investor wants to start small with like $500.00 and the stock moves slow, each time I buy, I'm paying $4, does it pay to invest like this?

admin answers:

It's good way to invest in the stock market. $4 is definitely the lowest comission you will pay for a stock purchase. But I wouldn't go that route unless you have at least $100 to invest every month or week or whatever. You never want to pay more than 4% for commissions.

Betty asks…

18 and looking to start investing in stocks to make money?

What would be your advice on starting with this should I go to a company should i use like e trade what kind of things should I invest In how much do I need to get started is it possible to make thousands out of only a few hundred in a short ammount of time?

admin answers:

Let me start off by saying that you should NOT in any way expect to make thousands out of a few hundreds in a short amount of time. You should not pay any attention to these kinds of stories.

The stock market is a risky endeavor. However, it is not that hard to make some money in the stocks but it will take time. As an investor myself, I believe that the stock market is best used as an investment vehicle for long-term gains. All those stories that you may hear about people who are worth millions of dollars and have money in stocks, most of them probably have had their money in the stocks for many years, around 20-30 years, sometimes longer.

To get started, I recommend that you read a few books on investing:
"A Random Walk Down Wall Street" - Burton Malkiel
"The Intelligent Investor" - Benjamin Graham

John asks…

I want to invest in stocks to make money, am i too young and broke??!?

Im 19, college student work at target part time..trying to figure out a way to make money..I just created a brokerage account with bank of america/merill lynch..its free for people who have checkin accounts already..they charge $10 dollars a trade..I dont have alot of money..i was going to start investing like 100 a month or more..on a little risky investing and what nt just to see how it works...if i lose this money it wnt be a big deal..i just want to start making money now...also im confused about trading..im about to go to the library and get some books on trading but i want to ask you guys is how tf do i do this! im looking at bank of americas page on yahoo finance it says there last trade was 16.17..is that how much there shares are??on goggles it was like 548 or something..does that mean there shares are 548 dollars????!!im just using this as an example....how much money could i make off buying like 6 shares of bac stock...how do i sell, how long do i c profit, how does this work!!! any wesites?please help

admin answers:

You need to do a lot more research first.

However, I will cut to the chase and tell you the bottom line if you are willing to listen: You cannot "make a little extra money" this way." $100 a month is index mutual fund make money in 10 years money. $100,000 is open a brokerage account make money in a couple of years money. $1 million is open a traders account live off the income money.

There are lots of people who will tell you differently, but they are either liars or fools.

Your Money and Your Brain ~ Jason Zweig
One Up On Wall Street ~ Peter Lynch
Common Stocks and Uncommon Profits ~ Philip A. Fisher
The Aggressive Conservative Investor ~ Martin J. Whitman
The Black Swan ~ Nassim Nicholas Taleb
Irrational Exuberance ~ Robert J. Shiller
A Random Walk Down Wall Street ~ Burton G. Malkiel

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Sunday, January 15, 2012

Questions About How To Invest In Stocks As A Teenager

Steven asks…

How can I start to invest and understand stocks as a teenager?

Hi! I am fourteen years old, and I am interested in buying and trading stocks, and how to understand the market and all of the terms. I always find myself looking at stocks for companies that I am interested in, mostly computer manufactures such as Apple, Google, Microsoft, HP, Sony, Microsoft etc. I am interested in how much money I would need to invest and also how to understand any of the market terms. Are there any guides, or books that would help me understand any of this? I could family friends I know that are stock brokers and involved in that industry but I would like to have a general understanding first. Thank you !

admin answers:

Great question. I like Joe's answer below, too. Here's my usual response:

An introductory book like _Stock Markets for Dummies_ is a good place to start. This will give you a basic explanation of most things there are to know about the mechanics of stock investing.

Investors Business Daily (IBD) is a solid daily resource (and its complement, www.investors.com ). It's a better newspaper than the Wall Street Journal and it is built around a particular approach to trading. You could read _How to Make Money in Stocks_ by William O'Neil too--he's the founder of IBD.

Search your local library for other books on stock investing. Try to absorb as much knowledge and understanding as you can.

After you have extensively researched and gained a solid foundation/education then look to open a brokerage account and paper trade--this is trading with play money before you put real capital at risk. You should do extensively before you eventually place your first trade live. Your early live trades should be with a very small position size. Only increase position size when you have done well to limit losses when the market has turned against you.

George asks…

How to invest in the stock market as a teen.?

How do I and where do I invest in the stock market as a teenager im a 15 year old boy and want to invest in the stock market. Thank you.

admin answers:

You will need your parents to agree to open a custodial account so you can trade stocks. You have to be 18 to 21 to legally sign contracts. A discount broker will be the best place to start after you do lots of research. Read books, consider joining a teen investment club in your area, watch CNBC.

Michael asks…

Do you think that getting a "job" as a Teenager is really a good thing to do?

I never want to work for anyone in my whole life, and as far as I'm concerned, getting a job working the till at a grocery store, mopping up floors, and flipping burgers is not a good thing.

In my opinion, all it does is train you to be an employee or "slave" so you can work for other people for the rest of your life. What does it teach you about management skills? It teaches you how to complete menial tasks and take orders. It basically trains you to be a part of the rat race when you're older working a 9-5 job for a mediocre salary.

I'm 16 and instead of doing this I've been investing in the stock market (with great success and I'm actually learning something) and this summer me and a group of people are going to create a website (I'm not getting into anymore detail because this could make us millionaires if we do it right and I can't share)

Do you think I'm doing the right thing? Do you agree with me or disagree.

admin answers:

"In my opinion, all it does is train you to be an employee or "slave" so you can work for other people for the rest of your life. What does it teach you about management skills? It teaches you how to complete menial tasks and take orders. It basically trains you to be a part of the rat race when you're older working a 9-5 job for a mediocre salary."


That's definitely over-analyzing the whole situation. I have plenty of friends with jobs, and all it is for them is a way to make some extra money. You have to listen to teachers at school, listening to people is something you're going to have to do in life. Doesn't mean you're going to be a slave though.

What you're doing is great, but it's not for a lot of people. So while you have your opinion, others have theirs.

I think having a job, whether traditional or not, is a good thing. And I disagree with the fact that you think a traditional job is bad, just because you have to listen to people.

Sandy asks…

I need help with my argumentative e essay HELP PLEASE!!!?

HERE IS..!

English, Math, Social Studies, and Science those are just a few classes that are require in order to graduate high school. Students benefit a lot from taking those classes especially if they are planning on furthering their education. With furthering education there is a need to have independence and confidence. A perfect way would be to teach about personal financing. It would teach students how to save money, prevent bad credit, and how to invest.
Saving money as a teenager can be difficult especially if the person has no one to guide them through it. The last thing on a teenagers mind is their future financially. A student spends around $50 a month on clothes which is $2,000 a year that is a lot of money. If they would learn to only spend their money on stuff they need they could save that money and used it in the long run. We are always going to need money and we all need to learn to save money, why not start early?
One important reason why people have trouble with big debts and credit issues is due to the lack of education on personal financing. If we wait too long to teach students about credit it might be too late. As soon as a student graduates high school and moves on to college they are navigating life by themselves for the first time without their parents; that is when is when most likely to run into credit problems. With this class they can learn the importance on credit card use, how to read statements, how important it is to pay the balance, and credit reports. The biggest factor in young adults getting into debt is due to credit cards because they do not understand that credit limits are not a source of income. Our school system can change all of that by the teaching personal financing.
Just imagine $20 growing. Sounds impossible, but is not. The only way that could happen is by investing. Students can learn on what and how to invest their money. With investing they can beat inflation, achieve financial goals and retirement. Yes, it might be too early for them to think about retirement, but time does fly is better to be prepared. They can also learn to invest in stocks, mutual funds, or bonds.
A lot of people might think that the personal financing class is a waste of time. Which I do understand that because a parent should teach their kids about managing their money. But these days a lot of parents are busy working two jobs to pay the bills, the parent barely has time to help their kids with their homework. We can help the parents by teaching their kids all these valuable skills. By knowing all of the skills they would not be loss when is time for them to manage their money. It gives them a sense of independence and self-confidence because they would know what they are doing.
Knowing that students would learn how to use their money wisely is great because they would use all the skills learned for life. Everyone is always dealing with money whether is too much or not enough. This class would prevent bad credit and it would teach students the value of money in many different ways. Not to mention they will be confident on spending their money wisely. Therefore I strongly believe that a personal financing class should be mandatory in all the high schools.

admin answers:

Not bad, but make sure to fix the sentence structure. Also focus on relating your information to your main point.

Good luck!

Maria asks…

Why the Wealthiest & Most powerful Men on earth are Mexican-Americans or Mexican Illuminati ?

Latin America's richest man added more than $6 billion to his fortune this year. He sold off his stakes in MCI and Altria and used the proceeds to up his holding in Saks Inc; in his fixed line operator, Telmex; and in America Movil, his flagship wireless telecom outfit. The latest was a particularly smart move as America Movil's stock has almost doubled in the past year.


He also owns 71% of a new public company, Impulsora del Desarollo Economico de America Latina, which he spun off from financial services giant Grupo Financiero Inbursa. Inbursa also invested in a start-up budget airline called Volaris. An art collector, Slim houses his Rodin sculptures in Mexico City's Museo Soumaya, the museum he funded and named after his late wife. His Grupo Carso is reportedly a combination of his first name and his late wife's.

Slim, the son of Lebanese immigrants, began buying businesses in Mexico as the government started selling companies in need of financing after its 1982 debt default. In 1990, he teamed up with Southwestern Bell Corp. and France Telecom SA to buy state-owned Telmex, which now has a market capitalization of more than $20 billion.

Carlos Slim Helú (born January 28 , 1940 in Mexico City ) is Latin America 's richest man (and #3 in the world) according to Forbes . His wealth comes from his businesses in the communications industry, Teléfonos de México and América Móvil telecommunication companies.

His father was Julián Slim Haddad ( Yusef Salim Haddad ), a Lebanese Maronite Christian, who as a teenager fled to Mexico in 1902 , escaping the harsh military rule of the Ottoman Turks . His father and two of his older brothers arrived at the Mexican port of Tampico , making their way to Mexico City where, in 1911 , Julian established a dry goods store called La Estrella del Oriente and took a gamble and bought up some prime real estate in the city core-a shrewd move as it turned out.

'That was courage,' says Slim Helu, 'He taught me no matter how bad a crisis gets, Mexico isn't going to disappear, and that if I have confidence in the country, any sound investment will eventually pay off.'

Slim Haddad married Linda Helu, daughter of another prosperous Lebanese merchant, and had six children. Carlos Slim Helu was the fifth of the six children. Carlos credits his father as his mentor in business, retailing and finance. Julian Slim Haddad died in 1952 , leaving his family a moderately prosperous economic base from which Carlos launched his successful financial career.

Slim has six children and lives in Mexico City. He is an engineer by profession, graduated from the Universidad Nacional Autónoma de México (UNAM) (National Autonomous University of Mexico) in 1961, where before graduating he taught Algebra and Linear Programming . He has given lectures in public and private institutions, and also in international bodies such as the Economic Commission for Latin America (ECLA).

He has been vice-president of the Mexican Stock Exchange and President of the Mexican Association of Brokerage Houses . He was the first President of the Latin-American Committee of the New York Stock Exchange Administration Council , and was in office from 1996 through 1998 . He is a director at the Board of Directors of the Philip Morris Companies and Alcatel , as well as for SBC Communications , a position from which he retired in July 2004 to devote more time to the Latin American Development Fund , focusing on infrastructure , health and education , amongst the most relevant work. He later built an important Mexican financial-industrial empires, Grupo Carso , that owns, among other companies the COMPUSA electronic retail chain. After 28 years he became the Honorary Lifetime Chairman of the business. He also holds this position in TELMEX, América Móvil and Grupo Financiero Inbursa. Slim opposes free trade and free market prescriptions for developing Latin economies. Though he maintains an actively involvement in his companies, his three sons Carlos, Marco Antonio and Patrick Slim Domit head them.

Slim bought Telmex during then-president Carlos Salinas 's privatization spree. Mexicans complain that after the transfer, telephone prices went up dramatically but without any comparable change in service quality, although this situation was largely rectified with the subsequent opening up of the long-distance market to other competing providers. Many critics suspect that Slim's purchase of Telmex was corrupt, as were many of Salinas's privatizations.

Slim has been awarded the Entrepreneurial Merit Medal of Honor from Mexico's Chamber of Commerce ; he received the " Golden Plate Award ", granted by the American Academy of Achievement and the Government of Belgium awarded him the Leopold II Commander Medal

admin answers:

Dude, why is the Best Mexico has to offer, Lebanese Ancestry, Slim letting 12-30 million of Mexico's cream of the crop sneak into USA??
How come he doesn't try to improve his country so they're not all trying to escape it?
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