Your Questions About Invest In Stocks Beginner


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Your Questions About Invest In Stocks Beginner

  1. 1. Your Questions About Invest In Stocks BeginnerDaniel asks…Is it a good time to invest in stocks now ? as a beginner?I am completely new to this stocks.I never invested in stocks before in my lifeI am 35 yr oldI have around 10K to invest, is it a good time to invest in stocks in this time of economy ?or dont want to risk ?Steve Winston answers:Its usually always a good time to invest. The key is not to open a brokerage account & buysome stock you heard will do well.The best time to invest is after you spent some time reading some basic books & learning.Otherwise you will make some typical basic mistakes.... That will cost you money & maydiscourage you from investing for the rest of your life (a big mistake).Be smart. Learn the basics. Always use good risk control. 1/9
  2. 2. Thomas asks…Good Stocks to invest in for a beginner with the recently marketups and downs.?With so many stocks at low prices like GM Citi AIG and so on, is this something that would be agood long term investment? Should someone wait until the end of the third quarter when themarket is "supposed to" stabilize? The 3 stocks mentioned above are what I have lightlyinvested in so far but am wondering if stocks like those are something I should be puttingconsiderable amounts of money into for the gains it could make on the rebound.Thank you for the input.Steve Winston answers:Dont invest right now because today global stocks are weak it may drag other stock drop with it 2/9
  3. 3. Mandy asks…How do you decide on which stocks to invest in if you are anabsolute beginner?beginner to investingSteve Winston answers:You begin with mutual funds but - most important - you DO begin. Not complicated or few coulddo it. Open an account at or TD ameritrade & get going. IRA (roth or regular) ifdont have 1. Can buy SWEGX (if schwab) or similiar index type fund with no knowledge. Noneed to pick stocks. Do not use confusion as excuse for inaction. Start today! 3/9
  4. 4. Sharon asks…What do you think about investing in stocks as a beginner?I think the stock market can be a smart thing to experiment in even without much experience, incontrast to most advice given. My reasoning is that you can "practice" picking stocks for a verysmall amount of money- even under $100. You can buy just 1 stock option and though youwont make much, you wont lose much either and youll have experience of watching themarket. Sure you can argue that you can study the market without putting your money into it,but I think having something on the line- even if it is only a $20 stock option- keeps yourattention and diligence. I am inexperienced with stock trading- its been years since Ive ownedstock- but Im smart, I have a financial mind, and I am a quick study. I think I want to take a fewhundred dollars and spread it over a handful of well-picked stocks and watch it for a fewmonths to see what happens. Maybe Ill make a profit, maybe I wont. But Im not risking much.If you disagree, please explain your logic. Thank you!what do you think about Winston answers:Oh! I agree... I found that it is an excellent, even fantastic< way to profitably spend your time. Asyou say, if you get in just a little...its great experience ( and always something to " click over to"on the computer.If youre into the " practice" part of it , a guy ( who occasionally answers here) has a nice site at: 4/9
  5. 5. Great place to see " how you can do" and look at the way about 1200 other traders play thegame!Good luck.P.S. Correction: up to 1300 traders, now.Mary asks…How much money should a beginner invest in the stock market?Stocks or mutual fundsSteve Winston answers:Start with $1,000Go to a bank and buy a "balanced mutual Fund" that has no front end load or rear end load (nobuy/sell fee)This will give you a start with a diversified portfolio , of stocks , bonds, and money marketinstruments. It will not carry much risk, and will have little volatility. Add to your position when 5/9
  6. 6. you can.Learn all you can about investments and next get more money and invest it in a "Blue Chip"dividend fund. Learn more, earn more, contribute more...and when you are ready to accept therisk, while keeping your other funds, buy a growth equity fund.Keep learning and investing and you will get richGeorge asks…What is the best book to read about investing in stocks forbeginners like me?im currently reading the one by William Oneill but i found myself lost once in a while... i justcant understand a lot of terms! is there a dictionary for stocks or something? or is there a bookthats more intended for beginner investors whore not very familiar with most stock marketterms? Thanks!Steve Winston answers: 6/9
  7. 7. "Investing For Dummies" is a good starter, to be followed by "Stock Investing For Dummies",which goes a bit deeper into stocks.Lizzie asks…whats the best way to invest in stocks for beginners?Steve Winston answers:I would say a good balanced fund. You can go to and do some research onthose balanced funds that have a good track record. Yes, index mutual funds are cheaper interms of management fees, however, in these volatile market conditions, you may want to gowith funds that have the mandate to invest in both equity and fixed income markets.Just remember to contribute regularly to take advantage of dollar cost averaging. 7/9
  8. 8. Chris asks…Beginner in investing...stocks, mutuals, ETF...which do I choose?I just graduated from college and got a job, but no 401k is offered, so I wanted to try saving upmy money on the side. The problem is, I have no idea where to start or what a stock evenentails. Can anyone explain to me in VERY BASIC TERMS what a stock, mutual/index fund,ETF (and anything else I might want to consider) is and which one might be good to start with?Thank you in advance!I know there are many websites online explaining the differences between all of these, but I getreally confused with the jargon, which is why I need someone to explain in basic terms. ThanksSteve Winston answers:Look for your favorite sector. One in which you think will go up in the future. Tech usually heatsup this part until the end of the year. Then look up an etf for that sector. You like consumerstaples as a safety play? 8/9
  9. 9. Mark asks… What kind of stocks are good to invest in on sharebuilder? im a beginner in the stock market? Steve Winston answers: Absolutely do not use Sharebuilder... If you havent heard, they are encouraging fraud in their latest facebook contest, and are knowingly letting people cheat: Powered by Yahoo! Answers Read More… Your Questions About Invest In Stocks Beginner 9/9Powered by TCPDF (