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Your Questions About Invest In Stocks Or Bonds


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Your Questions About Invest In Stocks Or Bonds

  1. 1. Your Questions About Invest In Stocks Or BondsLinda asks…What are some aggressive stocks, or bonds to invest in?I have a retirement funds that I am contributing to, but as a young married man, I want to alsoinvest some money into the stock market or bonds over a long period of time. Since, I havetime I feel I can be aggressive, I just dont know where to put our money. For instance, in thegovernment, the most aggressive funds are the S and I funds, which are international I think.Are there funds like these that you can go through an online broker and invest in? Any advicewould be greatly appreciated. Thanks!*retirement fund*I am 24. I am not really looking towards retirement with this. I have a TSP for that. I am thinking5-10 years, or more depending on need.Steve Winston answers:I hope the retirement funds are being aggressively invested most of all. IAU - gold will rise PGJ -China still will make you $$. EWA-ustralia will benefir from China. ADX & PEO-2 solid closedend funds that make money consistently. The latter high on energy. They & the etfs all availthrough brokers. Not all or nothing bets - can make money over time. 1/6
  2. 2. William asks…what is the differences between investing in stocks, bonds, mutualfunds?So, im new to investing.. I know the definitions of them; but i was just wondering what is thebenefits or advantages or so for investing in each of these?Like the earnings or so? If you have any advice on them; please let do tell me. Thanks.Steve Winston answers:To put it simply.A stock is a chunk of a company, the value of the share depends on what the market thinks.Shares can go up or down.A bond is a chunk of Debt, you aggree to pay for that chunk and after a period you get interestback.A Mutual Fund is a company that invests money on your behalf into Stocks / Bonds / Otherinvestments, in order to return you a profit.They are experienced and educated in investing and should be utilised if you are not educated 2/6
  3. 3. in shares or investing.Mark asks…Should I invest my capital in stocks, bonds or mutual funds?I have a modest amount of about $1,000. Experienced investors only, please.Steve Winston answers:One thing to consider is your timeline. Are you looking at some quick profits or are you lookingto invest the $1k and be ok if the market goes up and down.Stocks will provide you the biggest gain..however, it is also the riskiest. If you choose to invest itin stocks...pick one stock and put the $1k into it. You dont want to own $200 worth of 5 differentstocks. Just keep in mind that it will fluctuate on a daily basis. Pick a high quality stock. GE hasalways been one of my favorites. It is almost like a mutual fund because they are so diversewithin the company. They pay a 2.8% dividend which isnt bad. The stock doesnt move muchbut its stable. 3/6
  4. 4. Mutual funds are a lot more stable than an individual stock. They tend to move slow because itsusually very diversed and invested in 50+ different stocks. If you choose a mutual fund, Id picksomething like the Vanguard Total Stock Market Index Fund. It tracks the entire stock market.Bonds- not as exciting as stocks or mutual funds. But super stable. If you are ok with the returnsand not a big risk taker..this is the one you want.I have a friend who is scared of losing even a penny in the market and puts all his money inCDs!! But everyone is different when it comes to how much they are willing to lose.Paul asks…Is it a bad idea for a college student to invest money in stocks andbonds?I have a lot of debt and I dont have a car. But I have been learning about investing for a few yrsand I would like to spend a little of my savings on it. Is that a bad idea or should I just pay off mydebt or keep saving for a car? Even if I get small returns would that impact the amount offinancial aid I get in a major way. 4/6
  5. 5. Steve Winston answers:For your situation, it is a bad idea for the most part, unless you truly know what you are doing,which I do not believe you do because you are asking for advice about investing.For your situation, know this: with regards to the stock market, you must have money to makemoney.I hope this helps!Helen asks…Should i invest in stocks or bonds?I am 15 years old (my parents made me an account) and i have about $2600. should i invest instocks because i am soo young. Do i have enough money to diversify my portfolio. Should i gointo international stocks or domestic? Or should i do something totally different? I did a lot ofhmwrk, just want second opinionWhat is an IRA and a roth IRA? (stands for?)name every type of bonds in the world you can get and definitions plz?Whats an ETF again? (more than exchange traded fund)whats financing and refinancing/equity mean? (think i know, but not sure)any other info youd like to give?**5 stars for best answer***thanks, but can you guys answer the other questions... 5/6
  6. 6. Steve Winston answers: You cannot diversify your portfolio that much with only 2600, however, that is a good amount to start a portfolio, and you can diversify in the future as you get more capital. You should go with stocks, at your age, you can be risky, young people are advised to do so. IRAs are retirement funds, the Roth IRA takes taxed-money but withdrawals are tax free, it is good if you will go into a higher tax bracket as you get older, particularly when you retire. I wouldnt mess with bonds, just because they have such low rates of return. ETFs are basically mutual funds in stock form, you can buy them without a minimum amount to start, there are some good ones out there that you could invest in with your money right now, like 1k in 1, 1k in another and 600 in another, that would help you diversify your portfolio right now since ETFs hold portions of various stocks. Good luck, youre starting at a very good age. Powered by Yahoo! Answers Read More… Your Questions About Invest In Stocks Or Bonds 6/6Powered by TCPDF (