02-06-2007, 08:08 PM
a couple rules for you to know going in.
1) Increased risk = increased return. When building a portfolio, vary the stuff that you're looking at. Grab some companies with low returns but great stability and minimal risk. While you're young, you can afford to take a lot more risk than with you're 50 and retirement is near.
I have heard wonderful things about Vanguard and ING, and will be researching them soon to determine who's going to start getting a cut of my paycheck.
2) You can watch CNN, YahooFinance, and all the others all day long, but you're still getting second hand info in many cases compared to what people in the businesses have access to. You have to recognize that by watching your investments every hour, you might be beating Joe Blow who checks his once a month, but you're also going to be stressed out and losing money on commissions. The best way to invest is get an account with a mutual fund and let it do its own thing.
3) If you are looking for something to hold long term, REALLY look into REITs (Real Estate Investment Trust). They pool the money from investors and buy into real estate and properties, as well as getting a lot of income from rental of space. The best part is, they give out great dividend percentages compared to other stocks, as well as normal benefits to investors from increasing stock prices.
As I get deeper into my new job, I'll try to find out what kinds of things are sought after most by investors to determine if they are good choices. Investopedia is an incredible tool for somebody trying to learn the ropes as well.
1) Increased risk = increased return. When building a portfolio, vary the stuff that you're looking at. Grab some companies with low returns but great stability and minimal risk. While you're young, you can afford to take a lot more risk than with you're 50 and retirement is near.
I have heard wonderful things about Vanguard and ING, and will be researching them soon to determine who's going to start getting a cut of my paycheck.
2) You can watch CNN, YahooFinance, and all the others all day long, but you're still getting second hand info in many cases compared to what people in the businesses have access to. You have to recognize that by watching your investments every hour, you might be beating Joe Blow who checks his once a month, but you're also going to be stressed out and losing money on commissions. The best way to invest is get an account with a mutual fund and let it do its own thing.
3) If you are looking for something to hold long term, REALLY look into REITs (Real Estate Investment Trust). They pool the money from investors and buy into real estate and properties, as well as getting a lot of income from rental of space. The best part is, they give out great dividend percentages compared to other stocks, as well as normal benefits to investors from increasing stock prices.
As I get deeper into my new job, I'll try to find out what kinds of things are sought after most by investors to determine if they are good choices. Investopedia is an incredible tool for somebody trying to learn the ropes as well.