November 5, 2008

Investment with sharebuilders for college education?

investment education
$needaparttimejob$ asked:


I am a 16 year old high school student, who is about to get a part time job. I wish to invest half of my paycheck,

is this a good idea?
what should i know about investment?
how does it work?
do i have to pay them same amount every month?
when can i get my money back?
(like can i just invest for 6 months??)

~Thankyou for answering:]

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Comments on Investment with sharebuilders for college education?

November 5, 2008

Cindy F @ 9:34 pm

Investing is always a good idea. You won’t get much for your efforts at a bank. Save some money then start investing in stocks or real estate. Your young you have a lot of time to make either option work for you.

Good Luck sounds like you have a good head on your shoulders.

Cindy

November 8, 2008

A nobody @ 6:28 pm

Investing is alway benefical for the investor, regardless of their age.

I am not a big supporter of Sharebuilders, although it’s a broker/dealer, its services are avaiable products are very limited and does not do a justice to its customers.
But since you are only going to “invest” for 6 months there may not be any harm in your game plan

However, you should consider investing in either Mutual Funds or Exchange Traded Funds (ETFs).
You can always sell you holdings with a simple phone call or visiting the funds website

There are thousands of people just like you that are, or were looking to invest and those that did bought Mutual Funds and/or Exchange Traded Funds (ETFs). One purpose of mutual funds is to help investors like you, who are either just entering the investment world or who have no investing experience. Once you feel you at least have an understanding of investments you should look into ETFs which are similar to mutual funds but are traded on the exchanges.

Mutual Fund companies as well as ETFs have an entire array of products many will fit your needs.

You can visit the MSN.Money website (http://moneycentral.msn.com/home.asp) it has an entire section on mutual funds and Exchange Traded Funds. Read about the various products and in doing so you will be getting investment ideas and at the same time educating yourself about investing.

You could also contact the funds companies for more information. I have found that Vanguard & Fidelity can meet your needs for mutual funds. The service and information they provide is all free and you will find it helpful.