Wednesday, August 21, 2013
Make Money Work for You (Investing in Stocks Online)
Saving to invest is one of the biggest steps a person can take towards attaining their financial freedom in life. If you start consistently saving money every pay period, even if its a small amount, you will eventually accumulate enough money to start investing. It is also best to learn as much as you can about the different investments that interest you. So that you could make the best decision on which investment is right for you, to help increase your chances of success as a new investor. I have put together a list of some of the most popular and profitable investments for under $10,000. Everyday I will post an investment from this list, with a brief description. I've also included a list of pros and cons which I hope will help assist you on your quest towards becoming financially free.
Investment #3 Investing in Stocks Online
Online stock investors are making a ton of money everyday. Your initial investment as an online investor can be as little as a hundred dollars on some sites. If as an investor, you take the time to throughly research every company you're considering buying into you will increase your chances of success. There are also some really good books written on stock investing for beginners, which I encourage you to read. You can save yourself a lot of money by learning everything you can about stock investing. After doing all of this, If you still don't feel comfortable investing online, you can always go to a traditional land based brokerage and work with someone who has experience. History has taught us that the stock market can be extremely unpredictable. You should consider the risk involved before investing in anything, especially the stock market. Below is a list of pros and cons to help you determine if being an online investor is something you truly want to be.
Pros:
-the average online brokerage only requires a minimum of 500 dollars to open an investment account
- you can invest anytime of the day through an online brokerage rather then having to wait until a traditional brokerage open up to put in a request to buy stock
- its cheaper to invest through an online brokerage than a traditional one
- you can make a lot of money in a short period of time buying and selling stocks
Cons:
- online investment brokerages don't offer investment professional's to help guide you in your investment decisions
- being able to buy and sell stock soo easily online can cause you to sell stock before it reaches its fullest potential causing you to lose potential earnings
- just as you can gain a ton of money in a short period, you can also loss a lot of money in the same amount of time
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