Newbie question…. I’m pretty sure someone has asked it before. If you are just getting started…. and have 100.00 a month to invest….would you focus on one stock like a strong non-cyclical or ETF?
Vasyl Ukr: Depends of you. Depends of your risk tolerance. Depends of the work you are willing to put. Depend of the stress you are willing to live.
Vasyl Ukr: TBH i would rather save up a few years in order to have a descent capital and use these years to instruct myself
Jacob Oscar: https://www.thebalance.com/a-list-of-3x-leveraged-etfs…
Guide to Triple Leveraged Exchange Traded Funds (3x ETFs)
Catherine Haggerty: I have TECL. 3x bull. I did not see it on the list.
Catherine Haggerty: Oh maybe because it’s not dividend?
Bob Southard: Good comments on — what is your risk tolerance? What are you objectives? For example, how would you feel if you lost one-third of your money in the market? One-half? It does happen. If you can tolerate that, I’d put one half is SPY and one half in QQQ until you learn more about company evaluation and stock market behavior. Keep putting in that $100 every month, no matter what, ESPECIALLY when the market looks horrible.
Deuel Stephens: I’m cool with that
Brent Meadors: Depends on if you want RISK or not. I hand pick specific stocks to invest money every month into. If your new and not investing to much but want diversification could always pick one ETF, I made a video for new investors. https://www.youtube.com/watch?v=ozAO3XNzVu8
Investing Your First $5500 How To Invest $5500 In The Stock Market…
Deuel Stephens: Like SPHD
Brent Meadors: Exactly, I think any Dividend focused ETF is a great way to begin anyone’s 401K + Those dividends feel awesome! and it’s all tax sheltered !
Deuel Stephens: I have strong to moderate risk tolerance
Kevin Martin: At least you’re getting started. That’s the most important step.
Joan Hebert: ivv S&P 500
Alex Macdonald: ETF, my brokerage is commission free on buying ETF ‘S.
Brent Meadors: Which Broker ?
Alex Macdonald: Questrade. I’m Canadian.
Tecunseh Amos: Reality Corp, ticker symbol O.Pays monthly and will do dividend reinvestment allowing it to grow quicker.ETF’s generally have fees and are a index of a market
Deuel Stephens: I have been looking at some REIT’s as well
Tecunseh Amos: I like reality Corp because it has paid a monthly dividend since 1971. Also every couple of years it’s expands it’s revenue base.
Deuel Stephens: Amos Tecunseh what’s your thoughts on APTS or APLE?
Tecunseh Amos: Apts is great buy with a reasonable dividend… I’m still looking if it offers DRIPs if so I’ll add to my watch list.
Tecunseh Amos: Aple, I’m not sure about long term stability of long term revenue. Upscale restaurants are great but during economic downturns they may be affected greatly. It’s seems to be well run to build that much capital. Over if it offers DRIPs it would be a good add to a diversified portfolio.
Tecunseh Amos: DRIPs, allows you to reinvest dividends directly and usually at a discount of open market prices. This is key to accelerating your financial growth
Deuel Stephens: Amos Tecunseh I already activated drip on my brokerage account
Joan Hebert: Amos Tecunseh yes- just set up “reinvest dividends” on abrokerage acct like Fidelity- then ALL dividends form every invest- stocks, ETF… will be reinvested!!
Tecunseh Amos: Yes he was asking a beginners question and I tried to let him know some beneficial options Joan… maybe you should re-read the question and responses again
Joan Hebert: Amos Tecunseh wasn’t sure why uu keepm mentioning DRIPS. THose are no longer needed- w brokerage accts and “reinvest all dividend” option.
Tecunseh Amos: Thanks Joan, I don’t know why my comments are a issue to you
Joan Hebert: Amos Tecunseh I’m not. Just trying to make sure OP knows this is a given in a brokerage acct. Your comment didn’t seem to imply that.
Tecunseh Amos: Happy Thanksgiving to you..he commented that he was doing DRIPs before you chimed in…I’m blocking you
Hugh McMillan: SPY and XLU would ordinarily be by recommendations. However if you want to start now with $100/mo., I would invest in F (Ford) with dividends reinvested. At a little over $12/share and a 5% yield you can likely make the best of a $100/mo. This is assuming you are starting from zero. I would NOT start with a broker like Robinhood!
Deuel Stephens: Ally Invest
Joan Hebert: I’d never invets i just onne stock- if that is all your investment $. IVV, VTI
Adam Fannin: I’d go with a solid ETF, either an S&P 500 ETF, a broader total stock market ETF, or even a dividend payer focused ETF like SCHD.
Derek Sears: buy 2 #SQ
Allison Cutter Adams: Yevette McCall
Bob Stag: Depends on fees. RH free trades, Capital One investing, $3.95 for automatic buys. Me, try and keep everything less that 2% of purchase price (usually in one of my daughters’ accounts, don’t have as much to put in there). But, go with individual stocks, preferably of the blue chip variety. Build a position maybe $300 every 3 months, end of the year, have 4 positions, $300 per, Re invest the dividends (can’t with RH, but most you can re invest at no cost), and next year build those 4 positions, or add a new 1 or 2, and add to 2 or 3.
Hugh McMillan: Penny wise and pound foolish advice.
Bob Stag: Hugh McMillan , how so? Works for me…………..
Bill Pate: I agree with Bob Stag. I follow basically the same investment strategy, but I invest $400 at a time to keep my cost at 1% of purchase price. I don’t understand why Hugh think’s it’s foolish advice. I have been making money in the market for 10 years this way. While I don’t always buy blue chip stocks it’s certainly not foolish to advise someone just starting out to do so.
Kevin Martin: So long as you get started you’re doing good! Don’t wait until you figure everything out or you’ll never get started. You’ll figure out the little details as you go.
Bill Pate: Yep. Invest small at first that way if you do make mistakes they are not magnified. Learn to value companies. That is your best weapon to making smart investments. I didn’t understand that until I started chasing yield and listening to people without my own due diligence. My mistakes though were so small in the grand scheme of things it’s like getting a speeding ticket.
Steven Groen: If I were do this, I would build up about $800.00 before I buy. Until your account is up to $800, I would keep researching for good solid dividend stocks that have value going into it. Never overpay for a stock.