How Much Should You Start Investing?

Thinking about getting into the stock market? One of the many questions that I’m sure you have is How much should I invest? This is a common question and one of the harder ones to answer. There’s a lot of factors including how much risk you are willing to accept. Here’s different investments at the different levels of risk.

If you’re not up for risk at all then getting into U.S Treasury Bonds and Certificats of Deposit are where you’re going to want to spend your time. You’re pretty much guarenteed not to lose any money. Of course with such little risk comes very little gains. But again, if you’re not risk averse then this is the place for you to stay.

If you’re up for a little more risk then maybe you want to move up to mutual funds. There are many mutual funds so definitely do your due diligence to find out which one is the best fit for you. Mutual funds are low cost that involve very little work from you. But with this risk comes ups and downs in your money. So be prepared for that and remember that this is a long term option.

If you’re up for some higher risk then individual stocks are where you want to be at. It’s higher risk because a single stock can go down a lot on bad news. But with high risk comes high reward, especially if there’s good news that causes your stock to sky rocket. The problem is that finding the ones that are most likely to go up is hard. But you can make it easier by educating yourself on different trading strategies that help you find the best stocks to invest in. Online trading academy reviews can help you see if an investing course is right for you.

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