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Any stock tips/help?

nick1985

nick1985

Lifer
I have $500 to play with and I am wondering how you guys would invest it. Any stocks that look hot? I am pretty clueless to the whole stock market, so I really dont know what stocks to be looking at.

How is Enron stock these days? 😛
 
so, how much risk do you want to take? are you looking to use it like the lottery, ie you are hoping to score big and don't care if you lose it all in a couple weeks?

or do you actually want to "invest" the $ (be more conservative) ?
 
Originally posted by: FoBoT
so, how much risk do you want to take? are you looking to use it like the lottery, ie you are hoping to score big and don't care if you lose it all in a couple weeks?

or do you actually want to "invest" the $ (be more conservative) ?
Click to expand...

well considering i am a college student, if i lost this money i would be pissed. I mean, i am willing to risk losing some of it, but deffinately not "high risk".
 
$500 is too small to make much money in the stock market. The transaction fee will likely kill anything you'll make for quite some time if you are at all conservative. Thus, you'll need to go somewhere risky to make anything worth your time (and of course then you can lose your money too).

So look for one company that you are 100% confident will not be going out of business. A company that is consistantly profitible. But, here is the catch. Choose a company that is having a lot of bad press on the day you buy. So then you are likely to be buying at or near its lowest spot.

Buy low, sell high. Overall, the stock market is near a 4 year high. Thus, with most stocks you choose, you are likely to be buying high. Does that mean you'll sell low? Or do you think it can go any higher?
 
I have a chunk of change I'm looking to invest also. An index fund seems attractive. I've heard alot of good things about Vanguards VFINX, any comments on this fund?
 
Originally posted by: Trey22
I have a chunk of change I'm looking to invest also. An index fund seems attractive. I've heard alot of good things about Vanguards VFINX, any comments on this fund?
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vanguard = excellent for low fees

If you want to make money, try the vanguard mid cap or small cap funds or ETF.
 
It really depends on what you want out of it. It sounds like your risk tolerance is quite low, and possibly not in it for the long term either? What is your expected rate of return?
 
With just $500 you might as well send it off to INGDirect.com

With $5,000 I'll surprise everyone by recommending vanguard.com and their VFINX S&P 500 index mutual fund.
 
well i am cashing in a $1200 CD tomorrow, and i was planning on putting $700 into savings, and invest the other $500. But i am thinking about only putting $200 in savings and inesting $1000. does this change any of your opinions? what would you put a grand in?
 
Originally posted by: nick1985
well i am cashing in a $1200 CD tomorrow, and i was planning on putting $700 into savings, and invest the other $500. But i am thinking about only putting $200 in savings and inesting $1000. does this change any of your opinions? what would you put a grand in?
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That's still not much to invest when you figure in trading and account maintenance fees.

A safe investment (for stocks) like VFINX will maybe earn you 10% APY if held many years but could lose money in any one year. For under $10K you'll also lose $10 to fund fees and under $5K another $10 to account management (= 8% APY on $1K).

Anything earning more carries a much higher risk of losing big -- with individual stocks you can easily earn a -50% APY if you guess wrong.

Just getting another CD with your money earns you a guaranteed 3.75 - 4% with no risk or uncertainty.

If this is investing for retirement and you qualify for a Roth IRA then setting that up at Vanguard.com might make sense, since then you are planning to keep the mutual fund shares for decades and they will grow tax-free.
 
Originally posted by: nick1985
Originally posted by: FoBoT
so, how much risk do you want to take? are you looking to use it like the lottery, ie you are hoping to score big and don't care if you lose it all in a couple weeks?

or do you actually want to "invest" the $ (be more conservative) ?
Click to expand...

well considering i am a college student, if i lost this money i would be pissed. I mean, i am willing to risk losing some of it, but deffinately not "high risk".
Click to expand...


Play poker =) That's what every college student does.
 
Originally posted by: ActuaryTm
Anacot Steel. And Bluestar.
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Sand bagged me on Bluestar huh? Thought you could teach the teacher a lesson that the tail can wag the dog huh?

edit: can't believe I remember the names... 1987 and all...
 
Originally posted by: Phoenix86
Sand bagged me on Bluestar huh? Thought you could teach the teacher a lesson that the tail can wag the dog huh?

edit: can't believe I remember the names... 1987 and all...
Click to expand...
It's all about bucks, kid. The rest is conversation.
 
if you have not already done so, and won't need it until you're old, put it in a roth IRA. the tax benefit will outweigh much bigger gains from a riskier investment.
 
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