College Students Who May Be Thinking About Investing in
the Stock Market
If you are a student looking to make a little extra cash
in your spare time or wanting to get a little nest egg started,
then investing in the stock market could be a good option
for you. Investing is not easy, however, and you cannot
always expect guaranteed returns.
Before you put good money down on the stock market, consider
You Should Pay off Your Debts
If you are investing in a fund that earns 4% a year while
paying 15% a year in debts, you are actually losing money.
Pay off those high interest loans and credit cards before
you start investing.
Paying off your highest interest rate debts will leave
you with more money to put towards other things in the future.
It might not be the most fun way to do it, but it does make
Choose a Good Broker
Do your homework before you get started. There are a lot
of brokers to choose from and they differ significantly
in their fee structure, the trading platform they use, and
the regulations they are operating under.
Check each one to see where they are based, how protected
your investments are and what they have to offer in terms
of trading tools and even, educational tools.
The Meta Trader platform is a good choice for most investors,
being fairly easy to use for beginners, but also very sophisticated,
so it will serve you well as your confidence and your bank
Start with a small investment and resist the temptation
to use a lot of margin or leverage. Brokers may try to sell
you on the idea of high leverage, since it will amplify
any gains that you make, however, it will also amplify any
You cannot afford this if you are just getting started
and donít have a lot of reserves. Work out how much you
can afford to invest and then, invest only a portion of
that at a time so that if you have a bad day, you will still
have some money left over to work with.
Studying Investing is something that people can make a
lifelong career out of. Just like you are studying for your
chosen profession, you will need to study hard to get started
If you want to learn the mechanics of investing properly,
you will need to read up on the different trading instruments
and how they work.
You will need to learn about trendlines, candlesticks,
fundamentals and other tools. You are off to a good start
simply because you are choosing to get started while you
were young, so do not waste that headstart.
Take this chance to go to as many seminars as possible,
read as many books as possible and form your own opinions
about the best way to invest.
Remember that no one can predict the future. You will always
face some risk of losing your money. Anyone who promises
otherwise is being optimistic at best and could be trying
to scam you.
Take control of your own investments and you will have
nothing to worry about.
Beth Hicks is a successful business
owner who enjoys writing in her spare time. Check out ForexEzy.com
for tips and advice for anyone who wants to learn more about