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How can I go about investing small amounts of $? |
I am a stay at home mom, and I have an extra $75 a month I'd like to invest/ Actually, as long as the money is working and making money, I don't care if it's invested or where it is- as long as I get a return on it. If this is for long term (10+ years) investing, and since you don't know much about the subject, then stock mutual funds may be your best bet. Most mutual fund companies require an initial investment of at least $500 (many $2500). But if you can afford to have a minimum of $50 per month (each month until you reach their usual $2500 minimum) electronically transferred from you bank account to them, the T. Rowe Price family of mutual funds will let you invest with them. They have (in my opinion, and the opinion of many others) many fine funds to invest in. Go to www.troweprice.com for more information. try a high-yield savings through online banks such as ing direct. That's a great goal. However, you should establish an emergency fund in cash first if you don't already have one. This will help you get through if you have an emergency that affects your income. Most financial advisors suggest keeping 3-6 months worth of regular expenses. (I've been laid off three times in six years, so I can tell you how important this is!) In my opinion the best thing you can do is to learn everything you can about the stock market. While you learn you can save some money to invest in the future. |
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