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What are some good ways to invest my money like stock options and such?


What are some good ways to invest my money like stock options and such?

I would not buy stock options they are too risky, especially for beginners. I would recommend the following approach:

First, I would make sure you have at least 3 months salary saved up in the bank or in a money market fund for an emergency fund. Financial disasters like getting layed off or sick happen to all of us.
Second, I would pay off all high interest debt. Pay off everything you can except the house mortgage. Paying off debt is one of the best investments you can make. You will have more money in the future because you won't have credit card bills to pay.
Third, if you have money left, start investing in stocks, bonds, and money market funds. You want to buy a diversified portfolio of stocks, as individual stocks are too risky. For most folks this means buying mutual funds. I like Vanguard.com, other people like Fidelity, TIAA-CREF, and DFA. Buy no-load, low cost funds. If you are like most people you will invest part of your money conservatively, in money market funds and bond funds, and part aggressively in stock funds. Vanguard.com has an on-line questionnaire which will give you an idea how aggressive you want to be.
Investing in a mutual fund IRA for retirement may give you an income tax break. Talk to your tax adviser. You may also be able to invest in a stock mutual fund via a 401K plan at work.
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I personnally own mutual funds. They have consitently paid better over the long run than individual stocks. I would also recommend talking with a reputable broker (ie. Edward Jones, E.F. Hutton, etc.).

I can also recommend American Funds as a possibly mutual fund for you.

stock options are not an investment. They are a speculation. Buying investment grade stocks is an investment.

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