Dutchy Posted January 2, 2007 Report Share Posted January 2, 2007 Hey guys, I have some money in my bank account which I would like to invest. Being fascinated with business all my life I want to enter the stock market at my current age of 18. Now, I realise that more risk allows for greater rates, however, is there anyone that has seen a specific company do very well lately (maybe something they invest in themselves?) some may say Google has done well for example, but maybe others that are equally known or less known, emerging, etc etc. I realise not many (if any that is) of people are willing to give away their trade/stock positions or preferences, but maybe someone somewhere at sometime is willing to help a kid out. Any tips? Thanks guys just want to get to know the market Link to comment Share on other sites More sharing options...
gioarmani Posted January 2, 2007 Report Share Posted January 2, 2007 (edited) You'll want mutual funds, not individual stocks. The Asian market is performing phenomenally, particularly China & S Korea (steer away from Japan). I had a Korean mutual that earned almost 26% the first quarter of '06. Pay close attention to "Emerging Market" & "International market" mutuals--recently they've been averaging a 10-14% annual return for most (some as high as 40+%!), while the rule of thumb for a "good average" investment is only 8%. You can acquire some very good ones, via Fidelity; call them and get them to send you some prospectuses. You can check out Vanguard, Puritan, etc. Try to keep them spread out between a blend of Small, Mid-cap & Large growth funds (both Domestic & International) don't sink it all into one, regardless of how good the predicted rate of return is--high risk usually doesn't pay off. From personal experience I'll say Fidelity's "in-house" mutuals are also extremely well put together. It's who I use for the majority of my portfolio's holdings. Check out a few: http://personal.fidelity.com/products/fund...erly.shtml.cvsr Edit: (on the left, click "Browse Fidelity Mutual Funds", then click "Internation/Global"--some of them are doing better than expected a year ago--fantastic rate of return on most of those! ) Also, if your work offers a 401K by all means, take it (how can you beat matching funds?--it's free $$$!); if they don't, try a Roth IRA. Don't let anyone talk you into buying CDs or bonds; it's [censored], as far as smart planning goes--this is not the proper market for it. Plus their rate of return is so low, you could earn just as much interest in an ING savings account, and still be able to touch your money without penalty, so there's no point in buying them. And don't get concerned about liquidity--think only in the long-term. True, healthy & intelligent investing is nothing more than a waiting game; start off easy and just build on your investments via a little homework & a bit of (but not too risky) experimentation. Annuities are also good too; go with a variable rate annuity over a fixed one at this point--the way things are going, it'll probably pay off better in the long run. Hope that helped. Edited January 2, 2007 by gioarmani Link to comment Share on other sites More sharing options...
Craytonic Posted January 2, 2007 Report Share Posted January 2, 2007 Wow the return on some of those is ridiculous. Link to comment Share on other sites More sharing options...
gioarmani Posted January 2, 2007 Report Share Posted January 2, 2007 Yeah; almost as good as the return rate of your signature. Link to comment Share on other sites More sharing options...
Dutchy Posted January 2, 2007 Author Report Share Posted January 2, 2007 Gioarmani, What can I say, that is one hell of a post. Thanks so much for your ideas! REALLY appreciate you helpin' a kid out. Thanks again! Floris Link to comment Share on other sites More sharing options...
slay Posted January 2, 2007 Report Share Posted January 2, 2007 Volkswagen has made a + of about 100% last year. I expect that they will grow even more, especially in the asian market and with the new investor (Porsche). Apple is also good and will be worth a lot more in the future IMO. Apple has gone up about 3000% within the last 10 years. [censored] google, buy apple! btw. we always seem to have the same ideas, I was also thinkin about investing some money, nut 100% sure how I'm gonna spread it though. same goes with your management university thingee! Link to comment Share on other sites More sharing options...
Dutchy Posted January 2, 2007 Author Report Share Posted January 2, 2007 Cheers Slay! PM sent by the way. Volkswagen has made a + of about 100% last year. I expect that they will grow even more, especially in the asian market and with the new investor (Porsche). Apple is also good and will be worth a lot more in the future IMO. Apple has gone up about 3000% within the last 10 years. [censored] google, buy apple! btw. we always seem to have the same ideas, I was also thinkin about investing some money, nut 100% sure how I'm gonna spread it though. same goes with your management university thingee! Link to comment Share on other sites More sharing options...
Craytonic Posted January 2, 2007 Report Share Posted January 2, 2007 Apple has been under investigation lately for some problems with stock options; either a bargain price now after recent drops or up for more trouble (world should see the new products on the 7th) you decide Link to comment Share on other sites More sharing options...
Dutchy Posted January 2, 2007 Author Report Share Posted January 2, 2007 Interesting Cray, did not know that......I gotta do a little research, I just thought about beginning my investing career this year. Link to comment Share on other sites More sharing options...
Thor Posted January 2, 2007 Report Share Posted January 2, 2007 I think in the long term you'll make the biggest profits with companies working in the sector of renewable energies... the energy ressources aren't very high... petroleum and natural gas will last 30 to 50 years depending of the opion of the experts who made it... if the consumption doesn't increase, we all know that the chinese market is growing and also their hungriness for energy... Link to comment Share on other sites More sharing options...
slay Posted January 2, 2007 Report Share Posted January 2, 2007 I think in the long term you'll make the biggest profits with companies working in the sector of renewable energies... the energy ressources aren't very high... petroleum and natural gas will last 30 to 50 years depending of the opion of the experts who made it... if the consumption doesn't increase, we all know that the chinese market is growing and also their hungriness for energy... i agree. and i'm very happe to be german, because we are the leaders in the renewable energy secotr but if you want to invest in renewable energy, you have to be an expert in that area so you can determine who's gonna be the global player of the future. not all of the current renewable energy corporations are going to survive the next 10 years. Link to comment Share on other sites More sharing options...
Dutchy Posted January 2, 2007 Author Report Share Posted January 2, 2007 I think in the long term you'll make the biggest profits with companies working in the sector of renewable energies... the energy ressources aren't very high... petroleum and natural gas will last 30 to 50 years depending of the opion of the experts who made it... if the consumption doesn't increase, we all know that the chinese market is growing and also their hungriness for energy... Yep. I wrote a paper on oil, etc. but not in depth enough to know what I'm doing in terms of actual individual investment. Link to comment Share on other sites More sharing options...
Thor Posted January 2, 2007 Report Share Posted January 2, 2007 i agree. and i'm very happe to be german, because we are the leaders in the renewable energy secotr but if you want to invest in renewable energy, you have to be an expert in that area so you can determine who's gonna be the global player of the future. not all of the current renewable energy corporations are going to survive the next 10 years. Good point From the german companies REPOWER SYSTEMS AG who's producing wind wheels is a nice pick and also the SCHOTT AG is a good call but they belong to 100% to the CARL-ZEISS-STIFTUNG... REPOWER AG SOLARWORLD AG VESTAS WIND SYST. Link to comment Share on other sites More sharing options...
ahchard Posted January 2, 2007 Report Share Posted January 2, 2007 Not sure if you are only looking at investing in the US market or if you are open to all markets... I used to invest in the US but felt that the time difference and everything made it difficult... plus I did not know that much about the US market being so far away from it... so I decided to just invest in the Australian market. I think i made a post sometime earlier this year... about some aussie stocks... the went really well... I invested in AED an oil company... bought at 1.50 and it broke 5 dollars last week... currently trading about 4.70. There are also a few others such as CDU (a copper mining company- very volatile), NWE, ISS, ARH, TAP, BMX, AZA, ARQ, CQT, ADY, ARHDA, GGG, IGO, RFG I keep my eye on... some I hold some I don't. We could keep updating this thread with stock picks and what we buy to help each other!!! If I had other ppl in the market investing together in the US, I would be keen in getting in there again! I have been keeping my eye on RIG and SU in the US market. I visit a few stock market chat forums and they have pretty good tips and information there! Maybe you should try to find a forum that talks about US stocks??? The RWG equivalent of the sharemarket and you will be set! Then you can post some tips here... Link to comment Share on other sites More sharing options...
ahchard Posted January 3, 2007 Report Share Posted January 3, 2007 I just thought I would mention that I never had any confidence in mutual funds or the like... i guess it is ok for someone who just wants to put their money somewhere and not need to care about it... but I like to keep my eye on my investments and make some decisions myself. I was interested in Rosneft sometime ago... a russian oil company but could not find out enough information about them. Link to comment Share on other sites More sharing options...
Cucumber_Jones Posted January 3, 2007 Report Share Posted January 3, 2007 I just thought I would mention that I never had any confidence in mutual funds or the like... i guess it is ok for someone who just wants to put their money somewhere and not need to care about it... I manage 90,000,000 (yes 90 Milllion) on behalf of my clients and a large amount of that is in mutual funds as it is the one of the best ways for the average investor to gain access to the capital markets and acheive proper diversification. Not to mention professional management at a reasonable cost. My only advice to you Floris is to work with a professional - it will pay off in the long run. Link to comment Share on other sites More sharing options...
Craytonic Posted January 3, 2007 Report Share Posted January 3, 2007 I manage 90,000,000 (yes 90 Milllion) on behalf of my clients and a large amount of that is in mutual funds as it is the one of the best ways for the average investor to gain access to the capital markets and acheive proper diversification. Not to mention professional management at a reasonable cost. My only advice to you Floris is to work with a professional - it will pay off in the long run. I take it you are in private wealth management? Link to comment Share on other sites More sharing options...
Dutchy Posted January 3, 2007 Author Report Share Posted January 3, 2007 Thanks for the amazing advice, its great to see how others go about all of it! Some like investing in oil, energy, electronics, etc etc etc. My only advice to you Floris is to work with a professional - it will pay off in the long run. I want to invest about US 8k....dont think thats enough for a pro to get involved with (I'll pay a lot of fees).... Any ideas CJ??? Thanks!!!! Link to comment Share on other sites More sharing options...
Cucumber_Jones Posted January 3, 2007 Report Share Posted January 3, 2007 Thanks for the amazing advice, its great to see how others go about all of it! Some like investing in oil, energy, electronics, etc etc etc. I want to invest about US 8k....dont think thats enough for a pro to get involved with (I'll pay a lot of fees).... Any ideas CJ??? Thanks!!!! Yes, I am a Private Wealth Manager. Floris, everyone has to start somewhere. I cannot remember what country you are in these days but most banks and or credit unions have Financial Planners that will work with you as they want to build a relationship that will go beyond your 8K. So again I would suggest professional advice. You noted that you need to take more risk to acheive a greater return. This is true, however, remember that with hat greater risk comes a greater risk of loss. You must ask youself how much you are prepared to loose. 2002 was a very telling year to many and it forced many people to redefine the amount of risk that they are "really" prepared to accept. The markets have been very strong for the past few years and when this happens people tend to think they can handle more risk then they should. We will have a bad year again (perhaps sometime soon) and thus you must only expose yourself to an apropriate amount of risk. This is where the professional advice helps, they should help you determine what level of risk is right for you. Link to comment Share on other sites More sharing options...
Dutchy Posted January 3, 2007 Author Report Share Posted January 3, 2007 Thank you once again CJ. So much info! So what do financial planners ask for this service (in other words, in my particular case what should I be looking at in your opinion for a reasonable price for handling my money?). Do financial planners take a percentage or period bills? Thanks!! Link to comment Share on other sites More sharing options...
Cucumber_Jones Posted January 3, 2007 Report Share Posted January 3, 2007 Don't take my comments to mean that it is not interesting to read everyones ideas of what has done well and or what will do well. It is tough not to get caught up in what has done well. We need to remember when you invest in something that has done well you are not retroactively earning those gains. You are only going to make money going forward and thus there must be good reason to buy the investment based on the future prospects - not just how well it has done in the past. "Past performance is not necessarily indicative of future performance" It is easy to recomend investments because they did well last year. However, the only way you can keep your clients is buy recomending investments that do well in the future. Link to comment Share on other sites More sharing options...
Thor Posted January 3, 2007 Report Share Posted January 3, 2007 Thank you once again CJ. So much info! So what do financial planners ask for this service (in other words, in my particular case what should I be looking at in your opinion for a reasonable price for handling my money?). Do financial planners take a percentage or period bills? Thanks!! In germany the financial planners from the bank ask everytime 1% of the deal... if you buy stocks, funds or sell them... if i do this online at the same bank without any consultation i have to pay 0,5% everytime i buy/sell... i think these costs vary from country to country Link to comment Share on other sites More sharing options...
Polynomial Posted January 3, 2007 Report Share Posted January 3, 2007 What, nobody from hedge funds around today? Link to comment Share on other sites More sharing options...
Dutchy Posted January 3, 2007 Author Report Share Posted January 3, 2007 Of course I realize that different things for different people, but not everyone is directly related to these financial aspects like you described. I find everyone's ideas, plans, and thoughts extremely interesting, shows you how different people think/believe and that is what makes the market such an interesting place! Don't take my comments to mean that it is not interesting to read everyones ideas of what has done well and or what will do well. It is tough not to get caught up in what has done well. We need to remember when you invest in something that has done well you are not retroactively earning those gains. You are only going to make money going forward and thus there must be good reason to buy the investment based on the future prospects - not just how well it has done in the past. "Past performance is not necessarily indicative of future performance" It is easy to recomend investments because they did well last year. However, the only way you can keep your clients is buy recomending investments that do well in the future. No idea what the netherlands has then, but most is handled via internet banking in the netherlands. I need to open another bank account and stipulate I want a stock analyzer, this allows me to buy/sell stock within seconds and never having to pick up the phone. However, then you're alone, no financial planner, no help. So I think that 0.5% extra going to the financial planner (as you said in germany's case) is well worth it if you haven't the best of knowledge regarding the current markets, such as myself, a market newb. In germany the financial planners from the bank ask everytime 1% of the deal... if you buy stocks, funds or sell them... if i do this online at the same bank without any consultation i have to pay 0,5% everytime i buy/sell... i think these costs vary from country to country Link to comment Share on other sites More sharing options...
Cucumber_Jones Posted January 3, 2007 Report Share Posted January 3, 2007 Floris - it ranges. I would inerview 2 or 3 Planners and ask what their investment processes are as well as how they get paid and what they charge. They expect to be asked these questions. It does range but on average .5 to 1% is average. Best of luck. Link to comment Share on other sites More sharing options...
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