Here are some common sense guidelines to help you invest successfully and avoid common mistakes.…
Investing in the stock market
There is no guarantee that you will make money in stocks. Making your investments pay off takes a lot of work. You need to follow the financial news, use the market indices such as the Dow Jones Industrial Average , S&P 500, and the NASDAQ Composite to watch market trends, and thoroughly research companies you want to invest in.
Ways to invest in the stock market
There are many ways to invest in the stock market. A few common ways are listed below.
Instructions: Click each way to invest to learn more about it.
Risks and rewards
Money that is invested in the stock market can have a great potential for growth but stocks can be risky because their value can change from day to day. There are no guarantees of a profit.
Research before you invest
- Research is critical to investing success.
- Research before investing. Most brokerages offer research and financial news in addition to stock quotes.
- Base your decisions to invest on facts, not emotions.
- Be as objective as you can about the risks and potential rewards.
- View “stock advice” about investments with skepticism. Do your research.