My advice to anyone great investments with little money – say, more than $50,000 – is twofold. If you want to be hands-on, buy a rental property. If you want to be hands-off, Unfortunately, that “tens or hundreds of thousands of dollars to invest” scenario is a dream to most of us. Many people find themselves digging out of debt (or, luckily, never in debt), but without a whole lot of money to squeeze out of their monthly pay. How does a person invest $50 a month? What about a lump sum of $200 or $500? What do you do with that kind of money? First of all, it’s a bad idea to take that amount to a brokerage. Why? Most brokerages charge a fee to buy into an investment and then charge a fee to sell that investment. Let’s say your brokerage charges $10 for a buy and $10 for a sell. If you have $200 to invest, the fees for buying and selling alone eat 10% of your money. Even if you have $500, that’s 4% of your money gone immediately. It will take months or years to get back to the break-even point on that money, let alone earn a return, and most of the things you would invest in there carry enough risk that it ends up not being worth it for this amounts. There are some companies – like Vanguard – that allow you to invest directly through them, but their investments usually have a very high minimum investment. In Vanguard’s case, virtually all of their investments have a $3,000 minimum, and their lowest-fee tier of investments usually start at a $10,000 minimum investment. In other words, these things are outside the bounds of what really works with this amount. 31681
great investments with little money
sayeddimaria- عدد المساهمات : 2
تاريخ الميلاد : 12/08/1993
تاريخ التسجيل : 14/02/2017
العمر : 30
- مساهمة رقم 1