I want to start investing some of my money, I'm still in school and don't have a lot of money to play with right now. I am also not very experienced with investing, if anyone has any tips and advice on where to start, what my I should avoid and plan for etc. I would appreciate the help.
Look at what griffin did from citadel. He made his name while in school
50 bucks a month betterment until you can afford 100 then 200
Look into a Roth IRA. You’d pay taxes on it now when your taxes are low, and no taxes paid when you retire. Probably more aggressive bets out there, but a Roth IRA is a pretty safe choice.
What if he doesn't have a job?
Simplest advice I can give you is to not try to outsmart others while you're still learning the craft. Go with the herd. That will protect you. Disciplined saving and simple investment strategy will get you in the front of the herd to be able to break out later when you're ready.
Start with a Roth IRA, and invest in index funds (which have historically performed better than 80% of financial advisors). Vanguard is a good brokerage to start with. Set up an account and invest in a Target date fund (2055?). Then just keep adding funds and completely forget about it for a few years.
Best advice? Never ever go into credit card debt.
Step 1: have an emergency savings account that covers 3 months of expenses. If you lose a job or have an unexpected car/pet/medical bill you won’t be paying on a credit card with ridiculous interest. If this money is in stocks or other investments you may have to sell at a loss to cover your expenses. You don’t want to do that. Step 2: after you have a savings buffer, invest in no fee, no load mutual funds of your choice, but you probably should go with index funds as they generally have the lowest expenses and you can be comfortable knowing that you are performing along with the market. When first starting out especially, avoid paying transaction fees. They will be very large relative to your overall investment. The advice about IRA and Roth accounts could be good, but you need to think about *when* you might need this money. There are tax implications to withdrawing money from retirement accounts before you’ve reached 59.5. So if you want this money to buy a house in 10 years a retirement account may not be the right place for it. Also, choose your investment targets based on a time horizon view. If you think you will need the money in the next 5-10 years, stocks may be very risky. While there are few 20 year periods that have lost money in the history of the SP500 index, there are a large number of 5 year periods that have. There are shorter term investments that may not be as exciting as stocks, but will give you a better chance of achieving positive return. The stock market has basically gone straight up for the last 10 years. This is abnormal. Do not think it will continue forever.
One good but often overlooked benefit of the Roth IRA is that one can pull out any principal they invested (not interest earned) at anytime without penalty. Because of this, I use mine as a backup emergency fund.
Set up an automatic monthly transfer you can afford to the most boring Vanguard total market index fund. Leace it alone for about 15 years.
Tech Industry
Yesterday
384
Did you get a job offer this year?
Cars
Yesterday
1861
Cyber truck killer: Chinese version of EV truck
Tech Industry
8h
416
How’s capitalism going?
India
14h
2821
Why is it so G*damn difficult to move money out of India
AMA
Yesterday
2982
I have worked at TikTok US core tech for 3 years. AMA.
i would invest in knowledge first and foremost
Are there any resources you recommend I should read?
Agreed, Udemy, Grow with Google, even YouTube, podcasts, audio books, it sometimes doesn't even need to cost money, just time and effort, it'll pay off a lot later.