Friday, February 27, 2009

Investing in Mutual Funds with Sharebuilder

By Kay Riter

You wake up one morning and you've finally realized that your money will not last forever. If you ever want to retire, or if you want to be rich, you need to start investing your money. So, you jump on the internet or head to the bookstore to find some information.

You have to start learning. Do as much research and studying as you can. Read books and magazines about stocks, bonds, mutual funds, and other investing. If you want to become rich, you know that you need to invest and that you need to learn how to correctly and effectively research stocks.

Now that you know what to do, how do you get started? Do you just call up a broker and as them to buy you some stock? Where do you get their number? Learning how to invest takes a lot of hard work. Fortunately, getting started is not nearly as hard. With the internet, investing has become even easier.

If you are looking for a great online brokerage firm, I recommend Sharebuilder. It's been more than 2 years now that I have been buying and selling stocks through Sharebuilder, and I couldn't be happier. The sign up process is easy. All you have to do is fill out a few forms online and then send in some copies of ID. After that your account will be confirmed and your ready to start investing.

Sharebuilder has plenty of features to protect your money. Many people are wary when it comes to using a credit card online, let alone investing your money. Sharebuilder does not use a credit card. Use simply connect your checking account and transfer money whenever you need it. They have special validation for whenever you transfer money and make trades to ensure you are the only one using your account.

Probably the best part about Sharebuilder is that stock automatic investments only cost $4. Since there is no minimum investment, you could invest as little as $10 if you really wanted to. They are excellent for long-term buy and hold investors.

If you are a novice investor and don't feel comfortable choosing your own stocks, you can invest in mutual funds instead. With mutual funds, a fund manager chooses the stocks for you and as an added bonus, you don't to pay any fees. You can choose from growth stock funds, bond funds, foreign funds, and other types.

If you think you're too young to start investing, think again. In fact, the younger you are, the better. The sooner you start investing, the more money you'll make.

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