$1000

I am 21 and have $1000 to invest. Can you give me some ideas on how you would try to build your account?

 

Ive been looking at some stocks. Particularly biotechs but I am also intrigued by ETFs.

 

Could someone give me a quick rundown on ETFs and any other ideas of how you would go about building an account..starting with a $1000?

 

thanks for the help

Its going to kinda depend on your goals, how long you want to hold and so fourth.  With $1000 you can really only buy 1 or 2 individual stocks so your kinda gambling and suggest just the 1 individual. i dont know anything about ETF's and hate mutual funds. There are plenty of good companies out there to invest in that will recover great after the recession. I dont know much about biotech or pharmacy stocks so i dont get into them but if you understand them and beleive in their recovery then go for it.  I am into mining and commodities and can say that this is where to invest in which in turn leads to investing in the bulk shippers.  a few of  the companies i really like are

 Rio Tinto Plc ( Ireally like this stock)

Genco Shipping

Diana Shipping

Potash Corp of Saskatchewan

Monsanto

Freeport Copper

Caterpillar

John Deere

Terra Industries

 

Others i like Long Term

Las Vegas Sands (will rebound huge after the recession)

Level 3 Communications (Just need to get their debt under control)

Maxwell Technologies

Danaher

I would say my goal right now is to just build my account to around 2-3x where it is now in maybe a yr or two. Is that reasonable?

 

thanks again for the help.

for that little you might want to think about opening a forex account,

me and a few guys here are learning it 

check out the forex thread

 

 I am using

its pretty good,

 

im still on a practice account now, but will be investing my tax return.  

Silkworms.. Unfortunately I wouldn't really want to invest 1K in the stock market. The fees for trading are brutal. Here in Canada you can average anywhere from $20-$50 bucks per trade... Meaning on a buy an sell you can have to fork over up to $100 bucks that means you would have to generate a 10% return just to break even... Try finding a high interest savings account / low risk mutual funds. Actually I think your best bet would be to throw it down into an index fund in maybe 3 economies... If your in it for the long haul you get say US/Brazil/Chinese index funds and in three years you should be doing great once the economy gets corrected. just an FYI Brazil was averaging 30% returns for the past couple of years (although DONT expect these now).

 

You'll probably need a minimum of $5 K to start investing in stocks..anything less I would really discourage you to do so unless you are able to find fees for under $10/trade which I'm pretty sure are none existent. Good luck!

well if you do trades on-line, there are all kinds of trades for under $10

my online account charges 10bucks for trades.

 

 

buying american eagles ......should i go with gold or silver ......is gold too high to buy?

Silver!  Historically silver trades around 1/30th of gold today it's at at 1/70th.  Take a look at the producers to, if these prices stay here or go higher there will be huge upside regardless of overall market conditions.

went with the 10 oz  silver bars rather than coins , too high of premium on the coins

Graph

Also- if you believe the ratio will regress to 30:1- or even 50:1- any thoughts on equal weighting silver long and gold short?

I don't quite have the nerve to short gold right now.