What should I invest in?

Question

My son is 12 Years old and i want him to start investing for the long term. People say it is never to soon to start investing. Are they correct? I am new to the market and don't know to much about it. But my question is what should he invest in to make money in the future?

I Know there is no better time then now to buy. So if you can help me out i will reward you with 10 points if you have the best answer!!!

Answer 1

Depending on how much money he plans to invest, your best bet is to invest in some kind of mutual fund. High risk mutual funds. The name high risk may sound off putting, but if you are looking at long term investments than the risk is really not so high. The longer you plan to invest the lower the risk is. If you plan to invest the money for more than a decade than the risk is practically zero. Over a long period of time you are probably looking at average interest rates of 10% or above. This means that money invested would double about every 7 years. Don't invest in a specific stock (the risk is way higher). Don't invest in bonds (better for short term investment). Don't stick it in a savings account (low interest rate because the money is still fairly liquid), or get a CD (better for short term investment).

Answer 2

tobbacos never been bad but if your going to invest invest now its the best time i would reccomend something thats going to expand much to china such as ebay with there huge spike in computer usage possibly gm its down huge and i higly dought there not going to make a comeback by cheap itll be up in years to come

Answer 3

i dunno

Answer 4

not shore ether but if u  have a lawyer ask

Answer 5

well im not sure if you are looking at retirement funds or stocks or bonds.  Stocks typically have long term growth, yet the market has been down lately so I have lost money, but like you said there is no better time to buy than when the price is low.  But the key to long term growth is to hold on to the stocks.  This market fluctuates with the economy so I believe the stock value will go back up.  Currently Netgear has done best for me in my portfolio.  It is only 15 dollars a share and has gone up steadily despite the bear market.  Don't buy anything just because of an online recommendation though.  I suggest looking at the financials of any company you think about investing in on yahoo finance.  Hope this helps.

Answer 6

BEFORE YOU INVEST IN ANYTHING, you should invest in a few (or dozens) of good books on investing, and possibly even a financial advisor. A good book to get you started is "The Neatest Little Guide to Stock Market Investing", it will teach you the basics and  has recomendations for other books to continue your investment education. Please keep in mind that investing is a very overwhelming and complex practice, and if you have the time you CAN be successfull, but it will take a lot of work, and if you don't have the time or will for it, I highly reccomend hiring a financial advisor.