Goin into Stocks

[fdgfx]

Originally posted by Lawrence of Arabia
man there are lots of mutual funds out there, and many of them have negative YTD growth (from 2 to 5%)

This year is difficult. But short-term performance is of no big consequence for mutual funds.

If you are interested in actively managed mutual funds, here is my advice on how to select them.

1. Find out what they invest in: large company or small company stocks, growth stocks or value stocks, US stocks or foreign stocks, stocks or bonds, diversified (all industry sectors) or specialized. A well diversified portfolio may look like the following:
US large company stock fund 30%
US mid-sized company stock fund 15%
US small company stock fund 15%
Foreign stock fund 20%
Bond fund 10%
Real estate investment fund 10%

2. Check the fund's management. I prefer managers with long history of managing the fund. Funds with a revolving door on managers are best avoided. You don't have to worry about managers in index funds.

3. Compare this manager's performance vs the category and the index. Yahoo Finance will list up to 11 years of past performance. I consider beating the category 7 out of 10 years very good.

4. The fund's expense ratio. Anything above 1.5% is not acceptable for me.

[Lawrence of Arabia]

oracle looks pretty sweet too

[Moral Hazard]

Scottrade used to let you start an account with only $500. Don't know if they still do. They had a good number of mutual funds availble. But I never really checked since I was just gambling with penny stocks. On regular brokerage companies, stocks like oracle/apple will be hard to buy. They like to sell 100 shares at a time, but you can buy less. The transaction takes a little longer though. I did see a lot of 50 shares trading on scottrade though.

Anyway if you doing this for retirement/savings than a mutual fund is the way to go. I like the unmanaged ones mainly thru vanguard. If you want to have fun and maybe make a killing pennies are the way to go.

[Urban Ranger]

Oil company

[atomant]

Petroleum stocks. golf stocks, platinium stocks, anything related with high tech defence industries in the states (boeing etc)

[DanS]

Here are a few numbers about US stock market returns:

That looks like annual appreciation to me, not stock market (total) returns.

Especially pre-depression, a large portion of the total return was in dividends. For total returns, see, e.g., Ibbotson.

[Spaced Cowboy]

Seriously, it sound like you do not even have a nest egg, but if you are in a secure living condition, your best best for a stable reliable income is to buy a 6 month CD. Which is absolutely no risk of losing any capital.

If you feel like rolling the dice, then mutual funds are the way to go. Find some no-loads and open an account somewhere. Be warned that with investment companies, money talks and bullsizzle walks. In other words, if you don't have some serious funds, they will rape you with fees.

[Lawrence of Arabia]

Seriously, it sound like you do not even have a nest egg, but if you are in a secure living condition, your best best for a stable reliable income is to buy a 6 month CD. Which is absolutely no risk of losing any capital.

yeah. the CD grows at like 2.3%, but with interest rates going up, the rate can get better and better. the problem is the small premium that i have. with $1000, it will increase by $25 max every six months. wouldnt it be better to work that premium larger first, with some riskier investment, and then reinvest a portion of those gains into a stable low risk securiity like a CD.

[Odin]

Originally posted by Urban Ranger
Oil company

Not good for a long term investment, we will be reaching peak oil soon, and that will cause thier stocks to tank. Invest in bio-tech and companies that specialize in renewable energy, especialy bio-fuel.

[Lawrence of Arabia]

know any specific bio tech companies?

[Odin]

Originally posted by Lawrence of Arabia
know any specific bio tech companies?

not off the top of my head...

[Az]

emerging markets

[Odin]

Originally posted by Azazel
emerging markets

Gene Therapy:

[Az]

Yeah, but those are very long shots, at this point. Making a desicion to invest in emerging markets of eastern europeis different though. Their P/E for example, are so much sweet: they're already there, and they're already making money. Russian stocks are even better, though there is a certain element of risk involved.

Israeli stocks are great in the long term, but one shouldn't invest for quick cash in them, since they're currently after a long climb...

[Pave]

Originally posted by Lawrence of Arabia
know any specific bio tech companies?

Biotie came first to my mind. Is it good for you, I honestly don't know.