Investing for the Average Person


Most importantly, you need to hold onto the money you earn. And then, you need to grow your money. In order to grow your money, you need to learn how to invest.

When you become an investor, you’ll be using your money to acquire things that offer the potential for profitable returns through one or more of the following:

Interest and dividends from savings or dividend-paying stocks and bonds
Cash flow from businesses or real estate
Appreciation of value from a stock portfolio, real estate, or other assets
As you learn to become an investor, you will begin to devote your limited resources to the things with the largest potential for returns. That may be paying down debt, going back to school, or fixing up a two-family house.

Of course, it may also mean buying stocks and bonds, or at least mutual funds or exchange-traded funds.

nvestors buy silver coins, silver bullion coins, and coin silver for one of three purposes: as an investment, as an inflation hedge, or for survival purposes, and Gainesville Coins offers silver coins and bars for the ones interested. Investors who buy for investment purposes look. for price increases because of silver’s supply/demand fundamentals. For example, in 1998 Warren Buffett purchased 129.7 million ounces of silver for Berkshire Hathaway, a holding company that Buffet heads.

Buffett’s silver purchase, which became legendary among silver investors, was probably for investment purposes. However, it may have been an inflation hedge; Buffett did not say. In fact, Buffett said very little about his silver investment, even after he disposed of it. One thing is certain, however, Buffett did not buy 129.7 million ounces of silver for survival purposes.

Thanks to advances in technology, you can start to invest with as little as $5 a month and a smartphone. It’s our job to help you filter out the noise, learn the basics, and make good investment decisions from the start.

With no fees on accounts with low balances and easy automatic investing, Wealthfront is our top pick for a best all around investment account. If you want to learn more about them, read our Wealthfront review.

So here are the basics of how to invest—wisely.