buy stock

I have made my first purchase. I have bought ten stocks of Kelloggs (@ $43.54). I have some silly reason for picking this stock (something to do with my name, and their ticker code) but anyway, I am on my way. And now I can cross this one off my list.

I opened a Share Builder account. They are connected with the ING online banking system I use, and have a lot of faith in. They offer $4 automatic invtesting and $10 one-time investing. I am more interested in investing once and watching my stock grow (I’m optimistic). The last week I have been looking at different online buying options, and then out of the blue this weekend, I get an email from share builder saying they will deposit a free $25 in my account if I open one. Look, I’m already making money!

I thought that I would be able to do this goal for about $100, but after having a long discussion with my dad about stocks and everything he knows about them, he convinced me that I need around $500 to actually make a profit. We even talked about exit strategies. I figured I would just keep my stock in there for the year, or longer. But he pointed out that I might want to sell it if it made 20%. I think he might be right.

I am trying to find a cheap online account that allows me to just buy one stock and not touch it for a year. A friend recommended a site called “firsttrade” which seems to be $7 per transaction. I am an ING Direct customer; they advertise a $10 transaction fee. Are there better ones than others? Does it really matter if my goal is just to buy a few shares of one stock and watch it?

I have always wanted to watch a stock grow (or die!) and I think it would be a good experience to actually buy one. It seems like something you should be able to do. I need to look into a few different stock-buying options. Then I figure I will just buy one and hope it makes me a million dollars. If not, I will just be paying for the experience.

First I better make a call and reactivate my account!

As much as I want this – I have to put it off until I reach another goal, paying off my credit cards. When that is done, the I set aside to pay bills will go into buying stocks. It’s on my list to keep me focused.

I finally did it. It’s addictive though. Try penny stocks to learn trading.

I have been discussing this topic with friends and coworkers, reading books, looking up stocks on morningstar. the best info I”ve gleaned so far is a handful of mutual funds with value based fund managers. So, I think I’m going to save up and buy into one of those funds.

I’m definitely working towards this. I am reading the business section of the NY Times on sundays, and talk about finances with some people at work. One of my patients got a kick out of talking to me about his stock portfolio. It was nice to seem him perk up a bit and talk about his interests. In the end, it seems mutual funds are so much easier to invest in, diversification right off the bat. But I want my mind to start thinking differently and being more open to business thoughts/ideas/etc.

I have started all my investing with mutual funds as they seem a bit safer (diversified) and easier. But, I do think there is something to buying individual stock as well, perhaps over the long run you save by not paying the expense fees of having a fund that is managed. I have some finance books I’m reading, and when I feel more educated, I’ll go for it. I’m planning on maybe starting with a $500 purchase and building from there.