YES! It definitely is lol Its sad that the university I currently go to doesn't have a tennis team/club since its really new, in high school I was voted all-conference (kinda like an all-star) and miss those glory days lol
But I mean aren't the Dividend Aristocrat companies going to keep paying dividends (Atleast a very small chance of them stop paying them) so that is kind of a high chance of happening for sure?
So it is better to take more risk since I am younger and have a lot of time to recover if I mess up? Also why would a mutual fund be better than an etf?
Yeah I hope I can become one and start making some good money soon lol I mean wouldn't it be better to invest as early as possible?
Its weird I have read a lot of articles where people are praising Div Reinvs and others how say it is a waste, I mean I guess it just depends on what you get right? So would it be better if I was to get a decent sum of money through growth stocks and then once I have a large financial nut to buy div stocks for a steady passive income?
ira is for protecting personal money which otherwise would be taxed. Inside the ira you can invest in anything you want. To achieve your goals you must max out your IRA before you open a personal account. 401k is provided by an employer. The investment choices ypur employer offers may not be perfect, but you at least need to contribute up to the point to get the free employer match. Yes, the Vanguard S&P 500 index can be purchased as a mutual fund or etf. For long term monthly investing I prefer the mutual fund due to all the conveniences. Not sure why anyone would trade the etf. SPY would be a much better choice.
Ok so I tried replying to mostly everyone, and It'll take me a little bit to reply cause I only have time to check this site after I finish my day at school. Also I never said but I currently have $10k saved. A little update, my family is starting to get into real estate and are looking into buying a couple of additional houses in my town, so: 1) My sister is going to buy a house and is asking me if I want to help her with the down payment, so she said if I give her 3000 she will double it within 4-6 years (I trust her 100% so assume she will pay it) or I can get 100 a month from the rent since she's gonna put it on rent. 2) Also my mom/dad/brother also are thinking about buying another house and they also are wondering if I want to help with the down, this one would be 10% on the principle only(no compounding) every year and a portion of the profit if they decide to sell. What do you guys think, would these options be better investments of my money compared to investing in the stock market?
Are they just short on cash or something? Seems like 10% return on your money either sounds like they A. want to help you out/generous B. just don't have enough for a down payment and are willing to pay a high rate for it. Your sisters deal seems like the best, take the $100/month from rent option IF you think you can keep it rented out. $3000 profit in 4-6 years or $100/month, so $3600 to $5000 over the same time frame...assuming you of course get the $3000 back. Hope they know what they are doing of course also.
1. ETFs likely better than mutual funds. In fact, had ETFs come along first, there likely wouldn't be a mutual fund industry. 2. Whatever risks you take, it's better not to lose. Oftentimes traders talk about "blowing out" their account, then starting over again. "Better to do it early on when you don't have much money, blah blah..." Better to not blow out... ever.