first investment plan
Okay, so now you understand the basics on the market, stocks, and how to navigate the various choices. Next, let’s take a stab at developing your first investment plan so you can get started.
Decide on a (realistic) goal
Knowing what your goal is helps you figure out how much to start with, how much risk you’ll want to take on, and when you’ll need the money. Your goal might be to buy a new car, finance a trip to Japan, or pay for a new computer set up.
Establish your risk tolerance
Knowing what your goal is helps you figure out how The more risk you're willing to take, the greater the potential return on your investment.
Your age and goal matter here, too. The younger you are, and the more far off your goal is, the more risk you can absorb because you have time to ride out all those market downturns and company mishaps. If you’re older, you’ll want to protect your nest egg and invest in big, stable household-name stocks.
Research your stocks
Start by factoring in the risk tolerance you established in step 2. Then start your research.
Look at companies that are younger, focused on growth, and have stock prices that are more volatile, but have had big increases historically.
Focus on companies that are older, have good reputations, and have demonstrated a steady growth-rate over time. That said, even seemingly stable companies can stumble and fall, so keep your eye on the news.
Buy your stocks
Starting with as little as $5, you can use Stockpile to buy fractional shares of 3,000+ stocks Including Amazon, Tesla, Apple, Nike, and Disney. Stockpile also offers ETFs for Gold, Nasdaq, S&P 500 and more.
- Sign up and open your account.
- Feel free to buy and sell stocks whenever you want. If you’re under 18, your account will need to be supervised by an adult (your custodian). This person will need to approve your trades in advance – which only takes a second.
- Fund your account. This can be done by linking your bank account, a debit or credit card, or through a Stockpile gift card.
- Watch your investments grow via the Stockpile app.