When I was 15 my father suggested that I use the cash in my savings to start investing in the stock market. At the time I had a whopping $1500 just rotting away in the bank. So I decided that it couldn't be a bad idea. After all you always hear about rich stock investors and brokers making it big on Wall Street. Since being filthy rich was one of my long-term goals I decided to jump on in. That’s when I yanked my money out of my bank went to see the friendly and helpful folks at Edward Jones Investments.

First off, let me tell you why putting money in a savings account is a waste of your cash’s earning potential. You see unless you have a huge amount of cash in your account you are never going to make any money. Banks have a very low interest rate for savings accounts. Sure you might make a few hundred every few years but when you account for inflation you see that your money is really just sitting there. You don't really lose any money and you never really make any.

On the other hand the stock market (while more volatile) can be a lot more profitable. Depending on your investments you could make 35 percent, 40 percent, or even more on your investments. However, I have found that in general it is around 13 percent. That figure is still about 8 to 10 percent better than a bank. According to my broker at Edward Jones I have done much better than 13 percent.

To get an account at Edward Jones you just need to put up $500 dollars in a cash account until you establish yourself with them. However, after a short time they will extend you low interest loans against your investments for whatever you want. It’s great if you want to buy more stocks (buying on margin) or if you just need some cash. I recommend checking out their informative Web Site. You will find that commission rates will vary but on the average they are $50 per trade. Edward Jones is a national firm with branches all across the country. Call a local branch and speak to their friendly staff for more information.

Playing the market also involves increased risk. You could lose everything! But as long as you play it safe and invest in strong proven companies that have room to grow you are probably safe. That is why it is also important to get a broker like Edward Jones. They will give you great advice on how the market and the company you are interested in are doing. You can even call and they will research the past history of any company around. FREE!

Let me get back to that $1500 I invested. I am now 20 and I have a portfolio worth more than $10,000. What a great return! It was very exciting to watch my money grow and grow. I have started to buy more and more stocks and even a few stocks on margin! Now I feel much more secure. I am a college student now. By the time I graduate I hope to have made enough money investing to pay off all my loans.

So if you are a young person, or an older person, and you want to start securing your financial stability than I recommend investing. However, it is important to know what you are getting into and how to play the market responsibly. Check out my tips for investing!

Tips

1. READ, READ, READ --- Investment magazines, Internet news, and any other sources.

2. Invest in proven companies with good track records.

3. Get a stock broker...I recommend Edward Jones.

4. Talk to people who are in the market.

5. If you don't watch CNN. START NOW...that is a good thing to do even if you don't want to invest.

6. If you want a great stock buy INTEL. They command over 90 percent of the PC chip market.

7. HAVE FUN...Investing is a cool and rewarding hobby.




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