What stocks are best for a beginner?

Discussion in 'Stock Market Forum' started by Rosyrain, May 11, 2014.

  1. Rosyrain

    Rosyrain Senior Investor

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    I am new to the market and not ready to go for th NASDAQ or anything like that yet, so what are the best choices for a newbie. I would like to have a couple risky and and I conservative investment.
     
  2. sully3333

    sully3333 Member

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    P&G tends to be a very reliable stock, as well as Microsoft.
     
  3. ap4aaron

    ap4aaron Member

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    I have to second Microsoft. However, NASDAQ has some very good business opportunities, so I would encourage you to look into it
     
  4. mark973

    mark973 Well-Known Member

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    Microsoft stock might be one to invest in. Microsoft isn't really risky and pretty reliable so you could definitely try it. You could also try some of the lower stocks such as Yahoo.
     
  5. JR Ewing

    JR Ewing Super Moderator Staff Member

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    I'd read some of the writings of some of the authors we've recommended here to gain an understanding of how to invest and what to look for in investments. Then you can dig in and find those investments that have what you will look for.

    In the meantime, you might consider putting your $ into either:

    1) something very stable like savings or CDs;
    or
    2) something like bonds that pay more interest than deposit accounts and may fluctuate some but also guarantees a return of principal;
    or
    3) something that mimics the market such as an index fund;
    or
    4) something managed by a pro like a fund of some sorts or an account with a full-service firm...

    until you're comfortable enough to pick your own investments.
     
  6. wanderingwildman

    wanderingwildman Well-Known Member

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    Microsoft is a good choice. We certainly will never stop having a need for computers. I would stick with something safe like that in the technology field. Good luck!
     
  7. Strykstar

    Strykstar Well-Known Member

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    Coming into this topic I had no idea there would be so many people saying Microsoft, it seems like the consensus.
    How is Microsoft's stock not affected by the poor launches of Windows 8 and Xbox One?
     
  8. Lasonax

    Lasonax Active Member

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    Safe bets are the obvious big companies that are very unlikely to go down. Most stocks may/may not go down, but with bigger and well established companies such as Microsoft, it's very likely that they will go up on a long term sight.

    Strykstar: Microsofts stocks are definately affected by poor sales, such as those two, but it's a pretty safe assumption to assume that they will, in the future, release something that will make the stock go up.

    But remember, no matter what you invest your money on, there is no such thing as a "completely safe bet". Even with ultra-huge corporations that are very likely to go plus over the long term, it's possible that even companies such as those could go rock bottom for some unknown reason, even if the chance is slim. Personally I don't think there are any "beginner stocks" and "pro stocks": I think a beginner can "outsmart" a more experienced trader with a bit of luck and thinking easily. Just place your money on what you feel is right, and not what someone else tells you "is the best thing". We can provide suggestions, but don't follow our suggestions as rules.
     
  9. crimsonghost747

    crimsonghost747 Senior Investor

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    If you want to go straight for a stock instead of the other options that JR Ewing suggested, then I'd look for something very stable. Maybe an utility company that has a monopoly status? Almost guaranteed profit but obviously no real possibility of any major earnings increases. So generally very stable and allows you to get a feel of investing without too much volatility.
     
  10. TraderJK

    TraderJK Well-Known Member

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    Do your homework first. Learn and develop a system for selecting shares. Read books on investing and biographies of famous investors and speak to people about what they use to select shares (not what shares to buy). Also try paper investing first to get a feel for the process. A great book that has stood the test of time is: One up on Wall Street by Peter Lynch. This book will help you to build a strategy for selecting stocks to invest in.
     

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