Stock Markets Exposed

I have $40 and want to invest it in the stock market online?

I have $40 in a paypal account and want to give online investing a shot. I have a feeling that now is a good time given how volatile everything is, and I do not want to invest more than that until I have a firm understanding and feel for what I am doing. What site do I go to, or how do I otherwise undertake this task and get some hands on experience? Is there any other guide or resource available to people in my position? Thanks!

Public Comments

1. It all depends on where you are. I am in Australia so here I would recommend Commonwealth Securities (https://www.comsec.com.au/default.aspx). Before trying real money I would look around for a place that lets you try your hand at investing using imaginary dollars. Often these take the form of competitions. eg http://www.asx.com.au/resources/education/games/index.htm http://www.stockwatch.com.au/ Many places also have a heap of online learning material to help teach you how to select stocks and how to invest in shares. eg: http://www.asx.com.au/resources/education/index.htm There are also other ways of investing in shares or currency markets with foreign currency brokers. These also let you sign up for demonstration accounts so you can try them with imaginary dollars. This one: http://www.igmarkets.com.au Lets you buy shares from all over the world as well as currencies and metals. Rather that buying the actual stocks though you are trading in contracts for difference (CFDs). These are much cheaper than actual shares but are leveraged so while your gains are amplified your losses are also amplified. Companies like this will often have an educational section telling you how to use their product or service. The big companies have very good technical support too.
2. AIG was be a best stock to invest if you plan to invest for a long term, because AIG is too big to fail and beside AIG no longer need government bailout money. if you invest in AIG are now you returning profit is 10-30 times in 3-5 years.
3. There is really no point in trying to invest $40 in stocks or mutual funds. You could afford to buy only one or two shares of any reasonable company. Commissions would destroy up to half your investment. Rather take the money and buy a couple of Canadian investment books. See how much it would take to set up a phantom portfolio account on Globeinvestor. Take an investment course through Canadian Securities Institute. There is no quick simple cheap and easy way to boundless wealth