My 21 year old son has a solid job at the public works department and has a decent nest egg ($30k) he is trying to invest. Currently it is just sitting in the local bank savings account getting a low interest rate.
I think he is open to some of the ways of the bogglehead approach, but is also interested in some short/medium term stock investing. My guidance to him was not to try to time the market, just buy and hold for the long term. But he has in interest in individual stock investing and wants to try it. So I thought I reasonable approach was to pick a small amount of his nest egg (10%?) and play the market with that amount for short term gains/losses. The rest could be in CD's, bond funds and equity index funds. He would probably use this bulk of his savings to but a condo someday in the next several years, but that is just a guess.
What is a good, simple online bank or brokerage fund for a 20 year old new investor? He mentioned Webull. Any thoughts on that?
Maybe it should be something simple and allow both stock investing and online savings, CD's etc?
Or maybe it is better to set up an online savings account/CD with like Ally or similar, and have the stock investing be at a separate place so it isn't too easy to use his safe nest egg money and impulse buy 100% facebook stock? I was 20 years old once, and this is something I would have done![:)]( "Smile")
I'm trying to guide him by balancing out simplicity (since he is a new investor), and some guardrails so he doesn't do something unwise.
Thanks
I think he is open to some of the ways of the bogglehead approach, but is also interested in some short/medium term stock investing. My guidance to him was not to try to time the market, just buy and hold for the long term. But he has in interest in individual stock investing and wants to try it. So I thought I reasonable approach was to pick a small amount of his nest egg (10%?) and play the market with that amount for short term gains/losses. The rest could be in CD's, bond funds and equity index funds. He would probably use this bulk of his savings to but a condo someday in the next several years, but that is just a guess.
What is a good, simple online bank or brokerage fund for a 20 year old new investor? He mentioned Webull. Any thoughts on that?
Maybe it should be something simple and allow both stock investing and online savings, CD's etc?
Or maybe it is better to set up an online savings account/CD with like Ally or similar, and have the stock investing be at a separate place so it isn't too easy to use his safe nest egg money and impulse buy 100% facebook stock? I was 20 years old once, and this is something I would have done
I'm trying to guide him by balancing out simplicity (since he is a new investor), and some guardrails so he doesn't do something unwise.
Thanks
Statistics: Posted by howdo — Mon Aug 19, 2024 8:28 am — Replies 1 — Views 77