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  • Getting Started:

    If you want to get started in investing, the first thing you need to do is sit down and evaluate your goals. Take into consideration your age, your financial position (i.e., how much you plan to invest each month or year or what have you), and then figure out what you need to do to get where you want to be in the amount of time you have. This is a great time to talk to a licensed financial advisor, who can help you figure out the logistics, and can also help you keep a handle on what is realistic and what isn't.

    Next, you'll most likely need to open a brokerage account, and you can opt either for full service or an online broker, although a number of major brokerages such as www.schwab.com offer online trading. There are advantages to each kind of broker, but for a beginning investor, I'd recommend taking a hard look at a full service brokerage. You'll have someone qualified to make investing decisions available to help you make decisions, to offer recommendations, and to help in the learning process. You'll pay more for their services than you would by handling the trades yourself through an electronic brokerage, but consider it an investment in the learning process.

    As for the amount of money it takes to get started, it varies from broker to broker. Most have minimums required to open an account, and it's usually at least $1000 to $2000. If that's a little rich for your blood, you might look into something like a dividend reinvestment program (also known as a DRIP), that allows you start an investing program with very little cash.
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