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Subject:  Re: young dumb and full of $$$ Date:  12/21/1999  9:45 AM
Author:  TMFPixy Number:  16695 of 88052

Greetings, Steven, and welcome. You wrote:

<<i'd describe myself as an aggressive investor, yet all my money is in mutual funds. i'm 25, recently married. the house thing is done. the first family car thing is done. now, before the eggs get hatched, i want to be aggressive with my money? i will take advantage of the 401ks, but what about the extra money? should i venture into the stock, day-trading world? my goals are high. i'd like to have 5 mill or more by the time i retire in my 60s. my wife and i already have a head start on most people our age b/c of her lifetime money savings plan. So consider something like being 25 with 50k in mutual funds and an extra money problem of 1500-2000/month.

where would you put the 50k?
where would you put the extra monthly income?
we are already taking advantage of the 401k, but i don't think 401k alone will allow me to reach my goal!!>>

Bravo for taking an interest on where to put your money at such a young age. With that attitude, you will certainly attain your goal by age 60. However, before you do anything, I strongly suggest you clarify in your mind precisely what it is you wish to do and achieve. I assume you're new to both Fooldom and to investing. That's great on both counts! You have wandered into a forum that believes you, as an individual, can do far better for yourself than most professional money managers. Provided, that is, you take some time to learn a few basic investment concepts and do some self-examination to see where you fit on the risk tolerance scale. Therefore, why not take some time now -- not later -- to be sure about what you want to do.

Start first by reading The 13 Steps to Investing Foolishly, which you can access from the Quick Find box in the upper right part of most screens on The Motley Fool. They will suggest some important things you should consider. Then I suggest you toddle over to your local library, discount bookstore, or even here in the Fool Mart, and pick up some easily read, easily understood, inexpensive texts that will thoroughly explain how to invest in stocks using some simple systems that will take but an hour per year of your time (if you're slow) yet produce returns that put the majority of professional money managers to shame. I suggest and commend the following to you: "Beating the Dow" by O'Higgins; "The Dividend Investor" by Petty and Knowles; "The Motley Fool Investment Guide" and "You Have More Than You Think" by the Gardner brothers; "One Up on Wall Street" by Lynch; and "What Works on Wall Street" by O'Shaughnessey. All are well worth their low cost and the small investment in time it takes to read them. Get them and read them. You'll be glad you did.

While you're doing all that, also take some time to explore the various nooks and crannies of Fooldom to see what others are doing and what they're discussing. I also recommend you read my 13 Steps to Foolish Retirement Planning and my Foolish Retirement Plan Primer. Both may be found at , and they will help give you some insight as to what you can do. In the process of all that reading, you'll gain a wealth of knowledge and information that will serve to clarify how you want to approach this very personal issue. Don't be afraid to ask a question anywhere in Fooldom. Folks around here are great about answering questions and clearing up misunderstandings.

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