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Author: awesomestockdude Three stars, 500 posts Ticker Guide Supernova Odyssey 1
Mission Team Member CAPS All Star SC1 Red Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 2674  
Subject: Re: Starting Out Date: 8/2/2011 11:30 PM
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Hey MiniNick!

It's awesome to see another teen around on the board. This board has definitely helped me become a better investor, and I'm sure it will for you too.

One of my friends set up an account in Scottrade. I believe the minimum amount you can put in is $500, commission fees are $7, and they do not reinvest dividends. Zecco could be a potential option for you as well. There is no minimum amount to set up an account, the commission fees are $4.95, and I believe they do reinvest dividends. You'll probably want to do little more research, but I hope that helps!

Scottrade: http://www.scottrade.com/

Zecco: https://www.zecco.com/

If you keep commission fees down to a reasonable level, $500 should be a good enough starting point to invest into 3 or so stocks. It is true, dividends do definitely add up over the long-term, but when first starting I would focus on investing to educate yourself. Find businesses you are interested in from a consumer angle, and try to research those. It will make learning more enjoyable, especially if the business is easily understandable. These could be businesses like Activision (think Call of Duty), Starbucks, Hasbro (think Transformers), and Nike. I don't limit myself to dividend paying businesses (I think some non-dividend paying businesses are fantastic), but all of these mentioned do pay dividends.

$500 is a fine starting place, but I hope you can add more over time. You just never know when great investment opportunities can pop up, and if you don't have any more cash on hand then it too bad, so sad. $500 may not even sound like much compared to adults around us, but think about it this way. If you invest that $500 earning a reasonable return of 10% (if you invest wisely) and don't add another cent for 50 years, in the end you will have almost $60,000. Yup, time is definitely on our side if we start young!

I hope you stick around on the board. It's been dead for quite a long time, and if things become like the past again, we can turn this board into a great learning environment.

Thanks for posting, and if you have any more questions feel free to ask!

Best,

Aaron
Long ATVI, SBUX, and HAS
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