| If you've followed my articles thus far, Moms, this is it. If you were ever going to become an online investor, today is the day. We've studied, discussed, explored, and persisted. You have enough information to take the plunge. I trust that after reading this article, you will open an account at BUYandHOLD and begin to save for your future.
First let's continue to discuss what's involved with the required forms and documents. After checking your investment firm for security, I have noticed that most of these firms offer a variety of investment accounts including:
Individual account
Custodial account
Joint account
Investment club account
These are but a few that are offered, and I would like to provide additional information in my upcoming articles on each of these investment accounts. As beginning investors and as parents, most of these funding opportunities are important to us.
Let's start with an "individual account." Most firms require that you provide the following information in order to open an account:
Name
Address
Social security number
Date of birth
Income
Net worth
This is a minimum of information that is required for the online firm to process your application. This form requires your signature and other information can be printed right off your own computer. I also noticed that most of the online investment firms would mail you a printed version if you do not own a printer.
I found the "web page" to open a new account very thorough on most of the web sites that I have visited. Prior to even signing in with a user name and password, most of these firms allow you to find answers to your questions even before you sign up. And one other note: you can sign up for these accounts without giving them your money right away.
Your online account is activated only after you fill in the required information on the forms and send in your initial deposit. You are then free to begin to spend your funds.
When I first opened my account, my money just sat there. It really was nerve-wracking because I wasn't sure which stocks I wanted to purchase. I had been monitoring my "play portfolio" of stocks while my real money just sat in my account, waiting to be invested. My stock picks in my portfolio were doing very well but I still wasn't sure where to put my money.
Sitting and watching my portfolio, day in and day out, doing very well, I found myself saying, "Well duh! That could be my real money earning more real money."
So…I finally just spent it. I spent it and then the fun really began.
Did you know that you could check your stocks 12 times or more throughout the day? At one point, as I watched my stock prices go down, I found myself cheerleading for my company.
"Come on you guys. Let's get those prices up. Don't give up yet. You can do this. Let's make this company roar!"
I cracked myself up when I realized that my investment firm web site, BUYandHOLD, and Motley Fool's portfolio site, are the "home" pages when I first start my computer in the morning. It's become an obsession as I check my stocks every morning and every evening and several times throughout the day. I'm guessing that I will finally come to trust my picks and will not be so compulsive, but in the mean time…it really is fun.
What did investors do prior to the advent of the web, when checking a stock price wasn't quite so easy and private? I know that they could sit and watch that ticker (remember that continuously moving banner of all the stocks and their prices), but who ever had time to just sit and watch that? And how many times were you allowed to call your broker and ask how your stocks were doing?
For those of us just starting out, who may lean towards a little obsessive behavior…the web is a lifesaver. We can check as often as we want…and nobody will notice.
So…this is it Moms. You have enough information to take that first step! I've yet to have any regrets and am actually enjoying this newfound skill. It's almost time for the sound of the closing bell to signify the end of the trading day, and I've got to go see how my stocks have done.
Thank you for joining me,
Joyce |
