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A Complete "How To" Guide for
investing in Stocks, Bonds and Mutual Funds
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You are here:
Investing >
How to Invest Money
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| Smart Advice on How to
Invest Money |
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Reasons to Invest Money - Introduction
There are already hundreds of books written
about investing. Why another one? According
to recent surveys, more than 80% of
Americans have very little or no knowledge
about money essentials. Most high school
graduates are financially illiterate.
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Special Investing Introduction for Children
& Young Adults
Why should you learn about money management
and investing? You have so much time ahead
of you, at least 75 years. You need money
right now for the latest clothes, shoes,
music CD's, and if you're an older teen, car
and dating expenses.
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The Investing Concept
So what is "properly invested" money? Well,
it certainly isn't a savings account. It
isn't savings bonds or T-Bills or bank
certificates of deposit. Yes, it does have
something to do with the stock market.
You'll learn everything you need to know
about simple stock market investing in
another chapter.
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What is Compounding Interest?
Imagine a job offer for work lasting exactly
31 days. You are given the choice of a flat
payment of $474,836.47, or a daily wage
starting with 1 penny on the first day, and
then doubling each day. This would be 2
cents the second day, 4 cents for the third
day, and so on through 31 days. Which would
you choose?
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