$1000 to start....what do I do.

[retardude48]

Hi guys,
I was recently giving a grand from my dad to invest in the market however which way I want. I signed up with TD Ameritrade since they were one of the only brokerages that had no minimum. Now my question is, what is the best way to gain money fast. Recently I bought some shares of CAG (still hanging onto that) and IPI (sold for a profit), and think that I cannot do much by buying and selling stocks since I cannot buy many shares. Bought 20 shares of CAG at 23.2 in March and 10 shares of IPI at 48.5 and made some money with it ~$100. Now a couple of weeks ago, I was watching Jim Cramer and someone called with the same situation that I am in. Cramer suggested that he put his money into indexes. What do you guys think? Please list any suggestions?

[wallstreetsedge]

fast? options...

if you want to play options a more simpler way.. i would say open an account with tradeking and learn how to trade fixed return options.. theyre cheap buy, you hold them a month or two.. and you can reap big returns of 10-80% during that time frame

[retardude48]

fast? options...

if you want to play options a more simpler way.. i would say open an account with tradeking and learn how to trade fixed return options.. theyre cheap buy, you hold them a month or two.. and you can reap big returns of 10-80% during that time frame

The thing with that is, that is too much risk for me. But I will def. consider it. Are there any low risk options choices?....like playing market indexes. My uncle does that he makes at least a guaranteed 20% return but thats with big money though. Any other suggestions other than options?

[DSNT]

If you want low risk, then you cannot feasibly make a decent profit fast. In fact, if you're just starting out, I would advise against trying to make quick trades, or you'll lose your $1,000 fast, especially in this economy.

If you are starting out, I would advise trying to learn to research balance sheets and determine which solid companies are underpriced (there are a lot of them right now). Buy them and hold for 3-6 months.

And don't pay attention to Cramer. If you feel you have to watch, fine, but don't take any of his stock picks.

[wallstreetsedge]

on quick equity trades 2% would be $20, which would be a round trip commission charge

[wallstreetsedge]

also i forgot to mention...

with such a small amount of capital.. you should be investing in time.. not the market. time to read about stocks, come up with a plan, apply the plan to something over a couple of weeks time frame, then use the dreaded paper trade..

once you know that, learn how to use FRO's and start there.. its definitely going to take you more time before you do anything... but youll get a good jump start there