Are You Ready to Invest?http://www.fool.com/personal-finance/general/2008/01/23/are-you-ready-to-invest.aspx Mary Dalrymple
January 23, 2008
You're fired up to become an investor and make millions, but are you really ready? See whether you fit into one of these investing profiles.
1. "I've maxed out my credit cards, but I keep up with the minimum payments every month."
Unless you want to give yourself an early heart attack, invest only with money that you know you don't need for at least five years. Don't invest the money you need for debts, medical needs, mortgage payments, utilities, or dog food. Don't even invest money that you hope to spend on a vacation or home improvements next year, unless you don't mind that the vacation gets canceled and the home improvements get postponed.
You're ready to invest when you have cash that you don't need for five to seven years, and that you don't mind subjecting to some risk for the opportunity to make money.
2. "I have an hour every day, and two on Sunday, to devote to market charting and stock picking."
If you're struggling to find 30 seconds at the end of the day to brush your teeth, buy an index fund and forget about it. You're