15 Investing Tips if You're Just Getting Started

Investing is a great way to grow near-term and long-term wealth. In fact, a lot of people manage to retire wealthy simply by beginning to invest at a young age and upholding that habit throughout their working years. If you're new to investing, here are some pointers to help you on your journey.

5 Winning Stocks Under $49
We hear it over and over from investors, “I wish I had bought Amazon or Netflix when they were first recommended by the Motley Fool. I’d be sitting on a gold mine!” And it’s true. And while Amazon and Netflix have had a good run, we think these 5 other stocks are screaming buys. And you can buy them now for less than $49 a share! Simply click here to learn how to get your copy of “5 Growth Stocks Under $49” for FREE for a limited time only.

Setting goals can help you establish a smart strategy that works well for you, so ask yourself -- what are you trying to accomplish by investing? Do you want to supplement your income? Grow wealth for your senior years? Knowing what your investing timeline looks like will help you make wise choices.

ALSO READ: 3 Stocks for Beginning Investors

The more money you're able to invest, the better, but you shouldn't leave yourself scrambling to pay your bills. Figure out how much you can afford to invest each month before you start putting money into the stock market.

Some people are more risk averse than others. Coming to terms with your own appetite for risk can help you assemble a portfolio that doesn't cause you to lose sleep at night.

A good brokerage account could help you better manage your investments and avoid costly fees. Aim for a brokerage with competitive commissions, a wide range of investment choices, and solid customer support.

ALSO READ: New to Investing? 3 Beginner Mistakes to Avoid

Investing in a retirement plan will allow you to grow wealth in a tax-advantaged fashion. If your employer offers a 401(k) plan, it pays to sign up, especially if your company will also match some or all of your contributions. Otherwise, go ahead and open an IRA.

5 Winning Stocks Under $49
We hear it over and over from investors, “I wish I had bought Amazon or Netflix when they were first recommended by the Motley Fool. I’d be sitting on a gold mine!” And it’s true. And while Amazon and Netflix have had a good run, we think these 5 other stocks are screaming buys. And you can buy them now for less than $49 a share! Simply click here to learn how to get your copy of “5 Growth Stocks Under $49” for FREE for a limited time only.

A diverse portfolio can help you accumulate wealth and protect you from losses. If you're buying individual stocks, aim to invest in at least a dozen different companies across at least three or four market segments.

Buying individual stocks means having to research companies one at a time, and that's a lot of work. A better bet could be for you to buy index funds or exchange-traded funds (ETFs), both of which let you own a bucket of stocks from a single investment. Index funds and ETFs also lend to diversity, which is why they're a great choice when you're first starting out.

ALSO READ: 2 Stocks for Beginning Investors

The great thing about dividend stocks is that they provide you with an ongoing income stream. You can collect your quarterly dividends and withdraw that money to pay bills, or you can reinvest your dividends as they come in.

Stocks that are all over the news aren't necessarily the right stocks for you to buy. Be careful with meme stocks -- those that gain notoriety due to internet hype. They might seem like a great opportunity, but many of the companies behind them are pretty volatile.

Penny stocks are appealing due to their low cost, but a lot of the companies behind them are newer, not-yet-established businesses that may or may not have strong growth potential. If you're new to investing, you may want to stick to companies that have been around a long time.

5 Winning Stocks Under $49
We hear it over and over from investors, “I wish I had bought Amazon or Netflix when they were first recommended by the Motley Fool. I’d be sitting on a gold mine!” And it’s true. And while Amazon and Netflix have had a good run, we think these 5 other stocks are screaming buys. And you can buy them now for less than $49 a share! Simply click here to learn how to get your copy of “5 Growth Stocks Under $49” for FREE for a limited time only.

If you're on a budget as a new investor, you don't necessarily have to forgo expensive stocks with high share prices. Instead, you can find a brokerage account that allows you to buy fractional shares. That way, you can own a portion of a share of stock if a full share doesn't fit into your budget.

ALSO READ: 5 Tips to Conquer Your Stock Market Fears

Once you assemble a portfolio, you may be tempted to see how it's doing from day to day. But checking up on your investments daily could not only drive you crazy but lead you to make rash decisions that result in losses. Remember, stock values can fluctuate frequently. In the long run, however, stocks tend to gain value.

While checking your investments daily isn't wise or necessary, it is a good idea to review your portfolio once every quarter. That way, you can see how your investments are doing, make sure you're nicely diversified, and see if there are market segments you haven't dabbled in but should.

Stock market downturns happen frequently -- and they shouldn't cause you to panic. If you avoid selling off investments when they're down, you won't lose any money, so make a point to keep your cool during periods of turbulence.

ALSO READ: Worried About a Stock Market Crash? 5 Ways to Be Ready

As a new investor, you're not expected to come in knowing exactly what to do. So don't go it alone. Read beginner investing guides, talk to a financial planner, or see if your brokerage account has educational resources you can access. You shouldn't hesitate to seek help in building a portfolio and making key decisions with your money.

5 Winning Stocks Under $49
We hear it over and over from investors, “I wish I had bought Amazon or Netflix when they were first recommended by the Motley Fool. I’d be sitting on a gold mine!” And it’s true. And while Amazon and Netflix have had a good run, we think these 5 other stocks are screaming buys. And you can buy them now for less than $49 a share! Simply click here to learn how to get your copy of “5 Growth Stocks Under $49” for FREE for a limited time only.

The sooner you begin investing, the more opportunity you'll have to accrue wealth. So don't delay -- start following these tips to set yourself up for success.

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