For 2012 and beyond you can find 3 very popular ways or places to invest money in stocks, as well as your best spot to invest will depend on how actively you want to invest in the stock market. Do you want to try to select the best stocks yourself or would you rather invest your money with a fund and leave the amount of money management to professionals?

You can invest profit stocks online by simply opening an account with a major discount stock broker (like TD Ameritrade or E-Trade) and invest in individual stocks, in exchange traded funds (ETFs), or in mutual funds. Also you can invest your money in stock mutual funds and obtain personal attention with low priced if you invest directly with a no-load fund company like Vanguard, Fidelity, or T Rowe Price. Listed below are the 3 best ways or best places to invest in stocks depending on how active you intend to be in the management of one’s money.

If you actually want to invest profit individual stocks so that they can find the best stocks each year your very best place to invest has been a discount stock broker. Unless you really know what you do I wouldn’t invest much profit individual stocks. When you invest money here it requires that you stick to top of things. The odds of the average person making money and beating the currency markets in 2012 and beyond by investing individual stocks are slim. Few investors beat the currency markets.

Your second choice to be able to invest money in stocks is to spend money on exchange traded stock funds or stock mutual funds by way of a discount broker. That is your best place to invest when you are capable of picking your own funds and desire to own a diversified portfolio of stocks vs. individual stocks. Diversification lowers your risk by spreading your money around. Professional money managers make the stock picking decisions for you.

The 3rd choice is for those who usually do not want active participation in the stock market, but do want assistance and service. Their best place to invest money in stocks in 2012 and beyond is through no-load mutual fund companies. Here you open a mutual fund account directly with the fund company vs. a broker. Now you can invest profit a diversified portfolio of stocks with professional money managers working out for you. The cost to invest can be significantly less than you may think if you invest with the fund companies mentioned above. Plus, it is possible to call them and get personal attention – even when you only have a few thousand to invest. Your main objective when you invest profit stocks ought to be to earn a higher rate of return at a satisfactory level of risk. Trying to pick the best stocks is most beneficial left to people that want to speculate. Stock mutual funds are designed for the average investor. Your cost to invest $10,000 in stock mutual funds (with professional management) can be less than $50 per year with the right no-load (no sales charges) fund companies. That’s the best spot to invest profit stocks that I understand of if you actually want to put your cash to work with 2012 and beyond without being actively mixed up in stock market.

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