How to Start Investing in Stocks: A Beginner’s Guide

Investing can be considered as a method by which you set aside some money when you are attentive to your life. The money you invest will bring your returns in the future without any hard work. So the money you invest will be in the expectation to reap benefits in the future. And now, investing and buying stocks is no more a hassle. Anyone can easily buy shares, even through PayPal. To learn how, you can visit the Aktienkauf mit Paypal blog, where you can find how to buy shares with PayPal in detail. The mission of investing is to make your money work for you in one or more investment mediums to increase it over time.

What type of Investor are you?

You need to answer this question before investing your money. You need to set your investment goals and decide the risk levels you are ready to face. Some investors will be interested to remain active in managing the growth of their money while others may not want to supervise the money they invest. Both the above types of investors can choose bonds, stocks, or exchange-traded funds (ETFs, mutual funds, or index funds to invest in. 

Online Brokers

Online brokers can be either discount or full-service. Full-service brokers will be providing a complete conventional brokerage service like financial advice on healthcare, retirement, education, etc. Mostly, they will be dealing with clients who have a high net value and will be charging hefty fees that will include a portion of your assets managed by these brokers, a portion of your transaction, and also an annual membership fee. 

Discount brokers will provide certain tools to choose and place the transactions you carry out. There will be an automated advice service also that will be ideal for the investors who invest their money and forget it until it matures. As financial services had rapid growth in the 21st century, many features have been added to the online broker services such as mobile applications and educational materials. 


Robo-advisors emerged after the financial crisis that occurred in 2021. They make use of technology to help the investors to get financial advice at a low cost. Betterment is considered to be the pioneer in the market and the example was followed by many companies. Several online brokers such as Charles Schwab integrated Robo-advisory services along with their other services to move along with the market trend. Investors who look for an algorithm to help them with their investment decisions such as rebalancing or tax-loss harvesting can take the help of Robo-advisors. 

Investments using your employer

People who do not have a good budget for investment can invest 1% of their total salary for a retirement plan they get at their work. Your contribution will be very small and will not affect your monthly budget. These retirement plans will be deducted from their paycheck before calculating the tax, which makes it less painful for people with a small budget. When the investor is comfortable and gets a hike in the annual salary, they can increase their percentage of contribution. However, make sure that your contributions to your investment plans do not affect your monthly budget and your personal finance.