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How to invest in the stock market when under 18 years old?
12-16-2012, 08:50 AM
Post: #4
 
I started investing when I was fourteen (I'm now 18).

The simple answer is that you need your parents permission to open a brokerage account. This is based on the UGMA/UTMA (Uniform Gift/Transfer to Minors) Act.Essentially, any money put is in trust for you, but as most brokerages are online, you can control the trades, investments, etc. with your parents grace. Depending on what state you live in, the account will become your property at 18 or 21 (ex. NY is 21 bsaed on the UTMA Act).

A great broker to start with is Firstrade [www.firstrade.com]. They have low commissions and great customer service. They also have no minimum to open an account. Do your own research to decide for yourself.

So: what you need.
1) parents willing to open an account for you, etc.
2) research and find brokers
3) open and fund an account [paperwork required!]
4) research and invest what money you have
5) gain experience and hopefully earn some profits

Good luck!
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Messages In This Thread
[] - A nobody - 12-16-2012, 08:50 AM
[] - Ted - 12-16-2012, 08:50 AM
[] - Maximus - 12-16-2012 08:50 AM
[] - EndlessMountain - 12-16-2012, 08:50 AM
[] - Stock Trader - 12-16-2012, 08:50 AM

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