Starting Investment as Undergraduate Student

Have a question about your personal investments? No matter how simple or complex, you can ask it here.
Post Reply
User avatar
Topic Author
SpartanEngineer
Posts: 2
Joined: Thu Mar 26, 2020 9:10 pm
Location: Unite Arab Emirates

Starting Investment as Undergraduate Student

Post by SpartanEngineer » Thu Mar 26, 2020 9:32 pm

Hello!

I am a university student looking to start investing (I have no idea what I am doing), and I am in slightly unusual circumstances.
I am in no debt thanks to a grant, and this grant covers all my living expenses as well. I should also be covered, or at least not struggling in my post-graduate years, making me richer by the virtue of having no negatives on my statement.
I also have a bit of money (~$5000 USD) with which I want to start investing with.
I've been reading the getting started guides and reading up on the theory, but almost all of them encourage an investment strategy and a goal...
However the financial position I am in now does not demand any 'needs', especially as I plan to consider my retirements and other required expenses outside of my starting investment money.
Moreover, whilst I am definitely not risk-averse, I certainly want to make 'wise' investments so that I know what I will be doing when I genuinely start to prepare for my retirement later down the line...

I have several questions -
What is a realistic goal for a medium to high risk investment portfolio?
What is the best way for a somewhat young person like me to start investing?
Should I even start investing so heavily? Many adults in my life have recommended that I just buy few index funds and spend the rest on traveling and enriching my brain, which is quite a tantalizing suggestion...
What are the taxation concerns that I keep reading about but have no idea about despite having tried to understand it?

I am a non-US citizen, but any investment tips for both within and outside of US would be grateful.

Thank you so much for helping a youngling like me!
Stay safe and healthy!

SpartanEngineer

Silverado
Posts: 265
Joined: Fri Oct 18, 2013 6:07 pm

Re: Starting Investment as Undergraduate Student

Post by Silverado » Fri Mar 27, 2020 5:45 am

If you have the ability (resources and citizenship status) to put money regularly into a total stock market index fund, you really should. Besides seeing large growth in the next 40 years, you can start a good investing habit now. There is almost no one on this board that does not wish they had a chance to get started earlier, or do more than they did.

I have some dollars that have been invested since I was 22, right out of college (1994) and goodness how they have grown...2001, 2008, and 2020 have not been able to rattle that solid base.

There is a nice pdf that is linked a bunch of times here, IfYouCan.pdf that you should search for and read. Then read again.

The adults telling you to toss it into index funds, then go about your personal growth and development, sound like decent people.

User avatar
Topic Author
SpartanEngineer
Posts: 2
Joined: Thu Mar 26, 2020 9:10 pm
Location: Unite Arab Emirates

Re: Starting Investment as Undergraduate Student

Post by SpartanEngineer » Fri Mar 27, 2020 7:37 pm

Welp, that sounds about right. Thank you for confirming my worries!

Thesaints
Posts: 3441
Joined: Tue Jun 20, 2017 12:25 am

Re: Starting Investment as Undergraduate Student

Post by Thesaints » Fri Mar 27, 2020 7:47 pm

SpartanEngineer wrote:
Thu Mar 26, 2020 9:32 pm
I've been reading the getting started guides and reading up on the theory, but almost all of them encourage an investment strategy and a goal...
However the financial position I am in now does not demand any 'needs', especially as I plan to consider my retirements and other required expenses outside of my starting investment money.
If you have no goal, why don't you spend that money and enjoy it ?
Maybe, when you consider things in those terms a goal will pop up.

Post Reply