How can a teenager start investing money ?

Rubye Bonnin: First, be aware that there is investing and then there is gambling. If you are thinking of day trading and making a profit as a job, then you are gambling and likely to lose. An investor can expect an average annual return of about 7% over the long term. An investor knows that he doesn't have the time to closely research and constantly review individual stocks so he invests in a reliable mutual fund. A reliable mutual fund is one which has a superior 3, 5 and 10 year record. These can be researched on Morningstar.com. An intelligent investor sees the value of his good mutual fund drop as much as 40% (2009) and considers that an opportunity to buy good companies at a discount. An intelligent investor never buys and sells stocks or funds - he just buys and holds....Show more

Robt Betker: You are never too young to start saving and investing. People that start investing when they are young are more likely to develop habits that will last a lifetime! . Here are some steps that can help you:1. First you have to Learning the Basics2. Add to your savings frequently3. Use compounding when you invest4. Use dollar cost averaging5. Let your wealth compoundHope this will help you....Show more

Thomas Riner: Get in contact with your bank. I don't know all the rules about age, but I would think you could put it in a savings account. A "Money Market" account gets you a little higher interest. Then there are CD's and ROTH IRA's - but you might need to be a certain age to get some of those.

Bianca Lannier: The Uniform Gifts to Minors Act (UGMA) is an act in some states of the United States that allows assets such as securities, where the donor has given up all possession and control, to be held in the custodian's name for the benefit of the minor without an attorney needing to set up a special trust fund.