How Should a Beginner Invest in Stocks? Try This ETF.
Are you thinking about getting started in the stock market? If you are, congratulations. Over time, stocks have outperformed all other major asset classes and have been the most reliable way to build wealth over the long term.
Having said that, investing in stocks can seem intimidating at first. With thousands of individual stocks in the market, how are you supposed to know which ones to buy?
Fortunately, there's an easier way for beginners to get exposure to the stock market that can still produce tremendous long-term returns. Exchange-traded funds, or ETFs, essentially pool investors' money together and invest in many different stocks in a single investment. And perhaps the best choice for new investors (and experienced investors, too) is the Vanguard S&P 500 ETF (NYSEMKT: VOO).
Source Fool.com
