Best investments for young adults

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Money market accounts typically have account minimums that you have to consider as well, especially if you want to earn the best rate. Short-Term Investments The alternatives for your short-term cash, such as an emergency fund, are pretty much the same regardless of your age. They change every couple of months as the underlying bonds in their portfolios tend to change. And past market behavior isn't a reliable way to predict the future. You don't have to pick stock by stock.

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However, in periods of uncertainty, it can make sense to invest in short term investments.

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The Best Investments for Young People

However, there are sites where you can get an idea of bond pricing, like the Wall Street Journal. In a traditional bond, if interest rates rise, the price of the bond drops, because new investors can buy new bonds at a higher interest rate. Open an Account at TD Ameritrade. Your savings account isn't invested in anything Online checking and savings accounts are one of the best short term investments for several reasons:. What are your favorite short term investments? In your 20s, your biggest asset is time.

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