One way to encourage portfolio diversification is to add stocks from different sectors. There are 11 stock market sectors and understanding them can potentially help you become a better investor.
Withdrawals from a 401(k) are a serious matter, as they can lead to financial penalties and deplete funds meant for your senior years. But a host of options can help you avoid this outcome, even in an emergency.
When you invest in a stock, you buy a share of one company. A mutual fund bundles stocks, bonds, or other securities together, offering instant diversification in a single investment.
In the money markets, governments, banks, and others buy and sell short-term debt—and individual investors own bank accounts, certificates of deposit (CDs), money market accounts, money market funds, and similar assets.
Paper trading lets you practice trading, try out ideas, and test-drive a trading platform before risking real money. Here's how to paper trade and improve your trading.