ArtsAutosBooksBusinessEducationEntertainmentFamilyFashionFoodGamesGenderHealthHolidaysHomeHubPagesPersonal FinancePetsPoliticsReligionSportsTechnologyTravel

The Basics of Investing and Increasing your Income

Updated on January 8, 2012


There is no time where it would be too soon to be thinking about investments. It makes great sense to put your money to work and earning more money with it. That is basically what investing is. Often it is difficult to meet all of one's financial goals, but investing done wisely, has helped many people achieve their goals. The bigger financial choices like buying a home, paying for college, or having a stress free and comfortable retirement are all things that can help be made possible by making wise financial decisions all along the way.

I think there is a big assumption among many people out there that investing is for people that already have a lot of money, but that is not the case necessarily. While being wealthy can certainly help, it is not a must to be able to invest. Why not consider investing small amounts over time? Many people have reaped considerable amounts by doing just that. Investing regularly can pay off.

Of course, there are decisions to make along the way, like how much you want to invest, and where to invest it. You will want to know what your options are, and what the risks are. This way you can make the most informed decision possible and help your money make money.

Investing, putting your  money to work for you
Investing, putting your money to work for you
The NY Stock Exchange
The NY Stock Exchange

Basics of Investing

There are some very basic things to understand first when considering investing. The three main categories for investing are cash, stocks, and bonds. With cash, this would include your money in bank accounts, Certificates of Deposit, and U.S. Treasury bills. Bonds are basically loans that investors make to the government and corporations. Stocks are ownership shares that investors can buy in a corporation.

People choose to invest in a lot of different ways, and they do so directly or sometimes pool their money with others in mutual funds indirectly. People can have their money pooled with others, and then it is all invested together. There are stock mutual funds for instance that buy stocks, and money market funds make cash investments.

If you want to invest there are many opportunities to do so. I live in the United States currently, and there are thousands of stocks and mutual funds to choose from. There are millions of of government and corporate bonds to choose from as well. There is the world market of course, and you can choose to invest there whether in developed or emerging economies.

There are thousands upon thousands of banks, brokerage firms and financial advisers to work with the United States alone.  People invest sometimes directly with the issuer whether it is a corporation, government or an investment company. Many people currently invest online with their computers. So you can see there are many options to consider if you want to put your money to work for you.

The NY Stock Exchange
The NY Stock Exchange


    0 of 8192 characters used
    Post Comment

    • oceansnsunsets profile imageAUTHOR


      7 years ago from The Midwest, USA

      Thanks Phoenix, glad you stopped by!

    • PhoenixV profile image


      7 years ago from USA

      Great hub and great advice.

    • oceansnsunsets profile imageAUTHOR


      7 years ago from The Midwest, USA

      I agree, about losing the mindset of fast returns, though that would be nice. Its just not that reasonable though. I like the idea of letting the money and investment "do its thing". Thank you for your comment, Rpalulis.

    • rpalulis profile image


      7 years ago from NY

      Thanks so much for covering the basics of investing. You are absolutely right it is never too late to invest, and you do not need lots of money to do it. Whats the old saying, "slow and steady wins the race" We can become so impatient and want to see immediate returns. I have found that once you invest just walk away from it, and let the investment do its thing. It is fun to track your profits, but lose the mindset of making fast returns.


    This website uses cookies

    As a user in the EEA, your approval is needed on a few things. To provide a better website experience, uses cookies (and other similar technologies) and may collect, process, and share personal data. Please choose which areas of our service you consent to our doing so.

    For more information on managing or withdrawing consents and how we handle data, visit our Privacy Policy at:

    Show Details
    HubPages Device IDThis is used to identify particular browsers or devices when the access the service, and is used for security reasons.
    LoginThis is necessary to sign in to the HubPages Service.
    Google RecaptchaThis is used to prevent bots and spam. (Privacy Policy)
    AkismetThis is used to detect comment spam. (Privacy Policy)
    HubPages Google AnalyticsThis is used to provide data on traffic to our website, all personally identifyable data is anonymized. (Privacy Policy)
    HubPages Traffic PixelThis is used to collect data on traffic to articles and other pages on our site. Unless you are signed in to a HubPages account, all personally identifiable information is anonymized.
    Amazon Web ServicesThis is a cloud services platform that we used to host our service. (Privacy Policy)
    CloudflareThis is a cloud CDN service that we use to efficiently deliver files required for our service to operate such as javascript, cascading style sheets, images, and videos. (Privacy Policy)
    Google Hosted LibrariesJavascript software libraries such as jQuery are loaded at endpoints on the or domains, for performance and efficiency reasons. (Privacy Policy)
    Google Custom SearchThis is feature allows you to search the site. (Privacy Policy)
    Google MapsSome articles have Google Maps embedded in them. (Privacy Policy)
    Google ChartsThis is used to display charts and graphs on articles and the author center. (Privacy Policy)
    Google AdSense Host APIThis service allows you to sign up for or associate a Google AdSense account with HubPages, so that you can earn money from ads on your articles. No data is shared unless you engage with this feature. (Privacy Policy)
    Google YouTubeSome articles have YouTube videos embedded in them. (Privacy Policy)
    VimeoSome articles have Vimeo videos embedded in them. (Privacy Policy)
    PaypalThis is used for a registered author who enrolls in the HubPages Earnings program and requests to be paid via PayPal. No data is shared with Paypal unless you engage with this feature. (Privacy Policy)
    Facebook LoginYou can use this to streamline signing up for, or signing in to your Hubpages account. No data is shared with Facebook unless you engage with this feature. (Privacy Policy)
    MavenThis supports the Maven widget and search functionality. (Privacy Policy)
    Google AdSenseThis is an ad network. (Privacy Policy)
    Google DoubleClickGoogle provides ad serving technology and runs an ad network. (Privacy Policy)
    Index ExchangeThis is an ad network. (Privacy Policy)
    SovrnThis is an ad network. (Privacy Policy)
    Facebook AdsThis is an ad network. (Privacy Policy)
    Amazon Unified Ad MarketplaceThis is an ad network. (Privacy Policy)
    AppNexusThis is an ad network. (Privacy Policy)
    OpenxThis is an ad network. (Privacy Policy)
    Rubicon ProjectThis is an ad network. (Privacy Policy)
    TripleLiftThis is an ad network. (Privacy Policy)
    Say MediaWe partner with Say Media to deliver ad campaigns on our sites. (Privacy Policy)
    Remarketing PixelsWe may use remarketing pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to advertise the HubPages Service to people that have visited our sites.
    Conversion Tracking PixelsWe may use conversion tracking pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to identify when an advertisement has successfully resulted in the desired action, such as signing up for the HubPages Service or publishing an article on the HubPages Service.
    Author Google AnalyticsThis is used to provide traffic data and reports to the authors of articles on the HubPages Service. (Privacy Policy)
    ComscoreComScore is a media measurement and analytics company providing marketing data and analytics to enterprises, media and advertising agencies, and publishers. Non-consent will result in ComScore only processing obfuscated personal data. (Privacy Policy)
    Amazon Tracking PixelSome articles display amazon products as part of the Amazon Affiliate program, this pixel provides traffic statistics for those products (Privacy Policy)