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The smartest things to do with $1,000

GOBankingRates Logo By Jim Wang of GOBankingRates | Slide 1 of 24: Investing can be daunting. I know I didn’t invest, outside of my retirement accounts at work, because I was worried about taxes. At least, that’s what I told myself.
The real reason was uncertainty. That’s the toughest part about investing: Am I making the right choice? Am I diversified? What does that even mean?
It wasn’t about education. I know the basics to investing — you probably do, too. It was about action. Or, rather fear of action. I grapple with those questions every time I review my finances. Fear of the unknown can be paralyzing, but it doesn’t have to be.
I overcame that fear when I started reading about investing. All the experts seemed to agree that investing was the right choice. Taking action was the best choice, and a little risk and volatility were acceptable if my time horizon was long enough. If you need the money in two years, keep it in something safe and stable. If you don’t need it for 20, you can put it in something riskier.
If you’re sitting on the sidelines worried about what to do next — especially after the Great Recession and subsequent recovery — the consensus seems to be the same: Invest. I asked 25 money experts — certified financial advisors, bloggers, university professors and professional investors — “What is the best way to invest $1,000?” Read on to find out what they said, and learn the tips you need to know to get started investing.

The smartest things to do with $1,000

Investing can be daunting. I know I didn’t invest, outside of my retirement accounts at work, because I was worried about taxes. At least, that’s what I told myself.

The real reason was uncertainty. That’s the toughest part about investing: Am I making the right choice? Am I diversified? What does that even mean?

It wasn’t about education. I know the basics to investing — you probably do, too. It was about action. Or, rather fear of action. I grapple with those questions every time I review my finances. Fear of the unknown can be paralyzing, but it doesn’t have to be.

I overcame that fear when I started reading about investing. All the experts seemed to agree that investing was the right choice. Taking action was the best choice, and a little risk and volatility were acceptable if my time horizon was long enough. If you need the money in two years, keep it in something safe and stable. If you don’t need it for 20, you can put it in something riskier.

If you’re sitting on the sidelines worried about what to do next — especially after the Great Recession and subsequent recovery — the consensus seems to be the same: Invest. I asked 25 money experts — certified financial advisors, bloggers, university professors and professional investors — “What is the best way to invest $1,000?” Read on to find out what they said, and learn the tips you need to know to get started investing.

© Aramyan / Getty Images/iStockphoto

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