Newbie looking for advice

[Jay04WRX]

Ok guys I am a newbie to all of this and I know I have alot to learn but I am ready. In the past week the market obviously hasnt been doing well but they say I buy low and sell high.

I want to start small and invest $200-$300 in a stock and I am in it for the long haul. I want to get your advice and opinion on AIG. I know its been going through alot but right now its at $2 a share. Please use terms a newbie would understand also, haha.

The reason why I would be interested is because of what has happened with the fed and AIG. If the company goes under which I highly doubt I stand to lose 2-300 but if its a gain I will be happy. Please give me some advise if you can.


Jay

[Aufan 1983]

Originally Posted by Jay04WRX

Ok guys I am a newbie to all of this and I know I have alot to learn but I am ready. In the past week the market obviously hasnt been doing well but they say I buy low and sell high.

I want to start small and invest $200-$300 in a stock and I am in it for the long haul. I want to get your advice and opinion on AIG. I know its been going through alot but right now its at $2 a share. Please use terms a newbie would understand also, haha.

The reason why I would be interested is because of what has happened with the fed and AIG. If the company goes under which I highly doubt I stand to lose 2-300 but if its a gain I will be happy. Please give me some advise if you can.


Jay

AIG wouldn't be my choice for several reasons unless you want to trade it pretty often on the highs and lows. Several things fighting against AIG.

First the government owns warrants on 79.9% of the company stock. They will at some point sell those shares which will plummet the pps.

They just borrowed 85 billion dollars with an interest rate of 11% which is mind blowing numbers.

There are several better choices (IMO) Here are a few I like but please don't buy anything until you do your own DD.

TDCP... If you can buy in the 05 - 06 range. I don't think there is any question it will go back to .10 or .12 and that doubles your money.

WM... Risky play @ 2.20 but they are a huge group and are now shopping theirself trying to find a buyer. If an agreement is reached the buyout should be higher than the current pps. Maybe in the 3.00 - 4.00 range.

I would look at any penny stock as a temporary play. If you get up take the green while its there.

[Jay04WRX]

Originally Posted by Aufan 1983

AIG wouldn't be my choice for several reasons unless you want to trade it pretty often on the highs and lows. Several things fighting against AIG.

First the government owns warrants on 79.9% of the company stock. They will at some point sell those shares which will plummet the pps.

They just borrowed 85 billion dollars with an interest rate of 11% which is mind blowing numbers.

There are several better choices (IMO) Here are a few I like but please don't buy anything until you do your own DD.

TDCP... If you can buy in the 05 - 06 range. I don't think there is any question it will go back to .10 or .12 and that doubles your money.

WM... Risky play @ 2.20 but they are a huge group and are now shopping theirself trying to find a buyer. If an agreement is reached the buyout should be higher than the current pps. Maybe in the 3.00 - 4.00 range.

I would look at any penny stock as a temporary play. If you get up take the green while its there.

Thank you for the information above although I did not understand all the terms you used it was helpful.

[sg1efc]

Originally Posted by Jay04WRX

Thank you for the information above although I did not understand all the terms you used it was helpful.

"DD" means Due Diligence. This means to do your Own homework. We all must do our own research when trying to figure out which stocks to invest in.

My advice to you is to read everything in this section:
Due Diligence Information - Stock Market Cats

That's a good start for anyone new to investing. This is a great site with an awesome staff. It's the best that I know of.

Be prepared to lose money - if you need help losing money, just ask me, LoL.

Seriously though, you can learn an astronomical amount of info just by reading the posts at this site. If you have been to the Yahoo stock message boards or other forums, you will quickly see a Big difference between Stock Market Cats (SMC) and the others.

Remember that there are no stupid questions and to feel free to post - the more you ask, the more you learn. But first make sure to do lots of reading here and also make use of this site's Search tab near the top right of each page on this site.

Good luck to you and Welcome to SMC.

PS - I'm not an expert by a long shot, but feel free to message me if you have a question & I'll let you know if I can or can't answer it satisfactorily.

[Mambo]

Sorry friend i don't have any idea about all this.
I am a real estate investor, and according to me real estate investment is the best option for investing money for good future savings.

ALL the best!!!