How Do I Invest With 100 Dollars?
Author: Mike Singh
For most people, the idea of turning a hundred dollars into a couple of thousand seems unreasonable. Unless, of course, turning 100 into a million is a simple operation of adding the appropriate number of zeros, which it is not. However, there are ingenious ways to actually make a lot of money out of your hundred dollars. It just takes imagination, determination and passion to become a hundred-dollar man to a million-dollar man.Invest Your Money in Stock InvestmentsYes, there are stocks in publicly-traded companies on the Big Board that you can purchase for a hundred dollars, give or take a few dollars for minimum enrollment fees. Of course, the presumption is that you will initially bypass hiring a stockbroker for this purpose since you want your hundred dollars to remain relatively intact from the stockbroker fees.For example, you can invest in J&J stocks for as little as $100 with a $10 enrollment fee. This is assuming that you will automatically purchase a $100 worth of stocks every month from your bank account until you have reached the minimum stock purchase requirement of a thousand dollars. Yet another example is Coca-Cola that allows for the purchase of one share of stock without an enrollment fee.Also, you can invest in penny stocks. Most of these stocks will sell at an average of $5 per share. Keep in mind that some of the penny stock companies make money albeit they are not listed on the Big Boards due to market cap limits.Invest Your Money in a Compounding Interest CDIf you have accumulated a sufficient number of hundred dollar bills, you can invest it in a compounding interest certificate of deposit (CD) in either a bank or a credit union. You have the guarantee of your principal investment being returned to you with a respectable interest income. In fact, for many investors, a CD is the safest investment you can have in your portfolio. Of course, you must choose the CD with the highest possible returns, all other things being equal on the terms and conditions front. Also, you must stay on top of your CD investments as you do not want them to roll over into low-yielding accounts once they reach maturity.Double Your ProfitsIf you are into business, the best way to turn your dollars into millions is to double your profits with every investment. When you constantly and consistently double your profits, your hundred dollars can turn into a million dollars in about 12 separate investments while reinvesting the profits. For example, you must invest in a product that can be purchased for the lowest possible price of $100. Now, sell it for more than double its amount such that you can recoup your investment of $100, cover your operating expenses and still get your $100 net profit.
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