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Getting started with investing is certainly an intimidating prospect. When you invest your money in something, you want to be sure that it is at least somewhat safe, and that you are putting it in an investment that will earn you the best return for your hard earned dollar.

Investing well takes time and knowledge. It's important to learn as much as you can about where you are putting your money. You do this to avoid getting cheated, to ensure proper diversification of your money and to be sure to get a good rate of return.

I often suggest to people who are just getting started to do lots of research before making any sort of long term commitment with your money. In America, there is an excellent magazine aimed at the beginner through intermediate level investor. Money Magazine is cheap, easy to find at a local bookstore and contains a wealth of good tips on investing and money management. You can start with zero knowledge about financial issues and Money gives you a good place to start.

Doing research online is also a good place to learn the basic of different types of investments. Oddly enough, wikipedia is not a bad resource for learning the basics of Money Markets, Certificates of Deposits, Mutual Funds and the like. I have found wikipedia articles to be somewhat dry and technical however.

Once you are familiar with the basics of different investment options, you can start planning your personal investment strategy. You need to decide several things before you begin. First, how much money do you have to invest? Are you going to be able to add to your investment over time, or are you starting with one big lump sum (not as likely)? Knowing how much money you have to invest effects your strategy in a number of ways. Many investments take a minimum amount to get started. For example, mutual funds often have a minimum investment of several thousand dollars. Similarly, real estate investment takes a reasonable amount of cash up front to get going.

Next you need to look at your investment time line. How long to you plan on investing for? For most people just getting started, it's safe to assume you are young and will be investing for the long term, which is generally over a period of more than five years. This makes a difference as some investments are geared as short term places to stash a little cash, while others are intended as places to put your money for several years or longer. An example of a short term investment would be a Certificate of Deposit for a three

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