MyStockFund makes it easy for you to begin an investment program and
move closer to your financial goals.
"Can small contributions really make a difference?"
Yes. Even if you don't have a lot to invest, regular investments made
over a long period of time can grow to a sizable nest egg. Watch what
happens to an investor who stashes away just $100 a month...
Time, Compounding Returns and Stocks' Growth Potential
This example assumes an 8% annual return on a $100 monthly investment
and no deduction for taxes. This is a hypothetical example. Your investment's
performance will vary. (top of page)
"Are stocks risky?"
Stocks are not stable value investments. The shares you buy today may
be worth more or less tomorrow, depending on changes in the economy, the
direction of interest rates, company events, the outlook for the stock
market as a whole and other factors.
Millions of investors are willing to accept this risk because stocks
offer the potential to earn significantly higher returns than are available
on more conservative investments. For many of us, it would be difficult
to reach our most challenging financial goals, like saving for retirement,
without this kind of growth potential. (top of page)
"Can diversification help me manage risk?"
Yes, the old adage "Don't keep all your eggs in one basket" is a solid
strategy for investors too. Simply put, diversification means spreading
your money among different stocks, industries and asset classes (like
cash, bonds and stocks). This makes the performance of your overall portfolio
less dependent on the success or failure of any single investment.
MyStockFund encourages diversification by allowing you to invest in as
many stocks on our stock list as you want without paying a fee to buy
shares. Diversification is an effective risk-reduction strategy but it
does not ensure a gain or protect against a loss. (top of
"Is it any less risky to buy shares over time?"
If you invest a set amount of money in the same stocks on a regular basis,
it can be less risky than making a spontaneous lump-sum purchase. Here's
Two Different Approaches|
Lump-Sum Investment: Investor 1 buys $1,200 of Company Z shares
in a single transaction. To a greater extent than the scheduled investments
approach profiled, Investor 1's return will be based on the timing
of his investment did he invest at what will prove to be a low
price for his stock or did he buy all of his shares at a high?
Scheduled Investments: Investor 2 buys stocks over time. He systematically
invests $100 in Company Z shares each month for one year. In this way,
he effectively averages the price he pays for his shares and all but eliminates
the chance that he would purchase all of his shares at the highest price.
The difference is between jumping in and wading in. Remember though that
no stock market investor is ensured a gain or protected against a loss.
And, in order for a periodic investment approach to be an effective risk
management strategy, you must maintain your investment program over a
long period of time and buy shares regardless of the stock's price. Company
Z and its stock price assumptions are hypothetical. Your investment results
will vary. (top of page)
"What information is available to help me make stock purchase decisions?"
You'll have access to MyStockFund's stock research reports and can use
our detailed search screens to identify stocks that meet your requirements.
Search by company name, ticker symbol, industry group or market capitalization.
MyStockFund also provides charts and data for major stock market indices
and a wide range of educational resources. These can help you stay up
to date on market events and keep your investment program on track. (top
"How do I get account information or make trades?"
Once you subscribe, you'll be able to use your ID and password to log-on
to the site and...
- view current portfolio holdings
- get market information
- research companies
- use the MyFundBuilder page to add or delete stocks
from your buy list
- sell stocks during market hours.
MyStockFund is designed to be easy to use. Even if you're new to investing,
we expect you'll be comfortable using the site to request information
and make transactions. Subscribers are also welcome to call a MyStockFund
member care representative at
Representatives are here
to answer your questions about services and enrollment. Our hours are
Monday - Friday, 9:00am-5:00pm ET.
To preview MyStockFund transaction pages or the breadth
of market and account information available to subscribers, click Take
a Tour. (top of page)