How Should a Beginner Invest in Stocks? Start With This Index Fund.

Introduction

You don't need to be a stock market expert to make a lot of money investing. Investing in the stock market is one of the best ways to generate long-term wealth, now a fantastic time to buy.

The Best Beginner-friendly Investment

Whether you're new to the stock market or want a no-fuss investment, an S&P 500 index fund could be a fantastic option. This means you'll own a stake in all of the companies within the S&P 500.

Advantages of the S&P 500 Index Fund:

• Instant diversification: Every fund includes stocks from 500 of the largest and strongest U.S. companies.
• A-list collection of stocks: The S&P 500 companies are robust and safer investments.
• Outstanding long-term track record: The index has a 100% success rate in recovering from market downturns.

Earning Potential with S&P 500 Index Fund

Historic returns show the potential to accumulate substantial wealth over time with steady investments and patience.

Major Drawback to Consider

One major downside: The fund can only earn average returns as it mimics the market's performance. If maximizing earnings is a priority, consider investing in individual stocks for potentially higher returns.

If you want a safe, low-maintenance investment, the S&P 500 index fund may be your best choice depending on your investment goals and risk tolerance.

Where to invest $1,000 right now: Our analysts have shared 10 best stocks for you to consider.