I don’t remember my first investment account, but I do remember my second.* I had saved up some money from summer jobs and wanted to invest it for retirement. Now, you have to remember, this was when I was a freshman in college – so I didn’t know very much about investing at the time. I had a good amount of theoretical knowledge, but I didn’t know much about the practicalities of investing.
I remember walking into my bank and talking to the investment advisor. She talked about various mutual funds and costs until my head spun. I was drowning in jargon. At the end of our meeting, I took some brochures and literature to review. A few days later, I opened my account and made my investment.
I remember how nervous I was when I signed to documents and made the investment. At the time, I didn’t really understand the process and paperwork. It’s the same sort of nervous I have whenever I try anything new.
But you know what? Over time I became more experienced in investing. I did more trades and opened more accounts, both for myself and others. Now, opening an account is nothing, and placing a trade is and exercise in the mundane.
When you open your investment accounts for the first time, it can be a scary experience, but as you grow into investing and develop knowledge and experience, it will become second nature.
* My first investment account was started by my father to invest the long-term savings portion of my childhood allowance for my college education. One of the securities was Rock Mountain Chocolate Factory. Is it any wonder that I’m a financial planner?