Never lose sight of the fact that high rewards are being offered for a reason - the risk of loss is also high. Whatever the type of investment you are after you should always try to think about having a broad portfolio of investments as this again will lessen your risks while giving you the opportunity to get a good return. Whichever type of investment you are considering make sure they have a proven track record in that particular field. Ask around family and friends and check with the Better Business Bureau. Remember a specialist will usually have much greater success than a general practitioner. If you address all these points you will very quickly find you have the answer to the question "how do I start investing? Obviously you don't want to lose it but if you absolutely can't afford to then you should look for something which carries a significantly lower level of risk. Likewise it's important to feel comfortable knowing that you should be investing in the markets for the medium to long term. That's generally regarded as 5 years plus. Here we are unexpectedly in a traumatic situation and we get hit by the double whammy of sudden debt and guilt! If you think it will never happen to you don't be too sure. Think of something as simple as an accident, it doesn't even have to be your fault, and you get hospitalized for a couple of months. In fact it was November of 1954 before share prices reached the level they were at on that first day of the crash. So what caused such an economic disaster? There are many different views on the cause as you would imagine but the general consensus of opinion is that there was a misplaced belief that high share prices could be sustained indefinitely. One thing which many people tend to forget when they first start to invest in the markets is that they are investing for the medium to long term. If you have that clearly in the forefront of your mind you will make much safer investment decisions. That's simply because you're far less likely to panic if you see the price of your stocks fluctuate dramatically.