Smart Ways to Invest with just 200

I propose two interesting ways to invest with just $200.

First, is an online brokerage firm that offers investment options not only for the experienced investor; but also for the novice. There is no minimum investment requirement and the site offers free investment advice.

There are three basic investment plans; but since we’re dealing with $200 I would suggest the Basic plan option that charges a $4.00 fee for each investment and no monthly fees.

Here’s how it works: Let’s say you want to purchase ONE share of McDonald’s stock. You would pay the investment fee of $4.00 + the share price which is currently $16.75 per share, for a total of $20.75. Just like that, you become the proud owner of one share in the McDonald’s Corporation!

Keep in mind that if you purchase stock under $15 a share, you would be able to purchase at least 10 shares or more with the $200 investment. Check it out: Using 10 shares as an example, you could purchase 10 shares in one company or 5 shares each in two companies or 2 shares each in ten companies – it’s up to you. You can even purchase partial shares. So, for only $200 you could potentially have an ownership stake in at least ten companies – is that cool or what?

Second, if you see helping others as an investment, I would encourage you to look into I first heard of this organization on National Public Radio (NPR). Kiva facilitates the process of assisting entrepreneurs in Developing Countries obtain micro-loans to either launch or expand an existing business.

I was awestruck by the small amounts needed to start/expand a business in the Developing World. For example, there is a woman in Africa who owns a soft drink resale business. Needed capital: $750. Repayment Term: 8 months. Minimum Loan amount: $25. No way?…way…

The stories are unbelievable: a man’s brother died and now he’s taking care of his deceased brother’s 10 children. Consequently, he needs an infusion of cash to expand an already profitable business so that he can generate more revenue since he has more mouths to feed. A loan to this guy would be impacting a whole village!

Here’s how it works: a)you choose a company on the website; b)you make the loan through Paypal, Visa, etc.; c)you receive correspondence from the entrepreneur or loan officer; and d)you are repaid the full loan before or by the end of the loan term.

Oh, repayment percentage on these loans? 99.72%. Another translation – that’s a .23% default rate. For you anti-numbers people, that’s a default rate of less than one-half of one percent.

It’s important to note that a typical request for capital is obtained by loans from multiple investors. Meaning, the $750 loan mentioned above could come from either 5 investors loaning $150 each or 30 investors loaning $25 each – it varies per loan.

So, for $200 you can either change the course of your future or someone else’s…both are good choices.