I Am 7 Years Old and I Want To Invest in Stocks. What Should I Do?

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Welcome to Ask Clark, a column designed to answer your financial questions, by money expert Clark Howard.

Where Should a 7-Year-Old Invest $50?

Briggs from North Carolina asks: “I want to invest and I have $50. What do I do?”

Clark’s Take on Where a 7-Year-Old Should Invest His Money

Clark loves the idea of a child wanting to invest in their future. And he’s got just the thing: Fidelity Investments’ Fidelity Zero Funds.

Clark says: “An adult has to help you to open an account at Fidelity Investments. You can invest that $50 completely commission-free, meaning you’re not going to pay somebody to take that $50 from you.”

These zero-expense ratio index mutual funds have the following benefits for investors:

  • No minimums to open an account
  • No account fees for retail brokerage accounts
  • 24/7 live customer service

“Fidelity absorbs all of the investment costs for you as an individual. I love this as a place for you to start,” Clark says.

As for which type of fund to choose, Clark recommends the Fidelity Zero Total Market Index Fund (FZROX).

“Look at this fund and explain to whoever is going to own the account as your custodian,” Clark says, “that the money that you add to it will be yours to completely control once you turn either 18 or 21, depending on the state where you live.”

“If you keep adding to this fund whatever money you have over the years, it will make you a lot of money,” Clark says.

New to investing? Learn how to do it with little or no money.

To hear Clark’s full take on this question, listen to the segment:


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If you have a question but don’t want to go on-air, contact Clark’s Consumer Action Center for free money help.

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