What is investing?

Investing is a way of putting your money to work. You purchase something that offers potential profit through interest, income or an increase in value. That “something” can be financial products like stocks, ETFs, mutual funds or bonds.

If you make a profit, you can use that money for big purchases in the future, like a graduation trip or a new phone. 

Watering can and plant in pot

When should I start?

It’s a good idea to start investing as soon as you can. Investing early can pay off later on. The longer you wait, the less time you have to make your money grow. When you start early and invest a little bit on a regular basis, all those contributions will add up and have the opportunity to grow.

How can I invest?

Here are a few types of investments you could go for.

Stocks


Mutual funds


Exchange-traded funds (ETFs)

An ETF is an investment fund, but it’s traded like a stock. Some ETFs are managed by professional fund managers, but most are managed by computer algorithm. They’re usually cheaper than mutual funds.


Bonds

A bond is similar to a loan agreement or an IOU. When you invest in a bond, you’re basically loaning your money to a company or a government (the bond issuer) and getting interest in return. While other investments make no guarantees, a bond issuer commits to the terms of the loan, including the date when they will pay it back in full and the date and rate that interest payments will be paid to the bondholder.

Want to learn more about investing?

Student with headphones using a laptop in a library

Your investing personality

Knowing what kind of an investor you are can play a major role in helping you put together your investment portfolio.

Learn moreabout personalizing investing.

Student with a backpack riding a bike

Managing your investments

Find tips on how to manage your investment portfolio.

Learn moreabout how to manage your investments.

Student with a backpack and headphones using a phone

CIBC Investor's Edge for students

Our online platform has educational tools to help you build your investment portfolio, even on a student budget.

Learn moreabout CIBC Investor’s Edge for students.