You have missed a key point: taxes. A brokerage account in one name means that one person is responsible for all taxes on any gains. Pooling money to invest is a bad idea.

When you do invest, think long term and high quality. Get-rich-quick schemes like day trading and penny stocks do not work, especially for beginners.

You would not expect to step on the track and outrun Usain Bolt. Don't expect to beat professional investors as a novice.

Yes, think long term!

?

Me and my friends are going to be pooling about $3,000 together initially to invest in some stocks. We are unsure of what direction to go though. Should we invest in more expensive and stable stocks like Microsoft (MSFT) or Coke? Or should we go for cheaper stocks such as AMD or even cheaper on the chance that the stock value could rise at least $10, thus generating lots of profit?