Stocks
When you own a company’s stock, you own part of that company. If it does well, your stock will do well. You can buy and sell whenever you want through your broker or self-serve sites like ETrade or Datek.

Advantages: You can beat the market if your stock is good; if your stock is excellent, you can really beat the market. You can pick the stock in an industry you understand. Also, your money is liquid, meaning you can access it at any time by selling your stock.

Disadvantages: Unfortunately, if a company does poorly, so does your stock. Because a stock isn’t diversified, that can mean disaster for you (although you can easily reduce your risk by picking bigger, solid companies). Also, most people are not good at picking excellent stocks. In fact, they think they are but they really aren’t.

Inevitably, when I’m teaching the basics of stocks, someone will pipe up and say, “So what stock should I buy?” Let’s go through it.

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Guide to Buying Investments

Yes it's possible to get rich this way but not without any knowledge also this way can easy transform to beggar too... If you're not lucky i suggest better to not start this but always must remember risk exsit every where, even on street while you're walking...

im just curious what kind of researches do i have to do on a company to extimate the stock and how to find the information on these companies? I read in Rich dad that you must learn to read financial statements by comparing differnt ratios for at least 3 years...