How To Buy Rivian Stock (RIVN) – Forbes Advisor

Companies developing electric vehicles (EVs) are a hot new sector of the tech industry. They’re also great investment choices if you’re looking to buy stocks that focus on sustainability and saving the planet.

Rivian Automotive (RIVN) is an EV startup company that went public in 2021. Rivian’s most promising products include electric pickups and SUVs, and batteries. The Rivian membership system gives owners access to vehicle chargers across the country.

When it comes to investing, it’s important to find companies that you believe in and that share the same goals as you. At the same time, it is always risky to invest in individual companies, especially those that are new to public offerings. Here’s what you need to know about buying Rivian stock.

How to buy Rivian shares

1. Choose the right platform for your investments. If you don’t already have one, you’ll need a brokerage account to buy shares in RIVN. A taxable investment account allows you to buy a wide range of assets beyond stocks, such as exchange-traded funds (ETFs) and mutual funds. Broker accounts may have account minimums and other fees, so research your options carefully before deciding which account is right for you.
   Brokerage accounts are available from online brokers, investment apps, robo advisors or even full service brokers. If you go for a full-service option, you’ll have access to a fuller range of services like estate and retirement planning, but you’ll likely pay the most fees. Online brokers, investment apps, and robo-advisors may also offer automated management.
2. Choose the correct account type. Once you’ve decided on the right investment platform, you need to determine what type of account you want. Options like Individual Retirement Accounts (IRAs) offer a tax-advantaged way to make deductible contributions or achieve tax-free growth. If you’d rather access your cash with no age restrictions, a taxable brokerage account is more flexible but is subject to capital gains tax.
3. Decide how much you want to invest. Before you buy Rivian stock, it’s a good idea to make sure your essentials are covered. That means setting up a budget to cover essential expenses like rent or mortgage, transportation, utilities, and groceries, as well as your savings goals. You should also set aside a smaller portion of your budget for non-essentials like food and “fun” purchases like clothing and entertainment. Only buy Rivian stock when you have a good idea of ​​how much money you have to spend.
4. Examine Rivian’s performance. It’s important that you research the latest information about a company’s financial results before buying shares of its stock. Rivian published its latest earnings results on its Investor Relations page. Remember that newer companies have growing pains. Rivian, for example, recalled about 1% of its vehicles in October 2022 due to a possible steering failure, causing RIVN stock to continue slipping and may not be the right choice for your investment portfolio. If you genuinely believe in the company’s mission and are okay with weathering the ups and downs of a younger company like Rivian, then an early purchase could be the right time to invest.
5. Enter an order. After you’ve done your research and determined that Rivian is the right stock for you, investing in the stock is fairly easy. If you work with an advisor, tell them you want to buy stock in the company and how much you are willing to invest and they will do it for you on your own, sign up and enter the ticker symbol – RIVN – into the search bar. Then enter either the number of shares or the dollar amount you wish to purchase. You can also choose between a market order, which will be processed immediately and at the current price, or a limit order, which will be processed once the stock reaches your chosen price.
6. Track Rivian’s performance. “Set it and forget it” might be a good rule of thumb for a mutual fund portfolio, but with individual stocks like Rivian you should keep a close eye on company news and performance. Depending on your financial goals, use what you learn about Rivian to reconsider whether it’s best to hold the stock or let it go.

How to sell Rivian shares

If Rivian isn’t performing as you hoped, or you’ve reached the financial goal you set when you first invested in the company, selling your shares is easy.

If you work with a consultant, they can place a sell order for you. If you’re going the self-paced route, start again by logging into your account. From there, simply type RIVN into the search bar, enter the number of shares or dollar amount you wish to swap out and click sell.

Low-risk ways to invest in Rivian

Because buying stock in a single company — and especially a brand new one — is risky, consider investing your money in an index or exchange-traded fund (ETF) that includes Rivian as part of its overall holdings.

Mutual funds are another way to invest in Rivian stocks. The three mutual funds with the largest holdings in Rivian include the T. Rowe Price Growth Stock Fund (PRGFX), the American Funds Growth Fund of America (AGTHX), and the Vanguard Total Stock Market Index Fund (VTSAX).

Mutual funds and ETFs allow you to diversify your portfolio and reduce overall risk while supporting a company whose mission and values ​​you believe in.