Iqaluit (May 02/05) - Nathan Linders knows guys who spend their whole day in front of the computer, swapping stocks on the market with a few mouse clicks.

And they always call him on the days they clean up, to gloat. Other days, they're strangely silent.

"They don't tell you about the bad days," he said.

As manager of RBC Royal Bank in Iqaluit, he deals with all sorts of people interested in getting a better kickback on their savings. Lately, online investment - also called "self-directed investment" - has begun to draw attention.

"The risk takers will come in and do it," he said. "Maybe they're tired of being questioned by their financial advisor."

The advantage of online investing is you save money by bypassing a stock broker. You have complete control over your investments, and in Nunavut, the option could appeal to folks who live in a community without a bank or brokerage. But the savings comes at a cost.

"What you're paying for is advice," Linders said of brokers. And without some professional guidance, it's easy to get burned.

There's no one-size-fits-all solution for investment, but Linders said he knows some common pitfalls.

He's seen customers eager to invest much of their savings in a single stock they've heard about from a relative. But if that company goes belly-up, the savings disappear along with it.

"Your entire portfolio now hinges on the success or failure of your investment," he said. "The key is diversification."

To get in the game, he suggests at least $10,000 to start. A properly diversified portfolio approaches six figures.

Mutual funds offer more stability than stocks, because they already spread your investment into many different sources.

Another low-risk choice are Guaranteed Interest Certificates (GICs). But Linden warns that if GIC returns are too low, they can be overtaken by interest rates, so in the end, the accumulated money could be worth less than what you started with.

Of course, mavericks will gravitate towards stocks and promises of higher gains, following the old rule of "buy low, sell high."

But high risk always accompanies high gains and Linden says he knows a corollary to the old rule.

"We buy out of greed and sell out of fear," he said. "And when we do that, we lose."

Still, he says it's smart to invest your savings somewhere - bank account returns are virtually nonexistent.

"Invest now. Don't wait until tomorrow."