When it comes to the world of investing, unless you’re a seasoned professional or you’ve studied investment, chances are you’re going to find things a little difficult. The world of investment can seem a little overpowering to new comers. This is why I’ve decided to give you a few tips, to help make life a little easier for you.
Please note that the tips I give you will not guarantee great results, they will just help you along your way a little bit.
The top 10 investment tips
1 Be prepared to watch investments lower in value
This obviously isn’t something that you want to hear, but it’s something that happens to everyone who invests. There are good times, and there are bad times in the world of investment, so be prepared for them. If you don’t think you want to risk watching your investments lower in value, then you may have to re-think your decision.
2 Invest in equities rather than in savings accounts
Equities usually outperform savings accounts, so it could be worth your while seeing what is out there, and what the returns are.
3 Don’t invest all your money in one venture
If the venture, business or market you’ve invested in goes into decline, you could potentially lose all of your cash. To avoid this, spread your money out and you’re more likely to have some cash left if something bad happens.
4 Invest as soon as you can
The sooner you start to invest, the sooner you will have reached your investment goal. Put some money away and you’ll have to add less to it in order to achieve that goal.
5 Be aware of what it happening out there
Watch and listen to the news, read newspapers and keep your eye on the ball. Learn about what is happening in the world of investment so you know how the economy is doing, and how it could affect all your investments.
6 Update your will
Update your will, or write one if you don’t have one already. This will ensure that you will leave your investments to your loved ones, in the event of your death.
7 Seriously consider each of your investments
Before you invest your hard earned cash somewhere, you should seriously consider each of those investments. Just as you would look hard for the Best Cook’s Knife, a good car and even your new home, so too should you seriously consider any investment that you make. Read the fine print, ask questions and see what your instincts tell you.
8 Learn when it’s time to withdraw your money
Unless you have your cash tied up for the next 5 years, you might want to be on the lookout for those times when you need to withdraw your cash. Sometimes it’s easy to tell when you’re about to lose money, so it’s essential you keep your eye on the ball. Withdraw your money when you can (You may have to pay a penalty if you withdraw early), and invest elsewhere.
9 If you don’t want to invest just yet, don’t
Sometimes people make the mistake of investing just because they can. If you haven’t yet found somewhere good to invest your cash, don’t invest it. Wait until something better comes along.
10 Don’t believe everything you hear
You may hear some sensational news about a specific type of investment, but I wouldn’t get too excited. The media are great at exaggerating things, they do this because it sells. Don’t believe everything you hear, just assume that they might be right. Wait until you see the facts for yourself, before you do anything.
Use the above tips to help keep your money as safe as you can. Don’t expect great success, but do keep your eye out for those good money making opportunities.