What is the basic essence of survival in our lives? I know, it’s money for many obvious reasons. It’s the human tendency is to make plenty of money to live a peaceful life, isn’t it?
Mostly, every individual is obsessed with the wealthy way of life but fail to do so. Basically, everybody is keen on growing money with different investing strategies.
Have you ever thought of becoming rich overnight or within a short span? Ever thought of Genie who could just appear from a lamp and ask you about your wishes? Wow… isn’t it?
Unfortunately, we are not Aladdin and there is no Genie, no Jasmine, no Abu, and no Magical Lamp or the Mat.
All I wanted to explain is, we should make sure to multiply the income we are earning. Only earning income will not make you rich unless and until you put that money to regenerate more of it.
Investing money is the only best way to let our money to make more money. But investing without the proper knowledge could bring huge losses. So we all need to learn strategies that are helpful in investing money.
I hope my article will help you with a few of such investing strategies that will be helpful for any category of people.
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Investing Strategies for Beginners
Basically, try to make it possible to save a portion of your earnings (however limited your income may be). Don’t forget, a basic 5% of the savings of your income will also sound big when you are in an emergency.
Instead of just fearing the scenario, try to implement a portion in any of your investments. This will surely give you the motivation to save more as time passes by.
People find it difficult to do this only because of unintroduced FEAR. Let it just be a part of you and not the whole of it.
Let’s get started with a few tips or strategies that will make your investment an interesting option.
Yesterday was the right time to invest, nevertheless, make it today at least to start investing.
As early as you start to invest, so you enjoy the fruit of it. Never try to postpone your plans for investments.
Popular Investment Terms
If you try to check for the different areas of investments or if you try to find out various investing strategies, many advisors will advise a few basic plans.
Check online or offline, you will find some basic options available for legit a safe game to play.
1. Shares: Similar to dividends, where you invest in a portion of an organization. Your cost of shares increases with the rise of the company’s profit. It is a win or loss situation that involves the risk factor.
2. Cash Investment: This investing strategy involves some portion of your cash to be stagnated into your account. With low-risk factors involved, provides low returns. It may involve fixed deposits or recurring deposits or any basic plans.
3. Properties: With the substantial growth of land or house prices, investing in a property is a safe game to play. You can also enjoy real estate tricks to make earning through this strategy of investment.
4. Fixed Interest: Otherwise known as ‘bonds’ is a safe game to play. It is similar to banks that offer loans and inturn collects interest on the amount lent. A typical amount of interest is decided at the time of approving a loan and so is collected throughout the process.
5. Mutual Funds: It is the process to invest in a particular plan and wait till you gain the actual maturity or withdraw the amount whenever you need it. There are ‘n’ numbers of plans in the market available. Pick one and act on one.
Investing Strategies That Works Well
1. Start Investing With Small Amounts
There is a tendency to get hooked up with all the procedures and typical terminology. Frankly, all of them mean the same concept – Investment.
Basically, people tend to invest a huge amount and fall in the risk zone, but for beginners, this is not the ‘go’.
Always try to start from the tiny and basic, just to have a safer zone, and also, this trick will help you to get motivated. It is a human mentality to continue the game, level after level with mere success.
If you succeed in fulfilling the basic investment plan, you will get an idea about the task. This will, in turn, help you in planning for bigger projects.
There are online supporters who can help you to invest as low as $0.01 cents. Surprised, right? Yes, there is a website Acorns, that keeps a track of your online payments and invests your spare change into stock markets.
This app helps you to save your spare change by rounding off your transactions and also provides various cashback offers.
2. Investment Charges
Are you aware of various money suckers? Of all, investment fees are the ones that are unavoidable and are not to overlook.
It is important to think smart and act smart to make smart money. An investment fee is nothing but paying a portion of an investment to the person or organization who is handling the procedures.
Even with 1% as a fee, you will be paying $1000 for every $100,000 you invest on a yearly basis.
There are websites like Blooom, which provide similar services for analyzing your investments. This application helps people in upgrading their portfolios, finding out the hidden charges if any, and track the records necessary for 401K.
All this can be processed with a basic subscription of $10 on a monthly basis. This amount is a lot cheaper than a regular financial advisor’s fee. Agree?
3. Choose Legit Platforms To Invest
There are tons of investment platforms available in the market, but when talking about money, you need to be cautious.
Selecting a legit place to invest is as important as deciding on the task to invest.
This is correct for people who would like to have personal guidance with their investments and plans.
With an advisor, it always becomes a wise investment. The investment plans are huge and the clients opting for Personal Capital usually pick financial management tools for free.
You can opt for both individual plans and as well as taxable plans. Also, you can opt for IRAs, SEP IRAs, and other similar options.
Also, a minimum investment plan should be around $25,000 with an advisory fee of around 0.49% to 0.89%.
The Motley Fool
Don’t go with the name, Motley Fool, one of the financial services company that provides different money-related services.
With clear information about stock picks, you will be updated with all the details of the new plans if any.
Also, this platform will let you join various communities (like-minded people) to achieve stability. Discuss different issues or solutions about different matters.
This platform helps in lending financial supports by matching investors with borrowers.
Only with the basic investment of $25, you can gain returns with a multiplication of 5.06% and 8.74% to the maximum.
Various loans are available with different scales from approx $30,000 to $50,000.
Investment is always for tomorrow and starts that now to make your future safe. Try Lending Club.
This platform is good for beginners as it provides all the support that is required for a new investor.
Say investment and Ally Invest has everything included in it to make it comfortable for its clients. Retirement plans, Stocks, Mutual Funds, Tradings, Forex – everything in specific.
Ally Invest offers good customer services providing convenient mobile applications that are very using easy to use and also support by helping with answers for different technical issues.
4. Long Term Investments With Affordable Plans
As a beginner, it is mere maturity to start with an affordable plan but try to continue the same with the long-term schedules. Do not overburden yourself which in turn will deviate you from the point of investment or savings.
Also, try to grow your investments, rather than selling them to cover all your regular or basic expenses. Try to invest by cutting off your unnecessary expenses.
5. Research And Opt Right
Investing your money into something needs clear research about all related problems and the plus points.
It is always safe to do your amount of research before investing. Instead of relying upon a friend or any other source, you need to understand what you are buying.
Try to invest in something in which you have a total belief and do not get carried out with the flaws.
6. Do Not Touch It
Investment plans are to be set up and forgotten. One of the smart ways to make money is to invest in something and forget about it.
Always consider leaving the investments and not touch them for every simple issue in your life. Plan for a lengthy period of time as short plants will not give you the right amount of returns.
Unless the day traders, the point of investment is to automate the process and not to live life by managing money. Also, remember to continuously contribute to your investment plans as consistency matters.
7. Decide When To Be Greedy and When To Fear
Try to act realistically rather than being delusional about your investment plans. It is fine at times to be greedy and also very genuine to be fearful about your decisions to be made with your savings or investment plans.
Your investing strategies will surely help you to bloom your bank account or have a positive approach towards your future. Try to grab knowledge about the market and act accordingly to play a safe game to sustain.
As there would be a win or lose situation in any game you play, you must be very much ready for similar outcomes while investing.
However, try to have various options for investments, expecting either one or the other will help you to cross the river happily.
Diversification is one of the investing strategies which will help you to ride the market in a safer zone rather than dumping the whole savings in one single route.
9. Basic Rule – Invest In Yourself
Diversification of investment does not mean throwing your money into various platforms and expecting an automatic growth in it. You should always be ready to try new things that will help your skills to improvise in the investment plans and their outputs.
The first basic thing is to invest in yourself and in the process are the below techniques you can try. Try to invest your hard work and time into something valuable that you could be beneficial.
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There are plenty of investing strategies you can actually apply to make your future secured enough. When you plan for your investments, do keep in mind that it is never too early – you are already delayed and so start as early as possible.
I hope you will grow day by day and start your investment plan soon. Please let me know, if you have started already or if my article was of any help to you in starting one.
Siva Mahesh is a full-time blogger and personal finance expert featured on US News, Yahoo Finance, Legal Zoom, The Simple Dollar, Databox, Business.com, Business News Daily, and more. He is the owner/founder of Dreamshala, a go-to place for 100,000+ monthly readers to find legit work from home jobs and make money online ideas.