Are you interested in investing money, but aren’t sure where to start?
Read on to learn how to invest money wisely according to Peter Spann.
It isn’t difficult to see why a lot of people are interested in investing. It represents total freedom.
Why work when you can let the stocks make you money while you just watch that ticker climb?
It’s also easy to see why so many people fail at investing. They underestimate what it takes and don’t act smart. You don’t have to be one of these people.
It doesn’t take much to be smart, just a few simple tips and the commitment to follow them.
Long Term Investing
Kill the idea that you can get rich quick through investing. Successful short term investing is possible, but it’s volatile and you need a very high level of skill. You can lose control of your investments quickly.
You need to be prepared for the long haul. Look for stocks that you won’t mind seeing in your portfolio for years, even decades. Find the stocks that look like they have room to grow long term.
The future is how you invest your money wisely.
Do Your Research
Never enter into a relationship with a stock until you know something about it. If you buy a stock based on someone else’s opinion, you are letting them invest with your money.
Get to know the company, its history, and its market. Even if you prefer the technical stuff, knowing these details will help you humanize the stock. That will let you make smart choices.
You are probably already familiar with the concept of eggs being in one basket. Simply put, don’t do it.
However, diversifying your portfolio means more than that. Don’t be afraid to diversify the age of stocks. Sell when it’s the right time, then bring new ones into the mix. You can also bring in stocks from different industries.
Keep the Emotions Out
This is a simple concept on paper. Don’t let your emotions make your decisions. When it’s time to kill a stock, do it.
Your emotions get in the way. Even when you can’t help it, distract them with the logical information you should use to make the right choice.
Set a Consistent Number
Investing is all about balance. If you spend too little or too much, you will lose this balance.
It’s best to invest a consistent percentage of your monthly income. Start with 10% or so and adjust accordingly.
Having this consistent number will help you prevent your income from going down the drain.
An interesting fact is if you invest $10 per day for just over 20 years at 12% per annum (just slightly higher than the arte shares and property grow) you’ll be a millionaire.
Why don’t people follow this simple but powerful rule? Because it seems too easy. Start now and don’t ever stop.
Learning How To Invest Money Wisely
Learning how to invest money wisely is a skill that doesn’t happen overnight. For many people, it takes some practice to get it down. Even then, it can be a roller coaster ride.
Follow these tips to help you conquer your fear and enjoy that ride.
Written by Peter Spann
Peter Spann – Film Maker | Director | Business Coach | Writer | Public Speaking Coach | Presenter | Investor.
© Copyright: 2017 Peter Spann – All rights reserved