Want To Get Started In Investment But Too Afraid?

Investment can be a pretty scary word to those who have never dipped their toes in that particular pond before. We imagine busy stockbrokers’ offices, people shouting down the telephone, or looking at complicated graphs on screens and in newspapers. On top of that, knowing if the money that you are putting in is going actually to make you a profit and whether the company or idea that you are investing in is even legitimate can be enough to put off any newbie. 

Fear not, however, as here, we are going to look at the basics of investing so that you can stop being afraid and start making money. Let’s find out more!

How much can you afford to invest?

Before you do anything else, you need to sit down and work out precisely how much money you can afford to invest. Remember, no form of investment is guaranteed, and you always risk losing your money, so never invest more than you can afford. 

Many people, especially at the beginning, like to hire a professional to do the hard work for them. If this sounds like something you would rather do, make sure that you factor the cost of this into your investment budget. 

What are your goals and deadlines?

Like everything, your investment should have a goal and a deadline. Is there something that you want to use the money that you hope to make for? Maybe you want to put a down payment on a house or purchase your dream vacation home. It does not matter what you choose to use the money for, as long as you have a goal or a purpose in mind to spur you on.

You also need a deadline. Do you want your investment to be a short term one or long term one? Is it a one-off or an ongoing one? Generally, investments are for the long-term, usually five years or more.

Choose an investment that matches your endurance for risk

This is one of the most difficult parts – knowing what you should invest your money in. As we said above, there is no guaranteed form of investment. They all come with risk, and you can lose your money. However, you can also make an awful lot of money as well, so you need to weigh up your tolerance and endurance for risk. A popular form of investment at the moment is a cryptocurrency, which is seeing it’s value rocket. You can buy and sell your BTC bitcoin – the most common cryptocurrency in a bitcoin exchange. 

Investing your money can be an experience like no other. It can be a little nervewracking but very exciting, especially when you start to reap the rewards. Do your research, get some professional advice, and go for it. What will you spend your returns on?