Making a good investment and earning good money in the medium and long term is the dream of many people. With the country’s high interest rate today, it is easier to find safe investments that yield above inflation. Our article today will teach you how to start an investment safely. Follow our tips below!
Study on investments
It may seem obvious to suggest a knowledge about what the investments are and their basic principles, but many people who turn to the financial market come unaware of these issues. Starting to invest without knowing the types of investments possible and the pros and cons of each of them will not bring any benefit to the investor.
Seeking to know the types of investments in advance, you avoid anxiety that forces you to make bad decisions. So read books on the subject, take part in lectures and courses, access virtual pages and talk to people who have been in the area for some time. Every source of knowledge is important, but be sure to attest to the authority of the author or speaker in the field.
Think about your budget to start an investment
After getting to know the investments, it’s time to know how much money you have to invest. In spreadsheets, cross your spending and earnings to get a clearer picture of your budget – this will also help you choose which investment to bet on.
But you do not have to wait for a lot of money to start applying. After paying your monthly bills, set aside an amount to be used for investments. First, however, study not only the bills already paid, but the ones that are to come. Have you ever imagined investing an amount and need it next? Some investments charge high taxes from someone who makes the value redemption in the short term – so be aware.
You have studied the market, chose your type of investment , talked to people in the area, decided to set aside a sum to apply every month and now you are ready to invest. But where exactly? A lot of people fail to invest because it does not eliminate all their doubts before they start.
The tip here is to seek guidance. The professionals who serve at banks and brokerages are certified and can give you good tips before you start to apply your money. There is also the option of seeking a financial planner, a certified professional who usually attends in offices. The financial planner can charge you by appointment or by month, in case of continuous monitoring of your investments.
Professionals will help you outline your investment plan. Thus, you realize in which actions to apply each part of your money. The resources that you will make use of in the short term will need to be invested in liquid applications that give you less financial return. The rest of your money can go into investments that yield more, and which are also the most unstable.
Some examples of investments that have paid off are government bonds, fixed income funds and Certificates of Deposit . Talk to professionals in the field and find out which one suits your investor profile.
Manage your wallet
It is important that you occasionally evaluate the performance of your investments already made. With a minimum frequency of every three months, check your portfolio of applications and see if they are meeting expectations. Before you switch investments, however, remember that not all applications are stable and therefore you may need more time to evaluate your profitability. Also, respect your investor profile if you want to promote changes in your investment portfolio. Also, beware of taxes to redeem the invested amount.
Did you like our guide how to start an investment? Do you have any doubt? Have you started applying your money? Tell us everything in the comments!