Most Popular
1. Banking Crisis is Stocks Bull Market Buying Opportunity - Nadeem_Walayat
2.The Crypto Signal for the Precious Metals Market - P_Radomski_CFA
3. One Possible Outcome to a New World Order - Raymond_Matison
4.Nvidia Blow Off Top - Flying High like the Phoenix too Close to the Sun - Nadeem_Walayat
5. Apple AAPL Stock Trend and Earnings Analysis - Nadeem_Walayat
6.AI, Stocks, and Gold Stocks – Connected After All - P_Radomski_CFA
7.Stock Market CHEAT SHEET - - Nadeem_Walayat
8.US Debt Ceiling Crisis Smoke and Mirrors Circus - Nadeem_Walayat
9.Silver Price May Explode - Avi_Gilburt
10.More US Banks Could Collapse -- A Lot More- EWI
Last 7 days
Keep Calm and Carry on Buying Quantum AI Tech Stocks - 19th Feb 24
How to Profit from the Global Warming ClImate Change Mega Death Trend - Part1 - 17th Feb 24
Why Rising Shipping Costs Won't Cause Inflation - 17th Feb 24
Intensive 6 Week Stock Market Elliott Wave Training Course - 17th Feb 24
INFLATION and the Stock Market Trend - 17th Feb 24
GameStop (GME): 88% Shellacking Yet No Lesson Learned - 17th Feb 24
Nick Millican Explains Real Estate Investment in a Changing World - 17th Feb 24
US Stock Market Addicted to Deficit Spending - 7th Feb 24
Stocks Bull Market Commands It All For Now - 7th Feb 24
Financial Markets Narrative Nonsense - 7th Feb 24
Gold Price Long-Term Outlook Could Not Look Better - 7th Feb 24
Stock Market QE4EVER - 7th Feb 24
Learn How to Accumulate and Distribute (Trim) Stock Positions to Maximise Profits - Investing 101 - 5th Feb 24
US Exponential Budget Deficit - 5th Feb 24
Gold Tipping Points That Investors Shouldn’t Miss - 5th Feb 24
Banking Crisis Quietly Brewing - 5th Feb 24
Stock Market Major Market lows by Calendar Month - 4th Feb 24
Gold Price’s Rally is Normal, but Is It Really Bullish? - 4th Feb 24
More Problems in US Regional Banking System: Where There's Fire There's Smoke - 4th Feb 24
New Hints of US Election Year Market Interventions & Turmoil - 4th Feb 24
Watch Consumer Spending to Know When the Fed Will Cut Interest Rates - 4th Feb 24
STOCK MARKET DISCOUNTING EVENTS BIG PICTURE - 31st Jan 24
Blue Skies Ahead As Stock Market Is Expected To Continue Much Higher - 31st Jan 24
What the Stock Market "Fear Index" VIX May Be Signaling - 31st Jan 24
Stock Market Trend Forecast Review - 31st Jan 24

Market Oracle FREE Newsletter

How to Protect your Wealth by Investing in AI Tech Stocks

6 Pieces Of Advice To Help You Make The Most Out Of Your Investments

Personal_Finance / Investing 2022 Apr 09, 2022 - 05:59 PM GMT

By: Steve_Barker

Personal_Finance

If you are looking into investing your money but are not sure how best to go about it, read on. Below are six straightforward pieces of advice for new investors to help them make the most out of their investments. These top tips include saving money first, using a free tracking tool to manage your investment portfolio, ensuring your investments are diverse, and leaving your investments alone for at least five years to allow them to grow. These tips, and more, will be detailed more thoroughly below. Good luck and get investing!


1. Live Below Your Means

Before we delve into advice for making the most out of your investments, this first key piece of advice is crucial. You need to make smart decisions, cut costs in your life, and start saving. Without the initial investment fund, none of the other pieces of advice will matter as you won’t have anything to invest in.

Stay out of debt, do not spend money rashly, make adjustments to how you live day to day, and reevaluate what you absolutely need and what you just want. This will help you to prioritize your expenditure and limit extravagant buying.

2. Do Not Buy High and Sell Low

A common mistake when choosing what to invest in is to look at past returns to gauge the future performance of equities. When an investment is going well, investors pour money into it, and then when it crashes they sell. But buying high and selling low will lead investors to do even worse than their investments.

3. Track Investments With A Spreadsheet

Being able to keep track of your investments easily and at any time will help you to stay on top of them, reach your financial goals and mitigate risk. Whether your goals are to buy a house, save for retirement, or help your kids get to college, tracking your investments closely will help you realize your financial aims. You can keep on top of your portfolio by using a free investment tracking spreadsheet tool that is straightforward to manage and an excellent choice for new investors. It is easy to learn how to use this spreadsheet and with this tool, you can track stocks, funds, commodities, cryptos, and foreign exchange positions.

As well as the spreadsheet you can also get a free copy of the How to Diversify Your Portfolio and Mitigate Risk guide. With these valuable and free tools at your disposal, you will be able to keep on top of your investments, see how they progress each month, and make smarter decisions to get you well on your way to achieving your financial ambitions.

4. Look At The Big Picture

It is not uncommon for investors to fixate on the wrong details. For instance, they will focus on the performance of one investment, rather than looking at the overall portfolio. If you’re guilty of this, try changing your mindset and going with a target-date fund. This is a fund that is a collection of stocks and bonds that has a target year close to the year you anticipate retiring. For instance, a 2040 Fund, and as you get closer to this year, the fund will gradually reduce risk by changing the investments within the fund.

5. Diversify

What you do not want to do is put all of your eggs in one basket. By investing in a range of different investments, you manage risks better. If one investment goes down, another may remain stable or even go up. You can achieve this diversification by investing in a range of sectors, geographical locations, and assets, like shares, property, and bonds.

6. Do Not Expect To Get Rich Quick

Investing is not a fast-track scheme to getting rich, and you will need to learn to play the long game. By staying in it for the long haul, you give your investments a chance to grow. Leave your investments alone for at least five years, regardless of ups and downs in the market, and allow your investment to recover from drops, rather than panicking and pulling out.

This has been a simple guide to making the most out of your investments and hopefully, now you feel ready to take the plunge and start investing your money. These six simple steps will help you to manage your investments, mitigate risks and grow your assets. Just remember to be patient, expect highs and lows, and keep your investments diverse. Good luck and have fun!

By Steve Barker

© 2022 Copyright Steve Barker - All Rights Reserved

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.


© 2005-2022 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in