Investment for Beginners: 5 Tips to Start Investing

5 tips to get started in the world of investment

1- Analyze your economic situation

It is the first step to start investing. What are our regular income? What are our usual expenses? These are some questions that can help us organize our economic situation investing in cryptocurrency.

Once we have created our “financial map”, we should askourselves about our plans: are we going to need the money we have saved shortlyor, on the contrary, can we do without it for a long period of time? Do we haveany significant expenses planned during the next months or even years? When?Here we could include buying a house, a vacation, investing in a business, etc.This point is important and will be decisive in establishing an adequateinvestment plan, since if we do not adapt our investment strategy to thoseplanned capital outlays, it may be that when we need the money we cannot useit.

2- Establish a roadmap

Once our situation is analyzed, it is time to consider ourobjectives as future investors. Do we want to make all our savings or a part ofthem profitable? Are we willing to invest in unsecured products or do not wantto risk a penny of our capital? How much risk are we willing to take? In anycase, we cannot forget one thing: the higher the profitability, the greater therisk.

3- Determine how much money you want to invest

We have to ask ourselves how much money we want to start. Donot be alarmed: the investment is not reserved for the most bulky portfolios,we can acquire shares, subscribe investment funds or buy bonds for much lessmoney than we think.

4- Learn about investment products

Perhaps this is the most important point of all. Beforeinvesting, we have to get acquainted with the "world", get used tothe terminology and know in depth the products. Investment funds, stocks, ETFs,derivatives, obligations, calls, puts That technicalities do not overwhelmus, it is easier than it seems, you just need to inform yourself and understandthe products.

We will be surprised by the amount of investment productsthat we have within our reach, there are them for all profiles: conservative,moderate, etc. A trick: diversify.  Thus,if an investment goes wrong, we can compensate it with the rest of the productsthat we have in our portfolio.

5- Let yourself be advised

Just like when we started a new project, we can ask forhelp, it is not a bad idea to let ourselves be advised by a professional in thesector who can help us take our first steps as investors. We have severaloptions, one of them is to go to an independent advisor. The figure of theindependent financial advisor is very established in countries such as theUnited States or the United Kingdom, where a very large number of individualscome to them to be guided. Its main advantage is that, since it does not dependon any bank, it does not have the obligation to respond to commercialstrategies of any entity or to sell the products of a specific bank, but hasaccess to thousands of investment products, both national and international,and We recommend the one that best suits our situation and not the one thatforces you to sell the bank.