What is the best way to invest money if you are just starting out?
Well, it would be an unit trust from a trusted or good historical record company. Although they charge you with initial fee, there is an expert fund manager help you to manager your fund. Go for long term like 3 to 5 years. Only invest with your spare money. Average further (buy more units) if the price goes down 15%-20% each time.
If you had done some fundamental and technical studies. Go for stock markets, it goes up faster. Same the other way round. You need to access your risk profile prior to investment.
Always start with tax qualified plans first. The power of compunding money on a tax deferred or tax free basis is very powerful. Start with your employer plan first. If you don't have one than begin with an IRA. If you have less than 50k to invest, your best bet is an asset allocation fund with a growth allocaton.
If your are just starting out, the best way and the best place to invest is in your education first. I am an investment adviser and I have clients ranging from millionaire businessmen to college students. I highly recommend good mutual funds as the way to go, but even then you have to be fundamentally ready and be in the right mindset. I highly recommend Dave Ramsey's work and his Financial Peace University course to ALL of my clients and friends.
Before starting the long-term investing and building wealth game you need to be out of debt and have a solid 3 to 6 months of expenses saved up in an emergency fund. That is super important. Because what happens if you are laid off and don't have reserves saved up, especially if you are in debt with lots of payments coming due every month? You will probably have to sell your investments, possibly at a deep loss, to cover short term setbacks. You don't want to be in that position. Having a truly solid financial foundation will put you in the right mindset to build wealth long term, debt usually forces people to have to make more risky decisions and lose in the end.
by salt7 years ago
If you had a spare $1000 what would you invest it in to make money.
by Shil19784 years ago
What kind of mutual fund is the best to invest in?
by Anjili5 years ago
How viable is investment in a Unit Trust Fund?
by young inv9 years ago
Hello everyone , im 18 and am learning to be a carpenter in my second year , I have recently become interested in investing money i have saved into something , i come up with theories at work about why such and such is...
by Stacie L6 years ago
Many folk are worried about the stock markets now and won't invest. is this making matters worse? or is it the best time to invest?
by Keith James Kennedy3 years ago
What is the easiest way to invest your money?
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