5 Simple Steps Before Investing admin
“Do not save what is left after spending; instead spend what is left after saving.” – Warren Buffet
5 Simple Steps Before Investing | News
Published By: Andy Cheong Date: 10th of October 2018
To determine how much money you should invest, you must first determine how much you can afford to invest, and what your financial goals are. Below are the recommended 5 steps to follow:
1. Do You Have Savings That You Can Use? 💭
If so, great! However, you don’t want to cut yourself short when you tie your money up in an investment. What were your savings originally for?
2. Keep 3 – 6 Months Of Living Expenses💡
It is important to keep three to six months of living expenses in a readily accessible savings account – don’t invest that money! Don’t invest any money that you may need to lay your hands on in a hurry in the future. So, begin by determining how much of your savings should remain in your savings account, and how much can be used for investments.
3. How Much Can You Add In Your Investments? 🖩
If you are employed, you will continue to receive an income, and you can plan to use a portion of that income to build your investment portfolio over time. Speak with a qualified financial plannerto set up a budget and determine how much of your future income you will be able to invest.
4. Be Aware Of The Initial Investment Amount Required ⛔
For many types of investments, a certain initial investment amount will be required. Hopefully, you’ve done your research, and you have found an investment that will prove to be sound. If the money that you have available for investments does not meet the required initial investment, you may have to look at other investments.
Example: Stop Loss Order Scalping Trade
5. Never Borrow To Invest!
Never borrow money to invest, and never use money that you have not set aside for investing! In any situation you’re in, invest in with what you have now, not what will you have from borrowing.
3 Sebab Kenapa Trade Forex Stress 🤔 admin