We do not need to have the fortune to start investing. Many rich people started with small sums, which then gradually increased. How can we safely, but successfully invest small savings?
Beginnings can be the most difficult, also when it comes to investing. We can start our adventures with investments independently or under the supervision of other people who know each other better – from banks or companies dealing with investment consulting. What should we remember about? We invite you to check with us!
Choosing the right form of investment
We have various forms of multiplying money. They differ in the possibilities of profits, as well as the risks that we must incur. It is worth considering at the beginning how much we can risk, because if we make an unfavorable decision, we may lose the majority of our capital.
The safest form of saving is a bank deposit – unfortunately, deposits are currently low-interest, so we will not earn too much on them. Among the safe investments that can give us a greater return, there are Treasury bonds – they protect against inflation, but we must remember that they are long-term.
Among the investments giving us a chance to find more profitable investment funds. They are really diverse, so we can choose both safer and riskier ones. We can also use investment funds through our bank.
Other forms of investing are buying bullion, for example, gold. It is also a long-term way to invest. Quite certain, but it is expensive to invest in real estate. The Polish stock exchange and Forex are also tempting – but remember that stock market investments are quite risky for people who have no experience.
Do not invest all your money at once!
Regardless of which investment method we are interested in, we should remember not to spend all our savings on it. I am talking about the so-called investment diversification, i.e. choosing several different investment methods on several risk levels. In this way, even if one of our investments does not prove effective, we will still be able to count on the profits from the others.
The best part of your funds is put in deposits or on IKE and IKZE accounts, which are used to save for retirement. We will allocate another part to medium risk investments, another one to high-risk ones. Such separation of possessed money will make us secure for the future.
Rules to keep in mind when investing:
• remember to diversify your investments
• always check exactly what the investment is all about
• get acquainted with the investment costs
• in the case of short-term investments bear less risk
• the older you are, the riskier your investments should be
• do not take impulsive investment decisions
• beware of investments that promise very large profits in a short time