“Invest, don’t speculate – John Maynard Keynes”
Hello there guys,
Let us dive right in without any preamble.
A financial investment is an asset that you put money into with the hope that it will grow or appreciate into a larger sum of money. There are various types of financial investments but despite that there are basic steps one can follow to start investing. Here are some tips for those serious about investing.
- Stop Procrastinating: Just start now. Start saving. Procrastination can be very costly because when you get a late start, it may be difficult to make up for lost time. However, better late than never, so start saving today. Make use of https://www.piggybank.ng/
- Map out time: Yes, i know you’re busy from doing nothing or doing what seems like everything. You may have a tasking 9 to 5 job or be flexible work-wise, one thing is clear, you need to make out time to manage your investments. Financial resources have been poured into accomplishing a specific goal for you and it will be a waste if you let go of your investment totally into the hands of another.
- Read, then Practice: Knowledge gained is never wasted. You don’t need a fancy degree in finance or investment or economics to start investing today. Get books on investment, do your research on great investors who have done it before you and learn from their mistakes. Read, read and then practice what you’ve learnt. It won’t hurt to ask questions and get advice from business moguls who are excelling at their investments.
- Choose your Investment wisely: Web Designing, Tutoring, Videography, Photography, Catering, Fashion Designing, Blogging and many more are a lot of business ideas in the Nigerian economic market that you can invest in when you’re in your early 20s. The Nigerian business market is still developing and most upcoming lucrative business ideas do not require a lot of capital to kick it off successfully.
- Draw up a business plan: When drawing up a solid investment plan, one should have a investment policy statement that takes into account your time frame, risk and goals, a strategic asset allocation tailored to help you achieve set goals amongst other requirements. Having done this, a proper financial plan should be drawn up showing the amount required to invest in a profitable business idea.
- Pass your Marshmallow Test: The marshmallow test is simply the choice to eat one marshmallow now or wait a while and eat two later. This test is carried out to show the results in delaying gratification. Self control and willpower comes into play when investing as you put certain wants on hold for something greater. So, pass your own marshmallow test and reap the fruits later.
- Think Big, Take risks: The higher the risk, the greater the returns. This is the unspoken mantra every good investor lives by. You have to take high risks in order to get great returns when investing. Do your homework on the area you want to invest in and reduce your diversification.
It is never too early to start investing.
Have a lovely day.