How do you start investing?
Straight into it.
How do you start investing as a newbie?
What investment strategy should you adopt?
How do you deploy an intelligent strategy to invest?
Investing is a game of simply laying out cash today, to get more back in the future and the solid fact that there is only 1 rule you need to understand to start your investing. It is simple: do not lose money and rule number 2 is to not forget rule #1. Investing is a game of wit and rationality combined with having emotional stability in being patient and understanding that great things take time. The more patient you are, the more money you will make in investing.
To start investing, firstly: choose an asset which you are passionate about. It can be anything, gold, stocks, real estate etc. Choose 1 investment vehicle, the goal as a newbie to investing is to be narrow and not wide. Focus on a single asset and build your knowledge and understanding of the asset. The better you are at going narrow and not wide, the better you will do when it comes to investing your money. Go narrow and not wide.
When you are investing, as a beginner: you need to understand time is your most valuable asset, you will make a lot of money if you are willing to commit to the process of investing. Starting off, you should start small and invest small consistent amounts of money.
Investing is a game of knowledge, the more you learn: the more you will earn. It’s that simple, understand that you need to become a self learner in regards to understanding the industries and assets that you are looking to invest in. The more you understand the industry and asset: the more money you will make with your investing. The amount you make is proportional to how well you understand the market.
As a beginner: what investment approach should you adopt? Start of with the most simplest approach, do the basics and do them fucking well and you will do just fine with investing. Having a basic investment approach is simply under rated. Everyone is trying to have complex algorithms and math in their investing approach and that is just simply not the way to go. You do not need intelligence to win in investing, you need emotional stability and the better you are at managing your emotions, the better you will do in the markets.
The approach you should take to investing should be as follows:
- start by learning about the industry and asset
- invest small amounts of money
- invest consistently
- deploy massive amounts of patience
- learn more, the more you learn- the more you earn
- invest your money in what you understand: there may only be a few assets you understand at the start and that is just fine
- do not go with the crowd, do you
- stick to the basics and you’ll do fine
- Invest in your passion, you must have an inner drive for the asset
- do not waste your time trying to do too much, stick to a few things and stick to the basics
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Jagdip Sanghera - Medium
Read writing from Jagdip Sanghera on Medium. Writer: stocks and business; founder of: www.onezypher.com. Every day…
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