Best investment strategy for beginners
Best Investment strategy for beginners The investment strategy guide to help you 1 . Understand the basics before investing Risk vs Returns - Higher returns usually involve higher risk. Diversification - Do not invest all your money in one place Compound Interest - Earning on your earnings help money grow faster over time . 2 . Set Financial Goals Are you investing for short term(1-3 years),medium term (3-5 years),long term (5+ years). What are you saving for retirement, house, and education . 3 . Build a solid foundation Before investing, make sure you have Emergency fund 3-6 months of expenses No high interest debt like credit card 4 . Choose beginner friendly investment options A Index fund or ETFs Track the market Low cost, diversified Great for beginners B.Mutual funds Professionally managed Slightly higher fees than index funds C Fixed Deposits and Bonds...