September 20, 2020 2 min to read
Making the move from saving to investing
If you want to become financially independent, you need a good plan. That plan needs to include both saving and investing money.
After all, how do you plan to become financially independent if there’s no money to work with at the beginning?
Saving money is tough but it’s a topic that has been covered so many times. In fact, in case you got educated in saving, chances are you’ve already managed to set some money aside.
That means now’s the right time to put that money into something and start increasing your wealth. But how exactly do you transition from saving to investing? And what should you invest in? Read on to find out.
Assess your financial situation before investing
Before you begin your investment journey, it’s important to take a better look at your financial situation. That’s the only way to figure out how much money you can begin with.
Moreover, it’s your financial situation that dictates what invests you should be after and how much risk you should work with.
To get a clear picture of your financial situation, think about both your income and expenditure. Also, assess the amount of money you have set aside and find investments you can afford.
Once you do that, you’ll have a much better idea of how to invest and grow your wealth. Just don’t forget to set some money aside just in case. You never know when something unexpected can happen and hit you financially.
Get financial advice
We already talked about assessing your financial situation. Depending on how that goes, you might want to think about getting financial advice.
It’s just that there are so many financial experts out there and turning to one of them can make your journey much easier.
They can take a better look at your financial situation and help you build a portfolio that suits your needs.
The best part of it is that you can find any financial expert you want to work with. Most of them now do online meetings, meaning that you can build your portfolio from the comfort of your own home.
If you have any investor friends or family members, asking them for advice can also be a good idea.
Practice investing using virtual money
There’s so much about investing you can learn yourself. There’s so much information available online and you can follow guides step-by-step.
The problem is, nothing replaces experience when it comes to investing. If you’re new in the world of investing, dipping your toes without any previous experience can seem…
Continue reading the article and learn more about investing on my other blog jordan-clark.com.