The economic crisis has caused millions to lose jobs, reduce their expenses and live off their savings. Many looks for ways to find safe investments that can secure their future. Investing can be intimidating and many fear losing money. It does not have to be overwhelming and you do not have to be a space scientist to invest safely.
What is the secret of investments? Investigating and being patient should be the most valuable tools you can use for a new investment. Research simply means that you should know about the company in which you want to invest. Look at your finances, investigate your background and history; know where they want to go in the future. They do not want to throw money at a company that is considering closing its doors or about to make important cuts. It can be very tempting to invest in things that your friends tell you, or you might find out that a new company comes on the scene and wants to go down the stairs. It is impetuous, act at the moment the investments that fail!
The second point to keep in mind is that investments are a long-term process. Do not expect to invest today and suddenly be rich tomorrow! It just does not work that way! You must be patient and be ready to go the long way if you want to make money seriously! If you are the type that gets nervous at the lower fall in the stock price, long-term investments are not for you! We need to understand that stock prices, like everything else in life, change, go up and down. A long-term investment gives your money the opportunity to make the changes and make a profit.
Here are the 5 most important secrets for your future:
Get a high return on investment
Forget about savings accounts, you will not get rich. Banks currently offer around 5% interest per year, but if you include inflation, your profits will be lost. You must receive a return of at least 10% per year.
Use the money or debts of other people to invest.
That’s right. You can use other people’s money to make you rich. Credit from the bank, your employer, friends or family. Of course, they can charge interest or commissions, but be creative and make sure your investments are higher.
Invest in the appreciation of assets.
Do not waste your money on items that lose value. So do not invest! You need investments that increase in value over time, such as real estate, stocks, bonds, commodities, companies.
Make your money work for you
Being rich and economically independent means that you are not working for your money, it works for you. You can do it by investing it wisely so that your money produces more money.
Other sources of income.
If your main source of income is your work, you need to make other investments to be financially independent. Create an online business where you do not have to work, invest in stocks that offer high yield dividends, buy rents, trade stocks/commodities / Forex, invest in bonds, anything that legally brings you more money.