How to start investing with the Investment Formula
Taken out the complex maths and intricate terms
It has been easier to put your own Portfolio together
However, first and foremost, are your goals for the long run and rather focussed more on safety, than on wild speculations? Are you willing to take control and not fully rely on your Banks Account Manager? Are you in for to learn about risk evaluation and asset allocation?
Say YES if one or all of the following statements circle in your head
- Secure the financial security of you and your family
- Relatively safe profit earnings in the long run
- Think about an additional income when you retire
- Diversify your wealth for the conservation of it´s value
- You want liberation form your Banks Account Manager
And we have an advantage on our site!
The common Funds Manager at an investment company needs a university degree and works in a very controlled environment. He has to take care about company policies, compliance rules, due dilligence stipulations and far more legal things than you. So your advantage when you manage just your own Portfolio is, that you can focus on your own risk measurements and your own preferences.
You are the Boss!
A few common misconceptions that need to be cleared though
- You need 500K and more to start - NO
- You need to study finance to build a portfolio - NO
- You need stay and the computer all day long - NO
However there are actually a few things you need to and most of them are learning and doing research. Nothing every gained from nothing. A few points here:
- Think in long time frames and with a keen mind about your risk preferences
- Learn about the legal stipulations, tax dis-/advantages of each product
- Investigate about the right Broker for your needs
Diversification is the Key incredient to long term success but you also need the legal and technical environment to make it work ideal. Stick to your personal measurements and the investment plan, but also be open for improvement.
So whats about that Formula?
The first part of that formula is learning about the 7 simple steps to get started
A Formula is like a Template, a basic structure where you can put the variables in that you prefer. This why it´s secured that the whole plan is suited for your very own preferences. It may take time, but it´s definately worth the effort!
Who is writing here?
Werner Hochleitner is an Austrian Daytrader and Investor that developed Online video Trainings to make the understanding of complex finance issues almost playfully easy. His range covers Trading Starters support, Advanced Investors advises and outstanding, top-notch lectures in Trading Psychology. He is also a sought after Expert on quora.com and writes specialiced articles for german Traders Magazin as well as a guest writer for Investment Newsletters.