Investorideas.com
Search  Follow Investorideas on Twitter  Investorideas is on Facebook  Investorideas is on Google Plus  Investorideas is on Youtube  Investorideas is on Pinterest  Investorideas is on tumblr  Investorideas is on LinkedIn  Investorideas RSS 


Investorideas podcasts on iTunes, Google Play Music and iHeart.com


Top Tips for Choosing Your Investments

 

August 24, 2017 (Investorideas.com Newswire) Choosing where and how to invest your money can be a difficult, complicated choice, especially with the fluctuation in the markets today. But investments can be one of the best ways to spend your money. While there's the option of a short-term loan in an emergency, investing in something that can bring you a profit can get you out of trouble in a sticky spot, and ultimately be a fun, efficient way of making some money. We've pulled together some of the best tips to consider when choosing your investments.

Review Your Needs and Goals

Consider what you want and what you need out of your investment. It's definitely worth taking out the time to really think through what kind of investment might be best for you and what it can do for you in the long run. Think about your appetite for risk, and how much of your money you want to be at what level of risk and whether it's worth the benefits that you might reap. If you can, think about investing in something that you're interested in too. There's no point investing in a collectable that you aren't at all interested in, because there won't be the passion there to follow how much the item is worth in markets that you wouldn't otherwise follow.

Make an Investment Plan

Once you've worked out what you need and what your goals are from your investment, you can draw up an investment plan. Not only can it help you keep track of what you want to do and plan to do, but it can help you work out and identify the types of products and investments that are best for you and your situation. Starting with a low-risk investment like a Cash ISA can be a good place to start, but medium-risk investments like unit-trusts are just as valuable when you're first starting out, or a little further down the line. Saving higher risk investments for when you're comfortable and ready to accept a higher risk is the safer, and more efficient and profitable option, and making an investment plan to follow these is the best way to do this.

Diversify

Don't just invest in one thing. Investing across a range of different investment types in different sectors can ultimately give you a better chance of making profit. If one stock, for example, was to fall, the others might still be standing strong enough to replace what has been lost. Prices won't move at the same level or velocity in different sectors and types of investment, so diversifying can not only give you a level of insurance, but can also help you maximise your income.

Review Periodically

Don't watch the stocks, but do keep an eye on your investments. It's likely that you'll get regular updates and statements to help you keep track anyway, but regular reviews of your stocks or alternate investments can help you keep track of what you have, what you own, and what to do next. If a particular investment isn't performing particularly well, it might be worth pulling out, but make sure to check patterns first. Stock-watching is something to avoid, however, as prices can and will move constant and consistently, and it can be disheartening to watch. If you're a long-term investor, the chances are you will be able to ride out the fluctuations in the markets.

Investments to Avoid

As a general rule of thumb, avoiding high-risk investments if you don't completely understand them is a must. Getting involved in something high-risk like Spread Betting or VCT's without truly understanding what you're getting into can cause you to lose track and lack the knowledge you need to keep up-to-date and on top of what you're doing. As much as you can, try and avoid any Traded life policy investments (death bonds), Exchange Traded Products and Unregulated Collective Investment Schemes too if you want to keep your investments profitable and of a high, long-standing quality.

Costea Lestoc

I began writing as a professional on my personal blog and then discovered my true calling, which is writing about technology and gadgets in general. I am a technical writer, author and blogger since 2005. An industry watcher that stays on top of the latest features, extremely passionate about juicy tech news and everything related to gadgets. For tech tips, my email address is neneacostea at gmail.


More Info:

Investorideas.com Newswire

This news is published on the Investorideas.com Newswire - a global digital news source for investors and business leaders

Disclaimer/Disclosure: Investorideas.com is a digital publisher of third party sourced news, articles and equity research as well as creates original content, including video, interviews and articles. Original content created by investorideas is protected by copyright laws other than syndication rights. Our site does not make recommendations for purchases or sale of stocks, services or products. Nothing on our sites should be construed as an offer or solicitation to buy or sell products or securities. All investment involves risk and possible loss of investment. This site is currently compensated for news publication and distribution, social media and marketing, content creation and more. Contact each company directly regarding content and press release questions. Disclosure is posted for each compensated news release, content published /created if required but otherwise the news was not compensated for and was published for the sole interest of our readers and followers. More disclaimer info: http://www.investorideas.com/About/Disclaimer.asp

Additional info regarding BC Residents and global Investors: Effective September 15 2008 - all BC investors should review all OTC and Pink sheet listed companies for adherence in new disclosure filings and filing appropriate documents with Sedar. Read for more info: http://www.bcsc.bc.ca/release.aspx?id=6894. Global investors must adhere to regulations of each country.


Questrade Democratic Pricing - 1 cent per share, $4.95 min / $9.95 max



Join Investor Ideas Members to access the Renewable Energy stocks directory, water stocks, biotech stocks, defense stocks directories and the Insiders Corner