Investing seems to come easy to some. Those whose net worth is significant definitely do have more vehicles in which to direct their money. And yes, they also have a lot more money to invest. Those with limited capital should not feel they are totally limited. With the right advice and insight, even someone with very small amounts of savings could do a lot of good with the funds.
Brad Reifler, the founder and CEO of Forefront Capital, notes that the “99%” of investors just need to follow a few simple tips to achieve good financial results. He details several interesting insights in a press release published at Reuters online.
The article discusses five tips, and the fifth tip may be the most important of all. The tip suggests an investor truly know why he or she is investing in the first place. Clearly defined motives lead people towards desirable goals. Not knowing why money is being invested undermines the ability to select the right investment vehicle. Some may just play it safe and not diversify or just put all their funds into the stock market. Reifler does warn against taking these approaches.
Is an investment being made with long term results in mind? Is there a hope to ride a hot stock for a year or two before selling? Prior to putting any money into any investment plan, a person should be able to answer basic questions regarding the strategy.
Only trust the advice and opinion of reputable, experienced, and honest professionals. Do a little research into the advisor’s background before setting up an appointment.
Little tips such as these can have hugely positive results. They are all part of the whole of what Brad Reifler and Forefront Capital want from new investors. There are also important Reuters articles to read, like Brad’s post about diversifying your portfolio.