Think Investing Is Just For High Rollers? Think Again


If you’re a human being with a pulse, you are no doubt frustrated about the lack of returns on savings accounts today. What the heck is going on?

The current savings situation is hardly ideal. But that doesn’t mean that there’s nothing you can do to grow your wealth. The good news is that investing isn’t just for high rollers anymore, it’s for the little guys too. Here’s how to get started in the investment world and finally earn a decent return on your money.

Start With Investments That Are Familiar


The smartest investors specialize in the areas in which they are interested. If you’ve been a film critic all your life, don’t immediately jump into funding dozens of biotech startups. Look into opportunities in your own field and put money behind projects you think will work.

Don’t underestimate the power of your own expertise. Often you’ll be able to spot an opportunity that the big investors can’t see. You can buy up shares while they’re still cheap and then wait for interest in the firm to grow before selling them on.

Get Somebody Knowledgeable On Your Side

Investment advice, like investment planning services by PDS Planning, can help new investors. Advisors can design an investment strategy built around your goals. And they can give you valuable information, like the historical performance of a stock you’re interested in buying. Remember, data have shown that over the long term, equities outperform cash savings. So if you are looking for long-term investment advice, make sure you find someone who knows about the ins-and-outs of equities.

Diversify, Even If You Think You Can’t Afford It

Not everybody who starts an investment portfolio can afford to diversify immediately. But diversification is important, not least for reducing the amount of risk you’re exposed to. So what can beginner investors do? One option is to invest in mutual funds and exchange-traded funds. These are good options because they are financial products already linked to a basket of investments. These baskets often contain enormous asset values in the region of $500 million to $1 billion. As a result, risk is spread across dozens of financial assets.

It’s worth noting, however, that when you invest in a mutual fund, you’re effectively handing over your money to a manager. It’s the mutual fund manager who ultimately decides on how the fund will be allocated. You might be quite happy for somebody else to do this on your behalf. But, remember, it takes a lot of the control away from you.

If Everybody Else Is Going In One Direction, Go In The Other

Jim Rogers is a legendary, Singapore-based investor. He often gives his opinion about how investors should invest on podcasts and radio shows. His advice is to look at where everybody else is going and turn around and go in the opposite direction. He says that he has made his career out of looking for opportunities in places that nobody else sees. He’s famed for being bullish on places like Myanmar and the Far East.

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