A look at the lives of billionaires from across the world will reveal one thing – they all invest. This is the bedrock of building wealth. And they are crucial investment lessons you don’t want to learn late.
The moment this truth dawns on you, the next rush is to find the best investment advice. To save you the pain of fiddling in the dark, let’s run through three investment lessons people learn too late.
You don’t need a lot of to make an investment
An investor may seem like a megalomaniacal oil billionaire pouring millions of dollars into stocks, but that is not the case. Investors are ordinary people like you and me.
Although some investments need a minimum commitment of $10,000 or more, that doesn’t imply you can’t invest at all. You just need to make small investments.
The stock market isn’t your only investment option
Millions of individuals participate in the stock market, and it may be an excellent method to increase your wealth. It is, however, not the only option to invest your money.
The term investment refers to putting your money into something that will ideally yield a return. Stocks are not required to be included in this equation.
You can invest your money in a small business, multi-family real estate, like apartments, collectables, precious metals, peer-to-peer lending, and bonds.
You have to wait decades to get a return on your investment
There’s no doubt that patience is an invaluable virtue in investing. But you don’t have to wait till you’re old before seeing returns on your investment.
When you put your money into a good Exchange Traded Fund (ETF), you can begin to see some reason for ROI in a few short years. This is not to say you should be in a hurry to sell your stocks. Be on the lookout for opportunities to cash out big.