Updated January 1, 1 . AmFam Team
Putting money aside is not just a financial investment, it’s an investment in you and your future. For this, you deserve a pat on the back!
But when you first start investing, it can seem a bit daunting and confusing. We’ve come up with some definitions and tips that might clear the waters a bit and help you start saving for your ever-growing dreams.
Investing is for everyone. The first thing to remember is that investing is not only for the young or the wealthy. Investments are a tool with a goal of building financial assets. No matter how much money you have or what age you are, everyone can benefit from investing wisely.
Variety of investments. When you think of investing do you instantly think of the stock market? How about investment properties? Maybe you’re thinking of investing in a business venture? There is no reason to box your investment outlook into one area. Consider diversifying — that is, using several different investment vehicles.
Common investment definitions. As mentioned above, there are a wide variety of ways to invest but the most common ones are stocks, bonds, cash, and mutual funds and/or ETFs. Let’s take a brief look at each of these and define them.
Seek advice and keep learning. Investing can be very complex so it’s wise to reach out to a professional for advice on what types of investments to make and how much to put into them. Then take what you’ve learned and keep educating yourself so you can make smart decisions about your investment portfolio.
Now that you’ve got a bit more information, it’s time to get started! You’ll be glad you took smart steps to build your finances and fuel your dreams.
This article is for informational purposes only and based on information that is widely available. This information does not, and is not intended to, constitute legal or financial advice. You should contact a professional for advice specific to your situation.