Investments for beginners: 5 key rules

Planning to invest? Here are a few rules to help you avoid the typical mistakes of novice investors.

1. Invest only your "free" money. Calculate how much you can spend on investments each month without compromising your budget and your family. Refrain from loans and borrowing money! This rule will save you from the fear of losing your last money and ending up with nothing. It is better to invest small amounts of money, but regularly.
2. Invest in a variety of assets. Portfolio diversification is needed to ensure that in case of losses in some areas, your overall balance stays positive.
3. Collect information about the company. Be realistic in your assessment of its assets and prospects for growth. When you have a good understanding of what you are investing in, you will act more competently and calmly.
4. Be patient. Patience is the main thing an investor must learn. Excessive fuss prevents you from making an informed decision. Profit in the long run is more realistic and safer than quick high risk earnings. Pay attention to companies that are not promising the moon in the near future, but are really developing, building up their assets and proving their worth with solid results. They are the ones that grow as a sustainable and long-term business, not as bubbles.
5. Start as early as you can. In order to secure a comfortable retirement or create a fund for your children's education without breaking a sweat, you should start investing now.

We know that there are quite a few experienced investors among the participants in our project "Duyunov's motors". Share your personal experience with newcomers, write in the comments what investment rules you follow.