Making Your Money Work for You: Smart Investment Tips From the Experts
Once the financial secrets of the rich and prosperous were out, everyone wanted a piece of the action. Many people have always assumed that the rich were just born into wealth. While some were, there are those among us who worked their way up to royal status, showing us that we could too. So what was the secret? Smart investment!
Sure, hard work pays but smart investment pays much more for much less work. You know you will never be able to afford all you need (and want) on what you make from your day job. So you need to learn how to make your money do all the work while you kick back and enjoy the fruits. For this, you need to keep certain things in mind:
You need to spend money to make money. Just make sure you are spending your money well. There are related costs to investing from admission, administration and processing fees to transaction fees, commission, broker expenses among others.
There are also less apparent costs like opportunity costs, you individual investor responsibilities and of course, the pressure and stress that comes with making an investment.
You will need to be aware all these costs, so make sure you discuss this with your investment advisor before going in so that you are financially and psychologically prepared going in.
Nothing is promised tomorrow today
If you have been observant of the global financial markets in the past decade, you should have learnt that it is not wise to base your investment on predictions. You could look at a few projections (I know you are curious) but make the final decision based on what you know now.
By all means, build those castles in the air but please concentrate your energy and money on what is presently known and available. After all, he is no fool who said that a bird in hand is worth two in the bush.
Concentration is the game
There are many good investment vehicles in Singapore and for a maiden investor; you could be thoroughly dazzled and confused by all the possibilities. This is where you will need to keep your head in order to make the right choice.
Consider your age (how far from retirement you are), your income, your expenditure and your investment goals and use these as the measuring rod, to choose your investment plan. Do not bite off more than you can chew in an attempt to have it all. Patience is a virtue even in investment.
Discuss your possibilities with your investment advisor and concentrate on what you can do immediately with plans to expand later.