Mutual Fund Investment Advice Beginners.Investment in the capital market is currently rampant. As a millennial who is already aware of investments, stocks are one of the most popular investment instrument choices.
One of the reasons is the high potential profit from the capital market. As an illustration, the increase in the JCI during 2017 could reach 19%.
However, there are also a number of investors who then enter into a misguided investment. To overcome unpreparedness in investing in the capital market, do these 5 things as initial capital before owning shares.
1. Sharing the ‘playing’ mindset
Trade and long-term investment in the capital market. By having a ‘main’ mindset, you will treat trading with ‘playing’. Is capital that allows to achieve financial goals.
Change the mindset of ‘playing’ into a mindset for business or business design. The stock used is a company that is a little billion or even trillions.
2. Use unused money
Never imagine money for a particular designation in the hope of getting a month-end profit. Use cash and cash that have not been allocated for certain financial purposes. Previously, emergency funds were also possible to be used when there was a cash request.
3. Learn first by investing in stock-based mutual funds
Stock movements have high volatility or fluctuations. Before this, you will use capital from companies, for example equity funds.
The movement of equity funds that are quite up and down will make you have something new and start right before actually plunging into the world of stock trading.
4. Debt for investment
As a beginner investor, don’t ever owe for the sake of owning shares (margin trading). For seasoned investors, margin trading is done with the expectation of trading.
The biggest risk is to make a transaction that you have to spend on your own pocket to pay off your trade margin obligations and fees.
5. Saving Shares
As a beginner, start by advertising first. Investment is a part of saving in the form of shares, you only need to buy shares online, without having to worry too much about stock movements. The practice is that you make purchases every month according to ability.
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