Investing at regular intervals, automatically, has many advantages. And this is probably the best way to take your first steps in the world of investment. Investments have become increasingly popular among high net worth investors, and this growth continues today. Indeed, alternative investments such as real estate, private equity, hedge funds and the commodities market have defied the fall of traditional investments such as stock market, mutual funds, bonds, etc.
As an investor, the benefits you would receive in investing in alternative investments remain very attractive. So, let’s go to some practical tips by Mintos that can help you start your investments.
1. Search for different options
As you can see, there are several existing investment options, and each of them has advantages and disadvantages that can significantly influence performance.
Before deciding, do an extensive search and evaluate carefully to choose the options that best suit the characteristics of your business.
2.Consult a specialist
For those who are starting and do not have any knowledge on the subject, self-investigation may not clarify all doubts and details about investments.
For more security, it is worth consulting specialist in the field, be it a bank manager, accountant, investment analyst or economist. In this way, you can thoroughly analyze each option and allocate the ideal value for each type of investment.
3. Let the money produce
Although one of your choices has daily liquidity and, therefore, makes it possible to withdraw at any time, organize yourself so that this is not necessary.
When you rescue the money before the hour, you lose the income, which makes all the effort you made to collect and invest that amount in vain.
4. Have a goal when saving
One of the points to consider when applying money is the goal you want to achieve with that value.
If you need to have an amount x in a period of 2 years to be able to expand your business, for example, it is interesting to bet on a format that has greater profitability, although the liquidity is lower (which will not be so bad, since it will serve as an incentive for you not to withdraw money early).
5. Don’t mix personal finances with business finances
By separating your personal and professional finances, it is easier to see the real situation of your business.
By keeping the two accounts together, you may have the feeling that your company has more money to spend than it has, as it mixes with what is intended for your expenses.
Imagine spending on your business that money that was destined to pay the taxes collected at the beginning of the year, and then not having to replace that money.
6. Save on the little things
On a day-to-day basis, we buy many low-cost things that, at the moment, do not seem to affect our overall spending, don’t they?
However, adding everything at the end of the month, we find a huge account, full of “little things.”
One tip to save more money is to be aware of these lower expenses that, if reduced, can generate a good economy and allow you to make a larger investment.
Here are some examples:
- When shopping for food and cleaning and hygiene products, you can spend more time searching for the best prices and promotions in the establishments. In the case of food, investing in seasonal foods can help you pay less and also include several ingredients that are not part of your routine.
- When it comes to transport, try to leave the use of private transport applications only for times of need, investing in walks and public transport whenever possible.
- If your concern is that outing with friends, nothing prevents you from reserving a fixed amount per month for fun. In this way, you can maintain and adapt your personal life without overdoing it and harming yourself financially.
7. Invest any extra money
You might do a job as a freelancer, get back an amount you had lent a few years ago or had access to any money that was not provided for in your fixed earnings.
At this time, try not to get excited and spend it all on superfluous things. It’s hard, we know that, but think long term and put that value in your investment to further increase your income.
8. Invest in your business
Now that you have seen that the investment is not as difficult as it seems, you can start organizing to invest your money in the best possible way. Remember that, in addition to enabling you to multiply the financial return of your business, some of the performance can be used to promote improvements in your company and help you be increasingly successful!
To continue learning how to manage your money, be sure to look at Mintos’ content with tips for a healthier financial life.