Investment Basics

7 January 19

Investment Basics

Investing in the stock market doesn't have to be like casino gambling, by knowing a few fundamental strategies, anyone can become a better, more-informed investor. A few principles from paydayok to keep in mind are: 

  1. Risk matters. Weigh how much risk you're willing to take versus the possible return.
  2. Diversify. Don't put all your eggs in one basket. Buy yourself a margin of safety.
  3. Don't be afraid to experiment. You can always make adjustments later on.
  4. Invest for the long haul. Timing the market rarely works.
  5. Concentrate on asset allocation - how you divide your money between stocks, bonds and other assets.

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