Tips For Not losing Money from your Investment

I know investment is hard work and less rewarding for some of you guys. But don't worry here are few tips that will help you to get more earnings from your investments and minimizing your losses.

TIPS

Don't Lose Money: First tip is Don't lose your money. I will re-quote this "Never Lose your Money." Why I'm saying this? Let me show you this by some maths. Let us suppose that you lose 50% of your money in your investment. Now, if you want to regain your principle amount (the amount which you have invested), you have to gain 100%. Amazing isn't it. So, my first tip is never lose money

Diversification: Diversification is a very good option because it distributes your risk over large range of stocks, bonds, and other assets. So it becomes less risky because if one assets falls the other will balance it and you will face less loss. You must diversify within the asset as well. For example if you are investing some percentage of money in stocks, don't put all your money in one stock, divide it among 5-6 stocks. So that there are few chances of your portfolio to be in loss. So, Diversify your portfolio to minimize your losses.

Save More Money: Save your money to invest. Save as much you can. This invested or saved money will get you more money to spend and live. So, save more. Save upto 10-20% of your income (even more if you can), and make this money work for you to get more money.

Save Fees and Taxes: Find ways to pay less fees and pay less taxes. Yes your heard it right, try to pay less fees and less taxes (legally). These fees and taxes take away a major amount from our earnings. So, try to pay less fees and less taxes .

Take Risks: This tip is not for everyone. You can earn sufficient money if you invest in low risk investments. But if you want to do something big, take a small amount of your earning and take huge risk with it (Don't risk all your money, risk a small amount). You can lose all your amount also but if you gain, you will gain a lot.

These are few tips to get you going and invest.

HAPPY INVESTING ANG
THANK YOU

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