Whether you want to invest in stocks, currencies, precious metals or any type of investment, you should be aware that getting returns from investment is not always guaranteed, and that there are several risks associated with investing.
Here are seven tips for successful investment that are the most important according to the opinions of experts, try to follow them as much as you can in order to achieve the growth of your investments:
1. Invest on something, no one picked before
The first of the seven is to follow the famous advice of one of the world’s richest men, Warren Buffett (whose net worth was estimated at $50 billion in 2008), to “Don’t go into fashion.”
She explained that this advice is to invest in a field when others are not interested in it, so you should not buy what is popular and desirable and try to do well in it, as the general public does when they want to invest in stocks when everyone invests in them. That a particular stock is desirable or brings gains to its holders does not necessarily mean that it is a good deal to buy.
As part of the first advice, the study emphasized the importance of the investor following and watching the market carefully and carefully, and to integrate his research and ideas with expectations, because blind accompaniment to the choices of major investors, market trends and analysts may be a very dangerous idea, noting that there are popular stocks and investments that can be bought whenever they are ready to fall. In this case, the chances are not as good as they seem at first glance.
2. Looking for good companies going through bad times
According to the study, the second advice is the need to search for good companies that are going through bad times, as the company may be going through a temporary phase in which stock prices fall due to an emergency event, but since the company’s financial position is good and is based on solid foundations, there is a great chance that the shares will bounce back and return to gradually rise.
The study demonstrated the correctness of this by what the CEO of “Apple” International, Steve Jobs, did when he returned as CEO of the company for the second time in 1997, and the company was suffering from serious problems (a net loss of $ 161 million was recorded in the fourth quarter of the same year). Thanks to his vision and continuing to introduce some successful innovative products, Apple’s net profit rose staggeringly to $4.31 billion by the fourth quarter of 2010, noting that investors who seized the opportunity to buy shares at low prices when (Jobs) returned to Apple in 1997 They made big gains unless they decided to sell too soon.
3. Be patient, profits come by time
@thinkingthefuture
For his part, Al-Halyan said, “The third advice for those who wish to invest is to be patient and think in the long term, because patience is the key to success in investing, and investors should not expect immediate profits, and their investment should be often long-term,” explaining that ” In the case of Apple, investors had been waiting for more than a decade for huge returns, and when some sold quickly for a good profit, they missed the opportunity to make more gains, because they were not aware that stock prices could continue to rise. Height”.
4. Don’t put all your money in one investment
@mql5
Al-Halyan added that “one of the common mistakes of investors is (putting all eggs in one basket), so the fourth advice for investment success stressed the need not to put all the money owned by the investor in one investment field, meaning the need to diversify the investment.” He stressed that “the investor should create a good investment portfolio to protect his investments from sudden crises by diversifying investments and distributing them in several areas, in order to avoid risks by reducing dependence on one area,” noting that “during the recent collapse in global markets, the areas of investment were not All of them are just as bad for many reasons, while real estate stocks suffered severely, pharmaceutical and FMCG stocks suffered only marginal declines, while technology stocks rose due to their outperformance in new product innovation.”
5. Achievements comes after plans and hard work
According to the fifth advice mentioned in the study, the investor must build an investment plan and work very hard because without a good investment plan, a strong portfolio or a strong understanding of the markets in which the investor works, he will suffer in order to reach success, stressing the importance of the investor keeping a good follower of the conditions The current market, and to develop a good investment plan commensurate with clear goals and objectives for him, using the guidance of experts and their views on the plan, but on the condition that the investor does the work himself through research before he gets involved in large investments.
6. Do not get involved in investing with borrowed money
@moneybadger
The study warned that a person who wants to invest should borrow or invest what he cannot afford, and indicated that it is necessary to follow the rule of investing only from money that you put aside from the money you need in your life and your family, you should never rely on an investment to pay bills or Any of the necessities you have in life, and indicated that the interest on a personal loan or on a credit card from which money can be withdrawn to start investing is inevitable, while the profit on investment using the borrowed money is not, as the loan interest may sometimes exceed the return achieved .
7. Use the experts to help you make the investment decision
@tokenhell
She stated that there are many other investment keys that a person wishing to invest should study in the field of investment, so he does not have to do this alone, and he can use experts and specialized financial advisors to help him make the right investment decision, pointing to the possibility of using a team of Specialists in various investment fields by communicating with the “Baizat” website to build an investment plan and exchange views on investment opportunities.
