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    Begin to Invest Wisely

    Published on September 11, 2019

    The Exciting World of Investing

    I’m confident that most people who are reading this introduction to investing has had a feeling of excitement when they first looked upon a list of stocks and their prices. Not only are you captured by the number of excellent services offered, but also the possibility of having a share in as many as possible. The stock market is a place where we can make money. Of course, we have all experienced the wonder of where to begin with so much potential. Yes, and we also entertain the gratitude we have of never having done a thing for these companies but now have the opportunity to own a portion of them.

    The Realization of Needing to Know More

    That is a feeling that lasts a few days until most of us realize that we know nothing at all about buying or trading stocks. It seems the more we immerse ourselves in this new world, the more common terms we have to tackle and learn. After a couple of weeks in trying to get our head around most of these terms, we end up at the beginning again wondering if we can climb this steep learning curve. We can and we will ascend this mountain of knowledge—but in time. It is like the mountaineer who first sees the top of Mount Everest from base camp and knows it is in reach. After reaching the second base camp, he starts to realize the top of Everest is still a long way off.

    Starting to Invest Where We Are

    Good news! No one has to start at the top, and that is why the introductory levels of investing can be just as exciting as they will be when we become mature investors. We can start investing with stocks under 5. These small stocks that are trading at a low price are a godsend to new investors because they acclimate the investor over time.

    Learning to Invest as a Student

    Some investors began as high school students who made an excellent income in their spare time. Other investors began a college investing career to get themselves through college and learned to pay their tuition at college. We are sufficient wherever we find ourselves when we come into the stock market. Parents sometimes teach their children how to invest. People who retire take up investing to make extra money and supplement their retirings savings. There is no perfect place to start, but the important part is to begin where we begin and begin learning what we need to invest wisely.

    Leaving Ego Aside When Investing

    When I say begin to invest wisely, I mean try to enter into the world of investing with an egoless attitude. Make your investing be egoless investing. The less you put emotion into the picture, the better prepared you will be. A lot about investing is having a clear goal of what you want to accomplish and a reasonable goal to reach. I know the first million looks good, but give yourself time and learn to invest in less expensive stocks. By learning to invest with less expensive stocks, you will get a hands-on experience of how you handle risk.

    Learning Investment Risk

    Investing risk is the amount of tolerance you have for losing your money or putting your money where you may lose it or gain from it. The experience of how tolerant you are with winning or losing money is your risk tolerance. People with high-risk tolerance means they are little effected when all of their money is on the line in stock and they lose it.

    Low, Medium, High Tolerance

    People with a low investment risk tolerance are easily affected when they lose a few pennies, and their stock prices fall a few cents a day. These experiences will introduce you to later levels to investing where you will be putting more of your money on a stock you know can perform. Being an egoless investor means that having a solid game plan will only be part of your broader investment plan, but not the end of your investing. By allowing emotion to drive our investing rather than clear thinking, it can jeopardize making intelligent advances in moving forward.

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