Your First Step Towards an Investing Journey Starts With $100
Anyone with future financial goals knows that at some point, they’ll need to start investing their money. But the stereotype that you need to have a lot of cash to start a portfolio is no longer true today.
In fact, some investment apps work with your spare change to get your savings going. They’re efficient, however, they won’t net you a lot of return.
To really take that first step in your investing journey, all you need is $100 and the right direction.
With $100 and a place to put it, your money will begin to grow a life of its own. The first question to decide is where you want to invest.
The four most common investment opportunities are stocks, bonds, index funds, and ETFs. Here’s a breakdown of each:
- Stocks are what make up a company’s financial package. If the company is successful, they turn a profit. Since you have stock in that company, you also make a profit.
- Bonds are used by companies as a method of borrowing instead of a traditional bank loan. They pay interest to you for lending them your money.
- Index funds are a method of tracking markets and analyzing where to invest.ETFs are short
- for exchange-traded funds, which work similarly to stocks. You buy shares of ETFs, which are then invested toward a target, such as fintech.
Any of these investments in your portfolio would be a better way to store your $100 start than a savings account.
Now that you’ve made the decision to move forward on your investment journey, the next step is to get educated. While your friends and peers are spending hours on social media and following TikTok trends, you’re improving your financial knowledge.
Sites like MyWealthandInvestment have relevant, reader-friendly articles that will build your economic skills. Find a few success gurus to follow and sign up for their emails or social media platform feeds.
Fill your free time with a few minutes of learning how to become financially successful, and you’ll be on the path to wealth before you realize you’re there. What would you have been doing with that time before your new goal of economic success?
Just as it doesn’t take a fortune to begin building one, you don’t have to have a lot of time on your hands to get financially educated. A few seconds reading your favorite entrepreneur’s Twitter suggestions or scrolling through a three-minute finance article will help you more than reading about celebrities and gossip.
It All Starts With the First Step
You’re never too old to become financially educated. As you learn about debt, either the hard way or by listening to good advice, you’ll start putting the practices into place. And as you see how easy it is to invest $100 toward your future, that first initial cash deposit will begin to grow.
Over time, the first hesitant step you took will turn into a confident skip into your long-term financially sound future. All it took was a few minutes a day of reading and learning instead of social media scrolling, and $100 invested wisely.