You have decided to begin your investing journey, but still have a lot of fear. You might have questions like: ”How do I get started? What if I make mistakes and lose money?” Here are some tips that might be helpful to get you started.
Higher Risk Not Investing
First, you need to remember one important point. The risk of not investing is higher than the risk of investing. If you do not invest, your money will be surely eroded by inflation and become less valuable over time, the chance of losing money to inflation is 100%.
You don’t have to put all of your hard-earn savings into an investment at one go. A lot of investments can allow you to start with something small like a hundred dollars. Start small, and use that to get familiar with the investment mechanism, how to use the platform, and how to observe and react to market volatility. Slowly you can build up confidence and increase the amount you invest.
If you start with a single company’s stock, it is pretty risky as on top of the market risks, you are also subjected to the performance of its company. Imagine you start your investment in a bank (Silicon Valley Bank) and the bank goes under! Start with something diversified and low-risk, I always recommend starting with a broad market index fund (e.g. SP500 index fund or All World index fund), that’s much safer than owning a single stock. Once you build up your core portfolio with the index funds, you can consider buying single company stock if you are interested to do more research and find the next Apple or Google.
您已决定开始您的投资之旅，但仍有很多恐惧。 您可能会有这样的问题：“我如何开始？ 如果我犯了错误并赔了钱怎么办？” 以下是一些可能有助于您入门的建议。
如果您从一家公司的股票入手，风险很大，因为除了市场风险之外，您还受到该公司业绩的影响。想象一下，您开始投资一家银行（硅谷银行），但银行倒闭了！从多元化和低风险的投资开始，我建议从大盘指数基金开始（例如 SP500 指数基金或 All World 指数基金），这比持有单一股票要安全得多。一旦你用指数基金建立了你的核心投资组合，如果你有兴趣做更多的研究，你可以再考虑购买单一公司的股票，去寻找下一个苹果或谷歌。
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