Welcome to the fascinating world of investing. Are you interested in learning how to invest your money in a smart way and possibly even aiming for financial freedom? Would you like to learn how to diversify your portfolio with crypto investments? In this article, we'll show you what to look for when you want to start investing.
When investing, knowledge is power
Becoming involved in the stock market can be a rewarding and exciting experience. For beginners, however, it is often overwhelming as the whole process can seem intimidating. However, with the right information and strategies, you can put a plan in place and take your first steps into investing.
Get informed! Investing requires knowledge and understanding of different financial concepts. Therefore, it is important that you learn about the basics of investing, the stock market and the different types of investment opportunities.
Define your financial goals! Set clear and realistic goals for your investments. Do you want to make short-term profits or build a long-term retirement plan? Do you want to buy a house or go on a world trip? Think about why you want to invest and calculate the amount you need to reach your goals. Setting goals helps you stay motivated and track your progress.
Start as early as possible! Time is Money. The sooner you start investing, the longer your money has time to work for you. Start with small amounts until you feel confident and increase your investments gradually. Also, the longer you hold your money in an investment, the better it can withstand price fluctuations. Historically, long-term investment strategies tend to be positive.
Diversify! Don't put all your eggs in one basket. Diversification helps you manage the risk of your portfolio by spreading your investments across different asset classes. This helps to mitigate the impact of market fluctuations and reduce the risk of loss. For example, invest your money in equities, bonds and cryptocurrencies. Or diversify by region or industries.
Define a financial strategy! This paragraph takes diversification a step further: First, assess your risk willingness (individual willingness to take a risk) and your risk tolerance (objective, economic ability to bear a risk). Now divide the amount you defined in Step 2 into the different asset classes on a percentage basis. If you are a risk taker, for example, a conceivable split would be 50% equities, 5-8% crypto, 45% real estate and bond ETFs. Now look for the appropriate investment products according to your split. You will find them on your favourite stock exchange. When buying more, make sure that you maintain your split strategy.
Avoid trying to enter the market at exactly the right time! The market does not know everything, but it knows a lot! Trying to time the market or trying to buy and sell at exactly the right time is a common mistake made by inexperienced investors. You will never get the perfect time, because the market lives on highs and lows. Instead, focus on investing regularly and holding your investments for the long term (8 to 10 years). Because only by investing regularly can the cost price be kept low on average over the term.
Monitor your investments A regular monitoring of your portfolio automatically builds up an understanding of the market and helps you to keep track of when adjustments are necessary. However, avoid wanting to change everything immediately due to short-term market changes. Basically, stick to your investment strategy from step 5.
With these tips, you should be able to invest for the first time. Remember: investing is a marathon, not a sprint. Be patient, disciplined and stick to your investment strategy. If you are unsure, talk to an investment advisor and always consider your risk tolerance and risk capacity.
Next Steps
You now have a specific investment strategy. Fantastic! Now you just have to implement it.
Choose a trading platform and create an account.
Once you have been verified, you can now transfer a certain amount of money.
Now search for your preferred investment product in the index of the stock exchange. You can do this, for example, by searching for the ISIN number.
Enter your desired investment amount per investment product and complete the purchase.
Simple and straightforward investing in crypto
Are you particularly interested in crypto investments? Then you've come to the right place. At Cointract you can enter the world of crypto trading in the simplest way.
It will only take you 5 minutes:
Open an account with Cointract
Wait until you are verified
Transfer CHF to a Swiss bank account
We will automatically convert the CHF into USDT (the base currency for trading cryptos). As soon as your bank has made the transfer, you can start trading:
Choose a coin that suits you
Click on "Buy
Buy immediately at the current rate or set a buy rule
Confirm
That's all. 😊 Watch this short video on how to invest in cryptocurrencies at Cointract.
This article is for informational / promotional purposes.
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