When you are a beginner, you have two options when it comes to investing. You can invest in someone else's businesses or companies, or invest in your own business or company. Which option should you choose depends on various factors such as money you have, skills and expertise, interest, time, etc. If you have just $100, is it possible to build a business, possibly no? However, you can start investing in the stock market or crypto market with that money. Let's say you have $10K. You can use this money to buy stocks or start your own business. What should you choose depends on your skills, knowledge, etc? If you have business skills, if you can develop a good product, if you have a genius marketing plan, probably starting your own business will be a better idea compared to investing in stock mraket.  But then you will also have to find out what you are very good at.

How to Start Investing For Beginners

If you have never invested, this might be confusing. You wouldn’t know where to invest, how much to invest, how to start, etc. Here is a5 easy step guide for beginners.

Sign up with the micro investing apps like Robinhood, Webull, TD Ameritrade, Fidelity, Stash, Acorn, etc. and fund your account. If you don’t know how these platform actually works, just experiment with $10-$20

If you know how these investing platforms work and if you want to give them a try, the next step is to identify how much risk you can take or handle. In other words, find out how much loss you are ready to take. Understanding risk tolerance will ley you know how much money you should be investing.

Break down your goals into three strategies, short term, medium term and long term

Choose the assets that are concurrent with your risk tolerance level and goals

Create investment strategy to buy low and sell high

How to Manage Risks in Investment as a Small Investor

When you are a small investor, you cannot afford to lose. Therefore, you need to be extra careful about not losing your investment, you will have to avoid high risky assets and try to diversify as much as you can. You need to carefully evaluate your risk tolerance level to mitigate risks investment. Real estate is the safest investment but for small investors this might not be possible. You can try fixed deposit bank account that gives you better returns than a normal saving amount. Likewise, you can try Mutual Funds and Bonds, which are less risky that the stock market or even crypto market.

Online Investment Vs. Offline Investment

If you have money and if you want to invest money, you have two options for investment, one, invest online, and two, invest offline. Between these two which one is better? Well, answer is not simple but you should know a couple of things while choosing whether to invest online or invest offline. Offline investment needs a lot of money, whereas with online investment you can start with little money. You can invest with just $5 online but that is not possible to do offline. There are less legal formalities for investing online. You can start investing right after KYC verification.

When it comes to investing online, there are two kinds of people, one, who do not want to invest online for the fear of getting scammed, and two, who start investing in ponzi schemes and ultimately get scammed. There are a lot of legit methods to make an investment online. If you invest in your own online business, there is no way to get scammed. This is the best online investment because it is your own business and you have t capacity to make it really big. If you do not have passion to run an online business, there are other legit ways to investment, one common ways to invest online is to start buying crypto. If you want to invest in crypto instead of ging here and there use legit platforms like Binance and coinbase. If you want to invest in the stick market through online channels, try using trading apps.

Online Investment and Trading Platform

One of the easiest ways to start investing is through online investment and trading platform. If you think online investment platforms are not trust worthy, here are some platforms that you can try.

Robinhood is one of the best platforms for trading and investing stocks, etfs, and cryptos. You can start with $20. It is best for the beginners.

TD Ameritrade is another good platform. You can download the app on your phone, create an account t, fund your accound and start trading and investing. They don’t have fees.

Webull allows you to invest on stocks and crypto. It even offers affiliate commission if someone signs up using your link.

What Are Your Investment Plans?

Investing is the only way to build my wealth and become financially suecure, so I take investment serious. I have investments in the local stock market and I plan to continue with the stock market investment and I build my portfolio. I also have some investments in multiple crypto assets, and I plan to continue wih crypto investment. I am trying to invest in Bitcoin, Altcoins as well as Meme and grow my crypto portfolio. Well, I have also invested in Mutual Funds, Bonds and Certificate of Depositr. I also like to buy equity in profitable businesses. This will allow me to own a business without actually starting my own business.

Investing in Someone’s Business: Is It Good

One of the easiest ways to get into a business and run a business is by investing in someone’s business. You can invest in a business and own a percentage in the business. Once you have invested in the business, you can become a board of members and run the business. However, think kind of venture can cost you more money than when you start your own business. You might have to pay higher amount. Likewise, your funds can also be at risk if the business is run by people who are not sincere with the business and who just wanted investors so that they can move on with the profits.

When you invest in someone else’s businesses, you make money while sleeping because you do not have to actively work in the business. If you have invested in profitable business, you will be making guaranteed income. Well, Jeff Bezos worked for 10-15 years to make Amazon a profitable business, however, Warren Buffet invested in Amazon and now he makes money from Amazon without actually working in Amazon. Well, Warren Buffet actually makes money from a lot of companies including Coca Cola and Apple but he never worked in these companies.

Why Investment Fails

I think it is bad to generalize why investment fails. A lot of people are successful with their investments, a lot of people I know from my real life has been able to generate insane amount of wealth through investment. If someone's investment fails, there are multiple reasons and one of the main reasons is investing without research and another reason is investing without understanding own risk tolerance level. If you plan for long term strategy, it is very likely that you will never fail

Safe Investment

Bonds are the safest investment assets. This investment tool is for those who want to invest but do not want to take any risks. Actually bonds are the best investment tools for investment. When you invest in bonds, you receive guaranteed income. If you investing in bonds with 10 percent annual return for the period of one year, you will receive your principal amount along with 10 percent profits after one year. However, unlike stocks bonds do not have a great returns.

When you are investing, diversification is important. There are many benefits of diversification and the most important one is it provides you with a financial safety net. Let say yo invest in 5 different assets (you diversified), out of which you lost money with 3 investments. In a situation like this you will still have two assets that will not only recover your loss with other 3 assets but also make you profits. Another major benefit is it allow you to make more profits form investment.

Balanced investment portfolio means you have created a balance between risk investment and less risky investments. For example crypto market is highly risky, where as mutual fund is less risky. When you have invested in crypto and also in mutual funds at the same time, you have created a balanced investment portfolio. A balanced portfolio also means you have invested in multiple markets and multiple assets. If you have diversified, you have created a balanced portfolio.

How to Make Money as an Angel Investor

Entrepreneurship is all about identifying a business with a lot of potential and investing in it.

Start-ups and small businesses are always on the lookout for investors. If you have money, you can invest in these start-ups and small businesses.

Angel Investing: How To Do It

You give a certain amount of money to a start-up or small business to build a business or scale the business in exchange for equity. When the value of the company or the business grows, the value of your equity also grows, you can then earn profits on your investment.

Angel investing can be risky, though, because chances of start-ups becoming successful are pretty low, or it might take a lot of time for them to become the next big thing. However, on the bright side, if the start-up becomes the next big thing, earns a lot of profit, or is acquired by some big companies, you are going to make a lot of money.

Where to find the start-up for Angel Investing

You can start an investment company and call for proposals from people who are trying to launch start-ups.

Go to trade shows and business shows and look for the start-ups looking for funding.

Participate in business seminars and find a start-up with a lot of potential.

The rule of the thumb is to invest only when you can afford to lose.

High-Risk Investment Vs. Low-Risk Investment

Some people say cryptocurrency investment is a high-risk investment, some say forex is a high-risk investment, some say investing in shares is a high-risk investment. Basically what they are trying to say is every investment is a high-risk investment.

I always wonder what exactly a high-risk investment is. Is it related to how much money you have invested? When you talk about high-risk investment, you must also acknowledge that there is also a low-risk investment. 

What is the difference between high-risk investment and low-risk investment? I invested $100 on X and $1000 on Y. Do you think X is low risk investment and Y is high risk investment? What are the criteria that define high-risk investment and low-risk investment?

In your opinion, what is a too risky investment and what is not so risky investment?