Principles of private investment

The basic postulates or rules of investing are simple, even banal. The main thing is not to forget about them and to comply with them in any situation.

So, list them.

1. Do not take money on credit. Credit is such a bondage that when you get involved in it, it is very difficult to get out of it. Yes, then we also do not last forever, we can lose work, assets, and the loan remains on our neck. And how do we pay it? You can, of course, take a mortgage, but this is practically the only time when you can get a loan. Although, if you take the other side of the medal, then this is bondage for 15 years on average, and you will give half of your salary for this loan at best. Regarding investment, I can not tell you exactly what could be better: take a chance and take a loan for some business, not the fact that you get what you have in mind. And if you fail, then you will be left without money + with a loan around your neck.

2. GOLDEN BANK RULE: Do not put eggs in one basket.

 This means that you cannot invest all the money in one thing, since this is & quot; one thing & quot; can burn, and you will be left without money. So you need to engage in portfolio investment, diversifying risks. This means that you have to invest in different assets with different levels of risk. The investment portfolio is different: conservative, moderate (balanced) and aggressive. But this is a separate topic, since the structure of the investment portfolio is compiled individually, based on the needs of each investor. Special consultants are involved in the creation of an investment portfolio, of course their services are paid.

3. You must set aside a minimum of 20% on the investment of your total income each month. You can, of course, save more. Sometimes I even managed to set aside 70% of the monthly total income for investments. But this decision is individual for each investor: how much is he to set aside for investment.

4. You must have your own reserve fund, which will be deducted at 10% of total income every month.

 If you say easier, then you save money for a rainy day. just do not need to postpone a lot, 10% is enough. You yourself understand, happen that: you have lost your job, there is no money; or some urgent expensive operation, also needed money. So you can use part of the funds, taking them from the reserve fund, or all of them. Depending on the situation.

If we speak from a practical point of view, then everything is simple. Open an account in any bank (it is desirable for it to be included in the deposit insurance system) - there you will set aside 20% for investments and another account already in another bank - there you will set aside 10% each - this will be your reserve fund.

5. Cost optimization (bookkeeping). This is also a very important point: if you keep your personal accounting, paint income, expenses, also the column & quot; Investments & quot; then you can find holes in your budget, through which money flows away. You could invest this money, thereby increasing your income.

6. Do not go anywhere - where not necessary. To invest money somewhere, first you need to weigh everything, to analyze. Understand where you invest. If you do not understand where you can invest money, then it is better not to invest money. tour to uzbekistan - agency in uzbekistan