Due to the instability in the country’s economy many people, mainly micro and small business owners, have realized the importance of making investments to ensure their financial security.
However, a lack of knowledge about the subject may result in poor investment choices such as applying to a savings account or simply leaving money standing still in the checking account, reducing purchasing power.
So, one of the first things you need to understand is that investing, unlike saving, is to apply value by thinking about profitability over a given period, whether short, medium or long term.
What are the advantages of investing?
Investing is the safest way to ensure stability to any venture in times of crisis, in addition to providing economic growth. But there are also other advantages, such as:
How do you see yourself 30 years from now? This is a question that we have to consider, since at present public welfare in Brazil has been a subject much discussed. Because of this, making a good investment is necessary to ensure your future independence.
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Investments such as government securities, for example, when applied to a 30-year period generate funds well above those paid by public and private pension funds.
If you have a dream that has not been realized due to lack of conditions, making investments is the surest way to start putting them into practice. It is therefore essential to set your short, medium and long term goals well.
Have financial security
Achieving financial security is the goal of virtually everyone. However, few can reach the finish line, as it is not easy to give up momentary desires for future stability.
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So, if you do not get lost along the way, it is crucial to understand the importance of financial planning. That is, from the moment you learn to master your spending, it becomes easier to achieve stability.
Maintain a financial reserve
Do you know those unforeseen circumstances that sometimes take us unawares and we have the solution to request loans with high interest rates? An investment serves to make your life easier when these eventualities arise.
What are the first steps to start investing?
1. Set your goal
Before starting the applications it is essential to define your goals, therefore it becomes easier not to be distracted by the way. Therefore, it is important that you know the expected return on that investment.
2. Learn about the market
Because of lack of knowledge in the area, the chances of you falling into a trap are high. So be always informed by books, news, articles, etc.
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When there is an understanding of how the investment market works, decisions tend to be more accurate, increasing the chances of success.
3. Stipulate the initial value
There are many investment options and each requires different amounts. It has application that has higher initial value and others with lower initial value, including R $ 1.00. That way, knowing how much you have to invest is important in choosing which app will be best for your profile.
4. Set the time
It is very important to know how long you intend to keep the investment, because the longer the application period, the greater its profitability. It is worth remembering that your goals need to be in accordance with the established deadlines.
5. Know your investor profile
There are three investor profiles. Are they:
conservative: prefers security to greater profitability. The conservative prioritizes fixed income by investing little in variable income. Another characteristic is the preference for a faster redemption with a few losses;
Moderate: They take greater risks, but remain cautious in their decisions. They usually use both fixed and variable income;
aggressive: they are generally savvy investors who are willing to take big risks for greater profitability.
Given that, knowing your profile is very important to tailor financial planning and avoid unnecessary risks.
What are the ways to invest?
The financial market offers a variety of investments both for those who prioritize low profitability and risk as well as for those who want to make high investments in search of greater profitability. Therefore, it is important to study the possibilities that the financial market offers and choose the one that most suits your needs. Therefore, we separate these three investment options:
Being considered low risk, government bonds are a way to lend money to the Federal Government. The remuneration for this type of investment is pre- or post-fixed. The application can be made by the Treasury Direct website after registering and hiring an accredited brokerage firm, which will be responsible for formalizing the purchase and sale of securities.