Improving your well-being is not limited to work. You can always find a solid source of additional income. Igor Slinkin, commercial director of the 2LEADS agency, told Komsomolskaya Pravda how to start investing from scratch so as not to deny yourself anything.
– The term “investment” should be treated globally. Choosing certain options for how you will invest in them, you should first of all start by defining goals, why you need it, says Igor Slinkin.
Typically, there are several options:
1. You consider investments as a way of passive or additional income.
2. You consider investments as a way of basic income.
3. You see investments as a way to preserve previously accumulated funds.
Having defined a goal, a novice businessman will be able to understand how short-term or long-term his activities will become. This, in turn, will help determine the amount of those investments that a person can “donate” to an investment fund.
– The main difference between investments and, let’s say, savings, is that the investor also has certain risks, in which, in addition to a positive result, investment losses are also possible, – adds Igor Slinkin. – That is why you should not invest a huge amount of investment at the start, and you should also carefully approach the choice of the investment method.
In Russia, more and more people of different ages are interested in the topic of investment from scratch. In a conversation with KP, personal finance and investment management expert Igor Fainman explains:
– The rate of the bank deposit is lower than the current inflation. And our citizens are forced to start understanding investments in order to protect their savings.
There are two types of income in financial markets: fixed and forecast. The forecast is always higher, but it is due to the risk of losing part of the savings. And the fixed one is lower, but, as it were, “guaranteed”. The simplest examples of these two are cryptocurrency and bank deposits. The first can grow by 1000% in a day, and collapse even more in a week. The deposit, on the other hand, is guaranteed to bring income (unless the bank suddenly goes bankrupt, which rarely happens).
In investments, many see for themselves an opportunity to receive passive income. But there are not so many real investment instruments that fit this definition. The most popular are bonds and dividend stocks.
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Where can you invest
For beginners and those who do not have a huge budget, the expert recommends starting with short-term investments, where the result can be assessed already at a short distance – up to one year. This will help minimize the risks of losing your investment. Also during this period you will be able to gain a basic level of practical knowledge that will help change the approach to investment in general.
– You can start investing with a regular deposit in the bank. It would seem that this is a fairly simple method that is used by quite a few, – continues our interlocutor. – However, it is also one of the most popular. In this case, it is worth conducting a detailed analysis of the banks’ proposals.
According to Igor Slinkin, depending on the investment period, the possibility of closing the account and other details, you can get a high percentage of the annual profit. But do not forget that you will not be able to influence the inflation rate in any way, which depends on a number of economic factors.
– This means that the real percentage of marginality can greatly decrease over a longer investment period. Try to analyze this using the example of past years and compare with the interest rate that can be assigned to your deposit.
– The second way to start investing almost from scratch is becoming more popular every month. These are various investment services where you can buy shares of well-known companies without spending a lot of time, as well as starting from the very minimum amounts, the entrepreneur shares.