Discover the perfect amount of money you need to start investing today! Our expert guide reveals the minimum investment amounts and strategies for beginner investors. Start your journey towards financial freedom with our step-by-step tips and advice.
When I come across anyone who ever heard of putting money into the stock market as an amateur I always hear horror stories!
“I lost over 20k”, “I took a loan out and lost it all–now I am 25k in debt,” “I have never won anything in the stock market–I just keep on losing it all”!
I was in SHOCK! Yes, I am fully aware of the infamous statistic that over 90% of retail traders will lose their money in the stock market –but I didn’t know how so many women close to me had attempted trading before.
In this modern age, full of the latest tech –stock trading is easily accessible. You can download a trading app, make an account, and immediately start trading. Think about this question. –> If in a few years from now, our technology and medical advancement had evolved so fast that now you could download an app that would allow you to get brain surgery on yourself by configuring the cells in your brain–would you jump to do this without first investing a significant amount in learning how to do this?
Of course not! Just like anything else done properly, in order to be successful at trading–you must invest a significant amount in learning how to do so in order to reap the rewards. Yes, the stock market is a money-making machine to those who know how to wield it but it’s totally the opposite if you foolishly dive in with no direction, or worse by following the advice of a charlatan. In this world, unfortunately, there are much more scammers on this subject. Fortunately, there is a lot of information out with legitimate information–just don’t get sucked into charm and charisma. There are several reasons beginner investors fail, according to an article written by the Motley Fool
— investors will lose money when:
- Investors and Traders begin before being ready
- Setting unrealistic goals
- Trusting the wrong people
- Buying stocks you don’t understand
- Paying too many fees
- Trading too frequently
- Not diversifying your portfolio
- Buying and selling stocks based on emotions
- Buying more of the stock you lost money on
- Not continuing to learn
What Is The Perfect Amount Of Money To Begin Investing In The Stock Market? Tell Me Now!
The perfect amount to put into the stock market is only known to you! You have to consider your situation, what amount are you comfortably ok with losing it at the cost of learning to trade? If you are only willing to lose $5, $10, $200, $500, $10,000–then this is the perfect amount for you to begin trading. Granted the less you put in, the more difficult it will be to grow–but, yes in theory if you did everything right–anything can grow.
Is There A Catch To Trading In The Stock Market Successfully?
Of course, there is a catch! The catch is that not only do you have to know the technicalities of trading, but you have to develop your emotional intelligence, and mindset to an extremely high level. In stock trading, trading psychology and emotional intelligence is much more important than all the trading skills in the world. You will need both, but if you manage to keep your mindset up–you will be unstoppable!
Once you invest in the stock market, it can be tempting to sit back and watch your portfolio grow. However, if you want to truly succeed as an investor, it’s important to continue learning and expanding your knowledge about the stock market. Think of it like playing a game of chess – you may know the basic rules, but to win against skilled opponents, you need to stay ahead of the curve and keep honing your strategies.
The stock market is constantly evolving, with new companies, industries, and global events shaping the landscape every day. By staying informed and learning about these changes, you can make more informed investment decisions and adjust your portfolio accordingly. Plus, investing in the stock market can be a thrilling and rewarding experience, and learning about new investment opportunities can help keep your passion for investing alive.
Not only does continuous learning keep you up to date on the latest trends and strategies, but it also helps you avoid costly mistakes. By understanding the risks and potential rewards of different investments, you can make more informed decisions that align with your financial goals and risk tolerance. Plus, by staying engaged and informed, you can develop a sense of confidence and control over your investments, which can lead to greater long-term success.
In short, investing in the stock market is a journey, not a destination. By embracing the mindset of continuous learning and staying curious about the world of investing, you can unlock new opportunities, avoid costly mistakes, and enjoy a fulfilling and rewarding investing experience.
This blog will guide you to the next steps I took to make trading a success.