The first step towards learning about stock market investing is to first unlearn a few popular ideas and myths that make you feel like investment isn’t your cup of tea. Once you have decided to grow your wealth, it is never too late to start your investment planning. Here are a few things you should immediately disregard before investing
Stock Market Is Scary
All of the best investors of today started out the same way as you. With dedicated learning, investing can be easily mastered. It also helps if you understand the right tools and calculations before investing. You can take a look at our ten tenets to successful trading to understand more about the right principles of trading and investing.
Stock Market Is Only For The Rich
You can start out with as small an investment as 5 Rs in the share market. The key lies in staying consistent through the years to invest periodically in well-performing stocks. You could also seek the help of fund managers to better manage your savings.
After 40, You Are Too Old To Start Investing
It is true that the sooner you start investing, the greater your compounded growth with come up to. However, age should never be a deterrent when it comes to investing. It is always better to have saved a few lakhs than to have never saved at all.
More Risk Equates To More Reward
Risk:reward ratio is something that gets thrown around a lot. However, these values should always be taken with a pinch of salt and you should always think about the context in which you are investing before knowing the risk or the reward. Never get into an investment or trade without establishing the risk of it.
Go Behind FII Stocks
There is no certain way in which you can conclude a market’s direction based on FII investments. They could be buying into one account and selling into another or they could be hedging their positions according to their long term goals. Since you can never have access to the full picture, don’t blindly trust the FII moves.