Time to sharpen your investment skills while quarantine
No more feelings of isolation and out of things…let’s sharpen your investment skills
The social distancing mode of everybody is currently on while the shift of lifestyle to work from home seems to be endless. Many of you may have a lot more time at home than before, and even so much time that you may feel bored and lonesome.
As not to waste your quarantine time at home, how about brightening up your life by enhancing your knowledge and investment skills? It’s a very good time especially for those of you who haven’t got that chance to set off your investment journey. Let’s make yourself ready and grab that opportunity when it comes.
Investment—the faster you start, the more advantages you gain.
Common questions among investment enthusiasts who have not yet got that real chance to invest are: When to invest? Can it be now? Which market is best to invest in? Actually, these questions can be answered by none, as no one could probably know which time is a “golden time” for investment.
On the other hand, what everyone knows is, the longer you wait, the more opportunities you lose. This is because, every second that passes means that the values of your money are consistently dropping due to the power of “inflation”.
As a result, when talking about investment, the faster you start, the better it turns. “Time” is one of the crucial factors that will completely shift the result of investment. To make you see a clearer picture, two investors invest the same amount of money in a fund and both of them are subject to equivalent returns…
1st Investor: Set off the investment journey 5 years ago. He has invested THB 5,000 per month with an average return of 10% per year.
This means that, right now, he’ll earn a total amount of 402,936.60 baht.
2nd Investor: Set off the investment journey 10 years ago. He has invested THB 5,000 per month with an average return of 10% per year.
This means that, right now, he’ll earn a total amount of 1,051,870.02 baht.
From above, you’d see that 5 years earlier means a lot as the return is extensively multiplied. It’s about the power of compound compensation in which the returns are combined based on the investment period.
Despite of feeling bored at home, this is even a very good chance to seize for any of you who wishes to start investing on something, because you have time to study on it, and the price of the current market is relatively low. Don’t worry about the amount of money in your pocket. You can do the investment no matter how much money you have. Anyway, a question is, if you’re an amateur, how could you get started? Well, let’s take a look at a simple How-To which can be followed step by step!
1. Set Your Goals
This step is important, but it’s normally ignored by most people. Without specific goals, you’ll probably get lost when you start an actual investment. You won’t know which asset should be chosen as you “don’t know yourself;” you don’t know your goals.
You’re highly recommended to start by asking yourself some questions. For example, asking yourself whether you want to achieve a short-, medium-, or long-term, how much money you have for the investment, how much time you have for the investment, and most importantly, whether you’re a risk taker or not.
List down every point. These goals will direct you to a perfect choice of investment that most fits you. Definitely, each of you’d have different goals.
2. Start Learning
“Investment is risky, but the risk will get even higher if you lack knowledge.”
Knowledge is a must when you do an investment. With knowledge, you can attain a larger goal stably, reduce risks, and more simply seek an appropriate channel for investment. Currently, there are online sources of knowledge accessible around the clock—easy at your fingertips, no need to go outside anymore.
We today bring you good sources that will help you equip with knowledge and boost up your investment skills. Most importantly, they’re free! Let’s expand your know-how during this quarantine!
- Investment Articles
- Sources of Good E-Book
- Financial Podcast
3. Achieve Your Goals
In spite of knowing your goals and being armed with knowledge, if you never set off your journey, how can you achieve your success?
Amateurs may start from a small amount of money and gradually increase it through time. Or, if you have a fixed monthly income, you may go for the DCA investment, which is regular savings of the same amount of money on a monthly basis.
Certainly, you’re unable to go registering a fund account at an asset management firm or a bank during this COVID-19 pandemic; however, there is a simpler way. Let’s register an account online through a website or mobile application.
An application called Principal TH is highly recommended. It’s a good helper in mutual fund investment—a convenient and simple tool within easy reach. No more wasting your time going outside. Just stay home and do uninterrupted investments.
The Principal TH application fulfills all investor’s requirements comprehensively, ranging from account registration, risk assessment, investment goal setting, fund trades or exchanges, automatic investment plans, and regularly uploaded investment articles. With this one application, you can simply invest at your fingertips.
In short, now you see that investment is important to every one of you. To achieve a profitable investment, you need to set clear goals, be equipped with knowledge, have a tool that fulfills your requirements, and adhere to good habits. Let’s repeat it here one more time, it’s now a very good time to magnify your investment skills. Don’t let this opportunity pass you by, start it now…
Investors are highly recommended to first understand the nature of products (funds), conditions, returns, and risks before deciding to do the investment.