How To Make Money Fast Investing In Stocks

 

make money investing in the stock market very fast money

My father is the hardest working man I have ever seen and as a kid I remember seeing him working in the factory during the weekdays and on the weekends moving lawns so that he can save some little money in the bank and with little to no interest and hope one day you can quit his job.

But my uncle on the other hand invested some of his money into the stock market and my father told him it was very risky.

Unfortunately what my dad did not realize is that he was also playing a risky game.

Every year my dad's money was lost due to inflation. This is just what happens over time as more is printed the money in circulation becomes less valuable.

So he was never able to quit his job Working in the factory.

My experience with this situation scared me a lot that I devoted my whole life to saving in the stock market.

I am not a financial advisor but as someone who has experienced inflation. I want to write this article and share how you can invest in the stock market and beat up inflation.

So you might be wondering how I can invest in the stock market and make money very fast.

1. Beat inflation 

To make money you first need to beat inflation.

In the last 60 years inflation averaged 3.8% every year. So this means that if your money is not growing 3.8% per year, then you are getting poorer.

In a perfect world a savings account can provide you an average of 10% so that you can beat inflation and make some money or profit, unfortunately that account does not exist.

However you can achieve results like this by investing in the stock market.

Shareholder.

A stock is a small part of a company and when you buy it, you become a shareholder.

There are two ways you can make money when you buy stock and become a shareholder.

Capital gains

Firstly if the stock goes up during the time you own it, you can sell it more than you buy it, making money.

Dividends 

Second, you can earn dividends. These are regular payments. But here’s the catch, not all Stocks pay dividends but if they do,  you can earn extra money without selling your stock.

The magic really happens when you own a bunch of stocks which average 8 to 10% every year, because the interest apply becomes larger and larger this is called compound interest.

2. Best Time to Start.

When is the best time to start investing in the stock market?

The short answer is as soon as possible.

The Younger, the better as you are giving your investments more time to groom which means  you can take more risk.

If the stock market crashes you’ll have more time to recover Loses because this happens sometimes, and it’s all happened and it’s always happens.

You know life is not as easy as this because there are always things that will keep you away from investing.

To begin here’s how I will encourage you to start.

 Pay off all high interest debts Like credit card. Just think about it there’s no point trying to make 10 percent in stock market if you are paying 15% credit card company.

Build up an emergency fund 3 to 6 months.

This should be enough to cover up your living expenses 3 to 6 months so that you are not forced to sell your stocks in an emergency.

Once you have done both of these things you are ready to start investing in the stock market.

3. How much can I invest 

When you ask an investor they will say as much as you can. 

But I have a different view. I make much of my money investing in different businesses and I only use the stock market to speed up the process Overtime.

If you want a solid answer then I will suggest the 70:20:10 budgeting rule.

It states that you should only split your income into 70% living expenses 20% in investing and 10% in savings.

Research shows that people who invest at this level are much better equipped to write ups and downs of life and also get  ahead of everyone else.

4. How Do I buy a stock?

There are various app out there that will allow you to invest in the stock market. but the key here is to open the correct type of account.

Do you often hear people say things like this.

ROTH IRA 🇺🇸

ISA 🇬🇧

TFSA 🇨🇦

SUPERS 🇦🇺

If you are already investing in the stock market and you don’t have one of these accounts then you are missing out because they allow you to avoid paying taxes on your investments..

But they do have limits because they are too powerful.

A great thing about this investment apps is that they actually give you the ability to buy fractional shares.

 Instead of buying  Apple for $119 you can buy as little as little as $1.

5. How do I pick the best stock.

There are two ways you can predict the future of the stock market and which is fundamental analysis and technical analysis.

Usually short term Day traders purely focus on technical analysis. This includes charts and patterns.

This something I'm not worried about.

As a long term investor, I look at the fundamentals, which include the company financials, leadership and the brand recognition.

I belief this is where the true information lies which indicates the true success of the stock.