You want to become a millionaire? But you’re only just a student? Don’t worry! With these tips, you’ll know how to start.
00:00 In this video today, I would like to show you how you can be investing as a student.
00:41 Open an investment bank account
Choosing the right investment bank might be harder than you think.
So do your research and find one that fits your needs!
01:27 Research the stocks or funds you wish to invest in
I assume that as a student, you have enough time on hands, and do not wish to find some financial advisor to do the investment work for you. As these people are expensive for their advice and their outcome is not guaranteed. And all these advisors studied for their degree, just like you’re doing.
If they can do it, you can do it as well.
Decide what you will be investing in.
Are you going to invest your money in single stocks? Or are you going to invest your money in mutual funds? Or how about crypto currencies? And there is even the option to invest in Bonds.
Make a choice on what you will be putting your money into.
The moment you’ve done that, research it. Look up all the information there is available on that particular choice you’re making, because you’re going to put your money into it.
03:10 Choose a strategy
There are a few strategies you can choose from.
There is the passive investment method.
You purchase stocks at one point, leave it in for a certain amount of time, hope that you did a great job in researching, wait for it to grow, and then take it out after like 10 years time.
Then there is the active investing method.
This requires your own time involvement as well, you may check the stocks daily or weekly, and each time you check the stocks, you may make the decision to either buy more stocks, hold the stocks, or sell the stocks.
Warren Buffett applies the value investment method.
Which is doing research on certain companies, and a company has a certain intrinsic value, now the moment these companies are being undervalued by the stock market, Warren Buffett buys into these companies, and the moment these companies are being overvalued, then as an investor, you may choose to sell the stocks again.
Now there are more methods of investing, like dividend growth investing, indexing, income investing, contrarian investing, and so many more.
But in the end, it just comes down, that you need to make a choice in what fits you the best.
06:21 My best tip on investing
Now no matter which stock you will be picking or which strategy you will be applying, the very most important thing is a habit that you MUST learn to do.
Track your expenses!
Have a clear insight in your spending, so you know what your money does.
If you have a clear overview of your money, you can calculate the amount you need to make more money for the future, and you know how much you can invest.
Live below your means, be consistent, and invest the rest. Rinse and repeat.
That’s the secret to success.
Happy investing!
