Investing–One of the Three Keys to Growing Wealth

dividend-main_fullOne of the keys to wealth is to have no debt.  Without debt, the money you earn is yours and yours alone.  You don’t need to repay principal and thousands of dollars of interest over the life of a loan, which automatically gives you more money than most people because most are saddled in debt.

However, just being debt free isn’t the only solution to growing your wealth.  You must also have a reasonable income, though reasonable probably depends on your standard of living.

Yet even a debt free lifestyle and a reasonable income aren’t enough.  The third piece of the puzzle is to grow your money.  The best way to do this is to invest in a variety of different markets.  Investing will grow your money, giving you much more than you originally had.  Investing is how people of modest incomes are able to donate millions when they die.

Being debt free, having a reasonable income and investing can make you wealthy.

If you don’t know where to start investing, there are ways you can learn.

You can take formal classes at a college, but that can be expensive and time consuming.  Another way to learn is to search the web for free online classes.  Believe it or not, there are free online classes that will teach you the basics of investing.  You’ll learn the terminology as well as investment strategies.

For those who prefer to learn by doing, you can jump right into investing, safely, by participating in practice investments.  For instance, you can try foreign exchange trading on a large broker’s site.  Many of the larger brokerages offer an area where you can conduct practice trades before moving on to real trades.  This allows you to gain experience and confidence before investing, and risking, your money for real.

Finally, you can look for a mentor who will help you learn the investing ropes, so to speak.  This person should be a good teacher who can explain why he invests the way he does.  However, don’t follow his investments exactly.  Learn first what your risk tolerance is.

Investing successfully is the last part needed to grow your wealth after being debt free and having a reasonable income.  While investing might seem intimidating, there are plenty of ways to learn how to invest.  As you gain more experience and knowledge, you’ll feel more confident about your investments.  Then, you’ll likely begin to enjoy the entire experience.

Wealth Creation and Saving Strategies | OnMoneyMaking