Asked on 30 Jul 2019
I've never done any investments before and don't really have much investing knowledge. What should I do and where do I begin?
This question is no longer accepting new answers because it has been merged with Are there any books or courses in Singapore that are recommended for a beginner like myself to understand how to get started on investing?
The Seedly community is filled with plenty of information for the uninitiated. I'm sure you can find most information you require regarding investments.
First you need to ask yourself what is the objective of you investing. Most likely, it is to address the impact of insufficient returns as you are building your current asset to a bigger future asset for your personal financial goals.
Thereafter you'll need to align your need (based on your objective above), ability, and willingness to take risk. There are many investment instruments available in the market. It's about finding the right instrument which is aligned to your personal objectives for a positive investing experience.
https://advice.moneyowl.com.sg/investment might be a good place for you to learn more about a way of investing which is more likely to be suitable for most people like yourself.
Depending on which field you understand,
Example if you worked in the technology field you understand how it operate, you can search for companies to invest in.
Or you're lazy index funds, etf, bonds.
If you want something new, Cryptocurrency.
Google your questions, I started off in the cryptospace 2017 Oct without any mentor nor guidance, I just googled my way and learn. How am I able to do it? It's passion and interest.
Whatever you're thinking to pick up and understand / learn first you must have a passion and interest for it.
Also a tip, never invest into something you do not understand, eventually you will lose your money. Don't listen to anyone telling you to buy this stock or that crypto, always do your own research and due diligence before you put any money.
Hi anon, firstly congrats on wanting to learn about investing!
You can learn about investing in stocks through Seedly's blog at https://blog.seedly.sg/category/investments.
We also have an investing guide specially created for beginners like you: https://blog.seedly.sg/ultimate-personal-finance-guide-to-investing-singapore
If you are looking for specific books, you can check out this post: https://blog.seedly.sg/beginners-investing-books/
But before you begin investing, it will be good to ensure you have the basics sorted out first: https://blog.seedly.sg/checklist-to-do-before-investing/
All the best!
Not sure of your current circumstances, but there's a couple of things you may want to look into before starting on your investment journey.
Emergency funds of about 3 to 6 months of your monthly expenses
Insurance. Do ensure that you are properly insured especially for medical / hospitalisation
That being said, there are a few approaches to investing. Some invest for income (dividends from stocks, coupons from bonds, etc), while others invest for growth and start to drawdown on their portfolio come retirement.
For me personally, I paid to learn investing and shortcut the learning process. Not sure if this will appeal to you, and it may not for everyone. Reasons for doing so is I have someone to guide me on my mistakes, I learn a proven system and I fast track to an earlier retirement. Bonus was the cheaper comm structure with an established broker.
If you prefer to DIY your learning, I'll suggest a couple of books written in our local context: Rich By Retirement and Millionaire Teacher. Both are relatively easy reads and are excellent for investment beginners.
Hope this gives you an idea on where you can start off. All the best
Hi anon, I recently answered a similar question here, have a read: https://seedly.sg/questions/where-should-a-part-time-student-park-his-money-at. All the related articles you can read & learn from are linked in that answer! There're plenty of free materials for you to learn about investing, Seedly articles included :)
I also agree with Zaine's input! Always do your due diligence researching and learning about the investment product(s) you're putting your money in, don't dive into something that's foreign to you. As a newbie, I'd highly recommend passive investments unless you're ready to commit a great amount of your time into preparing & managing your active investments. Also, do bear in mind that investing is a 1 out of the 5 pillars of Personal Finance. Do ensure you've read up and prepared your other pillars of Personal Finance on top of your investments :)
Wishing you all the best in reaching your financial goals!