What to know to start investing?

What to know to start investing? What are the fundamentals for those who want to start investing? Start investing safely.

We don't teach children how to deal with money, so we have a nation with many financial problems.

The number of people in debt has always been huge in our country, those who know a little more stand out.

Furthermore, they are able to achieve greater success in their financial planning, having fewer problems with debt.

However, the biggest problems occur due to a lack of knowledge and future planning. Fear of the financial market holds back many people who even want to start investing.

What to know to start investing? Learn the basic principles to get you started investing.

Why should I invest money?

Firstly, we need to answer this question. Money is what makes the realization of some dreams possible, in this way, it becomes a facilitator.

Bringing quality of life to you and your family, so we need to look with care and give our money due value.

For these things to become a reality in your life, you need to know how to deal with money better. Knowing how to save is something that transforms the lives of many families.

Therefore, knowing how to save is essential for anyone who wants to invest, saving part of their income is the first principle for an investor.

However, saving by keeping money at home makes you lose purchasing power due to inflation. Which makes us understand the importance of knowing how to invest, maintaining or increasing purchasing power.

Thus, an investment is when a financial product is purchased, lending money to someone, who will pay with corrections and interest.

Essential principles for a beginning investor

In principle, financial planning is basic, having a spreadsheet controlling your expenses makes you understand where your money is going.

Helping those who want to invest to understand how to cut unnecessary expenses, as well as a fixed amount to be able to invest frequently.

Paying off debt is something interesting for anyone who wants to be an investor, and it's great that everything happens before you start investing.

Debts cause us to lose money with interest, paying them off means that your purchasing power is not compromised.

Before investing, understand your investor profile. If you are conservative, your priority is investment security. This way, you avoid taking greater risks.

A moderate investor is one who is open to taking some risk, seeking greater profitability. However, the aggressive investor is one who is not afraid to take risks, always seeking the highest profitability.

What to know to start investing?

Finally, starting with less risky investments is the best for those who want to take their first steps.

Invest in CDB (when you buy debt from banks), as well as in Tesouro Direto (when you buy government debt. These are great options for the first steps.

These are known as fixed income investments, with low risk. So, when you become more comfortable with the world of investments, you can take bigger risks.

However, always have a safety reserve, if possible for a few months. In other words, reserve the amount you spend per month in your account.

This way, you can invest with great security, so that your family remains safe at any time.