Investing can be confusing and seem like it isn’t ideal for you. This is especially true if you are a British expat working in Singapore during the early years of your professional career when you may not have much capital or do not have any experience about investing.
The process of investing through various investment tools is actually quite straightforward once you have gathered all the necessary information. You can do this online even before finally consulting a financial adviser for British citizens in Singapore.
Start now, not later
Most young professionals delay investing due to fear and prioritizing other expenses. However, investments are long-term commitments. Hence it is crucial to start investing now to reap the highest benefits later on in life. So, even if it is a small amount start investing now.
Know what type of investor you are
Investors can be divided into two broad categories, active and passive. Active investors are committed, knowledgeable, and usually professionals who, are well versed in investments and are constantly researching trends to stay on top of everything.
Conversely, passive investors stick to index and mutual funds. They focus on long-term investments and the financial market’s growth. They work with fund managers who strategically invest their money. Irrespective of the type of investor you choose to become, seek tax advice for British expats in Singapore to increase your profits.
Set your emotions aside
Fear and greed are two emotions that should never dictate your investment decisions. You may encounter your investment dipping and may feel compelled to sell before losing a substantial amount of money. Similarly, to gain greater profits, you may consider buying stocks that are going up. Unfortunately, this causes selling low and buying high, which consequently causes you to lose significant sums of money.
We recommend using the dollar-cost averaging method, which involves purchasing stocks at the same amount of money at predetermined regular intervals. This method eliminates all emotions and makes investing almost robotic. You can also automate investment payments to set your emotions aside.
Plan in advance
Before investing, set some rules for yourself and plan ahead. For instance, if you had set a certain buy price for a certain stock, stick to your plan and do not waver. By having rules and plans in place, chances of you falling prey to greed or making fear-based decisions will be highly reduced.
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