If you’re one of the millions of people who got into investing over the course of the last year: congratulations! You’ve probably gotten off to a good start. For those still wary about entering the stock market, it can all seem a bit scary and overwhelming with talks of shorts, tranches, SPACs, and much more. Even so, the benefits of investing far outweigh the risks: in November of last year, the global stock market reached an unprecedented $95 trillion market cap — with the right moves, you could be a part of that.
Tips To Make Investing An Everyday Habit
The best way to ease into investing is by starting small and keeping things regular. By turning investing into an everyday habit, you can learn more about the practice and get a feel for it. This allows you to ease into larger investments over time, broadening your portfolio. To start, though, keep things simple by focusing on the following:
Automate, Automate, Automate
The easiest way to get into investing? Let the computers do it all for you. Most modern investment platforms have features that allow you to automate the vast majority of the investment process — whether it’s depositing funds into your account or making certain purchases, almost all of these can be done without your needing to push a button every single time.
Consider implementing a few processes that get the ball rolling for you here. Robinhood, for example, lets you enable recurring investments, meaning that you make certain stock purchases at regular intervals. Never before has there been an easier way to grow your account — you’ll barely even notice that your portfolio is ballooning.
Get Into Cryptocurrency
If the stock market sounds intimidating to you, then the word “cryptocurrency” likely sends shivers down your spine. It shouldn’t though, as the primary principle behind stock trading — buy low, hold, and sell high — is true for crypto as well.
Crypto can also be easier than stock trading in some ways: most cryptocurrencies allow you to buy fractional shares, meaning you don’t have to buy a whole Bitcoin, and crypto can be traded at any time, day or night, weekend or weekday. Investing in crypto is also becoming easier than ever: Quontic Bank is now offering a Bitcoin Rewards Checking account, an opportunity to get into cryptocurrency just by saving money the way you always have been.
Subscribe To Finance Newsletters
It’s never wise to go into investing blind, but those looking to get into trading probably don’t have the time to read thousands of words on how to invest properly. Learning the ropes can become part of your daily investing exercise through finance newsletters. These digital newsletters are usually daily and contain interesting, relevant information designed to help you know what your next moves should be.
Trading-focused newsletters like the Motley Fool Stock Advisor are great for those who want to hit the ground running with their trades. Likewise, there are also other newsletters such as Matt Levine’s Money Stuff from Bloomberg that go a little more in depth regarding the ins and outs of finance. Whatever you choose, you can use the daily notification that you’ve received a newsletter as a reminder that it’s time to do a bit of investing.
Invest Your Windfalls
You get a bonus at work, your tax return is larger than expected, your electricity bill is lower than normal – how do you spend that extra cash? For most, the answer is on new luxuries, appliances, or that vacation fund that doesn’t seem to grow as fast as you’d like it to. The next time you encounter an unexpected windfall, put it straight into your investment account. While it may be tempting to splurge, putting that money in now means more money later. How’s that for a vacation fund?
Track Your Spending
Whether it’s a pen-and-paper ledger or a cutting edge budget app, everyone needs a way to know exactly where their money is going. This is especially true of wannabe investors, as any slashable expenses could and should be diverted into your portfolio. Have a chance to cut down on your wifi bill? Put it in stocks. Driving less? Use the leftover gas money to buy bonds. Having a clear sense of your budget makes it that much easier to make investing a regular part of your financial diet.
The best time to buy into the stock market was 30 years ago; the second-best time is now. By making investing an everyday habit, you’re turning money into more money — it’s that simple.