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What are Common Investment Strategies?

Before starting up of any work whether it’s a holiday planning, future planning, higher education, starting up a new business, selecting a new job, buying a new house, car or phone etc. People plan well in advance to take up a right decision when they feel satisfied.

But, to plan for all this one should save his money by investing. But the problem begins from here, the major doubt of every investor is, where to invest the money. The one should know the major investing strategies.

Investing your money without the strategies is like dumping your money into the garbage.

6 Most Common Investment Strategies:

Growth Investing:

As the name itself defines about the strategies, the one should invest their money in growing up companies, even if the share price appears high rate in the market but if you feel that the product would come up in the market may be after a certain period of time because buying stocks from growing company would bring impressive returns if the companies are successful.

Buy and Hold:

Time in the market plays a major role in the investment, the best strategies after buying the investment securities and holding them for a long period of time because holding the securities for a long period of time will increase overall net returns on the investment.

Also Read: Investing Money? Which Types of Investments Give the Most Returns

Invest in what you know:

When you plan to invest your money in some company then make sure that you know about the company and have knowledge about the business what they are into. If you have spent many years of your time in a particular field of the industry, then investing in that field would be the best decision.

Speak to Someone who has Knowledge:

Before taking up any decision of investing your money, make sure you speak to someone who has complete knowledge about the investment strategies. Once you under all different types of accounts, then it would the right time for you to invest your money.

Market Timing:

Shifting money from one type of investment into another on the basis of factors such as stage of economic-cycle, health of the economy, direction of interest rates, inflation, and stock (share) prices.

Socially Responsible Investing:

Be clear about your investment goals: Before investing in any company may sure you clear all your doubts, the doubts may be silly but you never know after clearing your silly doubt you may come up with a particular decision. Before investing you make sure you match your objectives to your methods.

These are the major investment strategies which will make you a better value investor. This will help you in reducing your number of mistakes and avoid risk in investment. By continuously reducing your risk in the investment will bring up a positive energy and boost you in long-term investment.

Ajeet Sharma, the founder of Financegab and a well-known name in the field of financial blogging. Blogging since 2017, he has the expertise and excellent knowledge about personal finance. Financegab is all about personal finance which aims to create awareness among people about personal finance and help them to make smart, well-informed financial decisions.


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