Basically, the answer is as soon as possible. If you are concerned that now is not the right time for you to be taking that next step, then simply look below.
You’ve Paid off your High-Interest Debt
If you invest in the stock market, then it’s entirely reasonable to expect up to 8% returns. Even though this is certainly a good return on your investment, it’s not anywhere near what you would be charged on debts that include payday loans, car loans or credit cards. The last thing you need is for your profits to be eaten up by other debts, so make sure that you pay off what you owe so that you can take advantage of your profits.
You Have an Emergency Fund
Investing in a diversified mix of assets when it comes to the stock market will give you a very good return on your investment. The key thing that you need to take note of here is that it may take a while. The stock market certainly comes with its ups and downs, so you have to make sure that you keep your money invested over the long-haul if you want to deal with any downturns. You are bound to have some expenses from time to time, but you have to make sure that you can pay them without going into debt. Ideally, you should have an emergency fund that can cover your living expenses for the next six months. That being said, you also don’t want to be investing the money you have put to one side for your emergencies. You need to have a separate fund that is for investing and investing alone.
You Know the Basics
You really don’t have to be an expert if you want to start investing. That being said, you do need to understand the basics about the various assets that you can invest in. You need to understand what a stock is, and you need to know what an ETF is. You also need to take the time to understand mutual funds because you will need to diversify as much as possible. If you want to help yourself to invest, make sure you visit Qoin on Facebook. Picking individual stocks is often a very complicated process, but mutual funds make it very easy for you to build a nice portfolio where your money will be put into a lot of different things. If you can do this properly, you will soon find that you can come out on top and that you are also able to really push your investment to that next level in terms of ROI.
This is a contributed post.