There is literally money everywhere. When it comes to investing, sometimes we don’t know where to start. There are plenty of investments to choose from, however, choosing the best one is not easy. And what do you do if you feel like you have little to no money to start with?
First, let’s talk about the different apps available to get started! Did you know you can get started with as little as no money? I downloaded this app, and it gave me $7 in free stocks. I chose Tesla, so, I started out with $7 in Tesla. Then, I shared that app with friends like you, and in less than a week, I have $183.87 in Apple, Tesla, Amazon, Beyond Meat, Peloton, and a bunch more! I LOVE IT! And I didn’t put any money down.
There’s another app that I earn rewards back in stocks just by using it to pay my bills. There are really so many options with investing! Even apps you can mine bitcoin with, all for free! I’ll share them with you at the bottom of this article.
So, let’s talk about the importance of COMPOUNDING interest!
A very good place to start is with compounding returns. These are your earnings after you have invested and then withdrawals after you are old or retired and no longer dependent on the market. With compounding, you are able to build your nest egg incrementally.
There could be several reasons why you want to make compounding returns. The primary reason is that this investment technique enables one to build the nest egg incrementally. This means that instead of taking the whole amount from the market at retirement, you can make 10% returns over time to make your nest egg. This will provide you with more money when you need it most, and will enable you to live off of it. That’s really the idea behind compounding. You would be able to live off of your nest egg when you do no longer need the money for yourself but you will be able to keep building your nest egg.
One other important reason to focus on compounding is that you will get a greater percentage of your money at initial deposit. It is important to start with a substantial sum of money to start with. Once you have made good returns, you can build on it and keep adding as your nest egg grows, and also you won’t lose your nest egg if you are not a diligent depositor.
It is a shame that many people do not get started right when they do not know what they are doing. This happens when people are not able to take a big step forward when they are just starting. They tend to get sidetracked and do not continue to invest in the right direction. By starting small, you will be able to build up your knowledge. This will help in taking the big leaps forward.
There are ways to make compounded returns. One of them is by buying the call options. These are the right that you are able to sell at a given price. You will get an immediate return on your initial deposit. You can also compound your returns over time by doing this method.
Contributed by Amy Jo Honey