Article

A powerful factor for personal income growth (not obvious to many)

"Wealth is not about smart investments and highly diversified investments. This is about hard work and a little something extra," you might say. "Yes, Yes, you're right," I would reply.After all, the factor that you have just described is at the very core of each successful investment.In this article, we'll talk about how to start your journey as a true investor, and how to use the "bright side" of life to create your own capital (which will bring you stable income).The trick is to start investing and growing your money correctly.Stick to the portfolio strategy. For more clarity, I will give examples. Let's say you are a regular investor with a portfolio of bonds and shares.First of all, you will have to make a decision as to what type of investment your money will be: Bear markets are always a dangerous experience, but also an extremely powerful engine for growth of your financial capital (due to the effect of compound interest).A successful investment strategy should be simple:Buy index funds on a monthly basis (or Weekly or Monthly).They will allow you to consistently generate income, without taking into account the risks that might present themselves during periods of high volatility in the markets.2) the Type of investment itself will depend on your personality.Freelancers for example, who are constantly on the lookout for the "right time" to buy stocks, often do not stick to the "index-only" financial goals.This leads to an inflated stock market, which in turn inflates the dollar and makes you richer.A persistent fear of losing money (also called "passive income" or "passive income pessimism") is a fatal mistake for an investor.Even if you have been investing for many years, if you suddenly discover that your stock prices are going to fall significantly, then you should not immediately buy an item that will instantly bring you "passive income".This is because the value of securities will not rise if the market falls significantly.3) Make the right decisions.Making money on the stock market is very difficult. Only a fool could do it. a successful investment.To do this, you should make the following decisions::keep your money in a savings Bank;regularly buy index funds;use the monthly averaging strategy when buying indices;etc.4) buy "quality time" When the market is calm.When it is high, you need to buy shares.And when it is low, you need to buy dividends and "sell stock quotes".This is called "buying back market". In in the long run, it makes no sense to buy sharply cheaper stocks at a time when the stock market is going down (as it happened this spring). 5) Don't listen to the advice of financial consultants.They are paid by the client to