Investing brings up all sorts of thoughts for various people – It's too hard, I don’t have enough money, I’ll lose all my money, It is unpredictable, I don’t know enough. All of these are valid points. It is a case of, “If you believe something is so, then it is for you.” You can choose to change how you think.
Once you change your mindset around money, and you have some money to invest, the next choice is – how do you choose where to put it?
First, you want to ask yourself: “What is an investment to me? Is it buying a rental property? Is it having a business? Is it playing the stock market?” All of these work, however, the primary investment starts with an investment in you. The more you invest in you, the easier and greater your investments become.
1. Invest in yourself
With all ventures, the first step is to invest in you and educate yourself about how you function. Your point of view creates your reality. Everyone has a particular point of view about money – is it easy to make or is it hard? If you think that it is hard to make money, it is! One of the ways you can start to change this is to challenge yourself to say, “that’s an interesting point of view” every time you think about money. Thoughts you think often are the sign of a point of view that is not working for. Using “That’s an interesting point of view” will work with any point of view that you have.
2. Research your interests
What you are already interested in has the most likelihood of becoming an additional income source for you. When you have established what you are interested in you can begin to upskill yourself. Whatever it is you have an interest in, there is a way to create money from it. You may be interested in jewelry, antiques, art, retro furniture, vintage clothing or whatever your particular thing is. Take time to learn about what is in vogue or valuable right now and check out sites on the internet or local shops and see what is under priced. I can guarantee if you do some research in an area that interest you will be able to source some amazing opportunities. You can either accumulate the items first or immediately sell them for a profit.
The same principle works with the traditional investment areas of fixed interest, shares/stocks or property. You may have an affinity with one of these. Start with that one and educate yourself – talk to the experts, talk to a financial adviser, ask lots of questions until you feel you have an understanding of how that market works.
3. Does it feel right to you?
I encourage all of my clients to ask questions. What questions can you ask yourself before you even begin to put some of your hard-earned cash into an investment? First and foremost, does it feel right for you? I use a tool from Access Consciousness called light and heavy. If it feels light to put my money in a particular investment I follow it. If it feels heavy – you know the doom and gloom feeling - I avoid it like the plague!
This tool can take a bit of practice as it goes against everything we have been taught. We are told that you need to choose based on facts, patterns and research. Although all of these things are useful for gaining awareness and I do recommend researching and looking for patterns, using your awareness and this tool has always been more useful for me.
Pro-tip! A great time to use the light and heavy tool is when you are considering selling. Ask yourself: Is it lighter to accumulate or sell? Should I sell this item now or another time?
Before I even choose an investment, I look at the area I desire to put money in. You have probably all heard the saying don’t put all your eggs in one basket and so it is the same with investments. Spreading your investments across the three major sectors of fixed interest, shares/stocks and property creates diversity that reduces risk. The reason for this is that the world’s financial markets tend to be cyclical and often one market will rise and the other ones will fall. If you have a mix of investments, you are not at the effect of the market swings; you are using them to your advantage.
My aim with investing is to get my money working for me -some people refer to this as passive income. However, you need to keep an eye on it so it is not entirely passive. I like knowing that I am earning money while I sleep. You can wake up in the morning knowing you have earned an extra $100 while you slept.
5. Where to start?
The first investment I recommend for anyone is fixed interest – it is a natural progression from a savings account and will yield better interest rates. You can use term deposits with your bank or look outside to building societies and local banks. Simply look for a higher interest rate.
Shares/stocks are the next tier to move on to. There are numerous ways to invest in shares/stocks from buying “blue chip” shares, which are considered the most profitable and successful companies to the “penny stocks” which are the new start up companies. You can purchase penny stocks for relatively little money. They trade at cents per share. Again, it is important to invest in yourself by doing the research and asking questions to find out if this is really where your money wants to go. Once again, use the light and heavy tool or just ask – “Will this investment make me money? “
Now if you would like to invest in property and you don’t have enough money – maybe right now you are not in a position to purchase a rental property however one way you can invest in property is by putting money into funds which are primarily is made up of property investments. If you look outside of the major cities you will find property at comparatively lower prices. Real estate is not just confined to houses – have you considered flats and units? You can also look in the less popular areas of town where again the prices of property are cheaper. The important thing to remember is – you are not going to live there.
All of the above investments really work if you have the interest to pursue the end game of having skills and knowledge that empower you to increase your wealth.
When you focus on what actually interests you it becomes fun and does not feel as if you are working at it at all. Knowing how you function personally is your secret tool to creating sustainable revenue streams for yourself. The key questions to ask yourself are– Do I have a point of view about this? Is it light or heavy? Will this make me money? If you can be in the question, not seek to have the answers, and follow your knowing you are successfully investing in you. You are, in fact, creating your future.
Margie Hulse is a business coach, speaker, consultant, property investor and Right Riches for You facilitator for Access Consciousness. She has over 20 years of experience in the creation, investment, promotion and marketing of multiple successful businesses. Having gained financial security for herself, she loves to show others just how easy it can be to do the same. Right Riches for You is a specialty program of Access Consciousness.