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Five Rookie Investing Mistakes You Need To Avoid


These five tips can make or break your bank account

There are a lot of tools out there you can use for investing from social media apps that help you pick stick, debt/equity crowdfunding, your brokerage house, and even buying real estate.  The main thing is knowing which tools and who to trust and the only way you can do that is buy doing your own research and becoming knowledgeable about investing.  If you hire a financial adviser you also need to research to know they are good.

Learn about doing your own research and four other tips to increase your bank account.

True story: I know someone who took out a large amount of money in the form of a bank loan, and invested the exact same way someone else did. Well, it turned out that he lost all of his money because the same factors were not in play when he made the same investment. So, he lost all of his money AND he has to pay interest on the loan.

Tip number five is the one that resonates with me.  I sat out from investing for years after the crash from 2008 financial crises and I lost out on at least quadrupling my small nest egg.  A crisis hurts you in the last year I missed out on at least two opportunities to double my money.  If you want to invest for big gains you have to get educated and stay informed.  If you can’t handle that risk mutual funds and ETFs exist as a great resource to let someone else invest your money.

Don’t sit out on the sidelines! Learn about this and four other great tips.

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About Shaun Archer Tatum Shaun works in corporate finance in New York City. He has done financial consulting for several start-ups and has worked at several Fortune 500 companies. He has contributed several finance/investing articles on Seeking Alpha which have been published on Yahoo! Finance.

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