Kathmandu. Who doesn’t want to make a lot of money? The problem is that not everyone is able to plan correctly. Many people ask where to invest the money to make big profits. Doesn’t anyone tell us what it’s important to do before embarking on an investment journey? Let’s talk about it today. These are the five things you need to do before you start investing.
Financial goal setting
First of all, you need to be clear about what you want to achieve with money. Saving for leisure, buying a home or educating children. It will be easier to choose an investment path when the goal is clear.
risk carrying capacity
It’s important to understand how much financial risk you can afford. If the investment is risky, then there is no need to panic when the market fluctuates.
Old loans repaid
First of all, you have to pay high interest rate loans and credit card dues. Investment will increase without any pressure as debt decreases.
Emergency fund
At least 6 to 12 months should be spent in the emergency fund. This money should be easily withdrawn. Such a fund protects the investment from any sudden problems.
Investment options
You should know about shares, mutual funds, bonds and other investment options. They need to know their returns, risks and how quickly they can withdraw money. Good investment decisions can be made only by getting information about all this.
