The Stock Market is a volatile place. A giant crash followed the Tech Bubble of the 1990’s. Millions of investors lost their life savings. Today, the Market is hitting new record highs, but it’s not a reliable retirement plan. There are five things you can do to make smarter financial investing decisions.
Diversification is a primary resource when investing. Putting all your money into one investment is careless and imprudent. Any investment can fail. Throughout history, few investments other than precious metals such as silver bullion, copper coins and mint gold coins have held long-term value. Micromanaging risky stock investments is dangerous. Investing in multiple, diverse products spreads the risk amongst them, allowing those values to bend and sway without breaking you.
History is one of the most important resources for any investor. It’s easy to forget that America maintains a sealed vault filled with precious metals. America left the Gold Standard in 1913, valuing Dollar bills based on the Full Faith And Credit Of The United States. Today, each Dollar bill is worth about 4% of its original value. Those precious metals in the vault have continued to rise in value since that day. Credit and faith are great, but mint gold coins, silver bullion and copper coins are investments.
Smart investors understand the volatility of the Market and see that long-term investment is the best way to assure stability and growth. Businesses, corporations and start-ups can fail. Historically, most fail eventually. Solid investments in products such as precious metals reduce that volatility, essentially eliminating the possibility of total collapse. Precious metals will always retain and increase in long-term value. They will never file for bankruptcy protection.
Do Not Stash Cash
As a smart investor, you already know that the value of money goes up and down. Inflation eats away at the value of almost every currency, deflating value daily. Savings accounts are nice, but they usually pay just enough to offset your losses. Your bank benefits with direct fees, loans and investments that draw a much higher earning percentage than they ever pay to you.
You should be careful not to be tricked by gimmicks. Many companies thrive, pretending they know where you should invest your money. Some were responsible for the Great Recession. If someone claims they provide the tools you need to expertly predict future markets, or boasts that they have some secret knowledge of future markets, you should remain skeptical. No one knows the future.
Nothing is forever. The future is uncertain. Smart decisions can help you plan and maintain a stable future for yourself and your family. Smarter financial investment should include diversification to spread risk. It should include a long-term plan for success based on solid historical facts. Smart investors are not fooled by gimmicks and do not stash cash. Finally, precious metals such as mint gold coins, silver bullion and copper coins can be an important part in a solid, long-term plan for financial success.