Match your time frame to the investment. Selecting good investments for yourself involves matching the time frame you have to the riskiness of the investment. For example, for money that you expect to use within the next year, focus on safe investments, such as money market funds. Invest your longer-term money mostly in wealth-building investments. We can create this major difference with an annual interest over a period of only 15 years. The chart below instead shows what would happen if we could do the same for a period of 40 years. But please, do not jump immediately ahead, remember this lesson, give yourself the time to read all of the courses, at least once, but even better if you read them twice. Now we can even buy a financial instrument and earn money if its value decreases. It might seems crazy, but actually is not. We will discuss this concepts in the next course dedicated to the Forex market. To gain advantages over time, acquiring at the best prices statistically the new units of your investment.

We will see in detail the potential of this new form of investment in the dedicated course. But for now, do not rush, and first terminates this course, because here you will find the most important concepts for the success in any investment, including, of course, with Social Trading. The Time Factor in an investment Private equity fund: Private equity funds are pooled investment vehicles similar to mutual and hedge funds. A private equity firm, known as the "adviser," pools money invested in the fund by multiple investors and then makes investments on behalf of the fund. Private equity funds often take a controlling interest in an operating company and engage in active management of the company in an effort to bolster its value. Other private equity fund strategies include targeting fast-growing companies or startups. Like a hedge fund, private equity firms tend to focus on long-term investment opportunities of 10 years or more. As we have already said, this is absolutely not true. And also, investing a sum each month, even if small, can lead to great advantages over those who invest all at once. Let’s make an example to better explain. For this reason, Financial Expert is a great place to start on your learning journey towards investing. Other learning resources such as planet education can assist.We begin our investment, and by accident the strategy enters a negative period, and within 3 months you get that 50% losses statistically forewarned. Although it is not easy, try to imagine how you would feel if after 3 months you would have not yet accumulated a single dollar of earnings, but rather you would see your account totally halved. I can assure you that for very few in the world that would not be a problem at all. To find out if a gain percentage in a short time is too exaggerated, try to convert it into a loss, and ask yourself if you can accept it. For example, if with an account setting you are convinced to get the 50% return on the capital within a month, try instead to ask how it would be if, in a month, you’ll lose half of your account, because almost certainly it will happen just that. And actually due to the impact of inflation eroding the spending power of the cash in your savings account, in real terms it would be worth even less. It means that no matter how the economy is doing, some types of investments will thrive more than others.

Here is where the journey begins, a journey that will get you, in the shortest time possible, to become an evolved investor.

Major types of financial investment instruments

Investing for dummies can feel overwhelming at first. We all know we need to, but don’t know how too. Thankfully, it’s easier to invest than you think. Maybe you want to invest for retirement? Or, maybe you’ve started making extra money and want to invest it? Then when we found out that instead, to really learn it, it was required a serious study and especially a lot of practice, we immediately abandoned our purposes. Now you’ve finally clear the sense of this lesson. Work and pay yourself first each month allows you to do three things. Evolution and the new form of technologies have created the conditions for new modern form of investment, always more accessible and fast, one among all being Social Trading . Risk management is essential to maintain and protect the value of your investments. To reduce any possible losses, one should diversify their portfolio across different asset types, industries and markets.