Tips on Investing for Beginners A Quick-Start Guide
                     T ips on Investing 
for   Beginner s: A  
Quick-  Star t Guide
PRESENTED BY LEVEL 
FINANCING

Br iefly 
Descr ibed
M ain T opics
However, millions of people like you are currently 
investing  money in stocks, bonds, and other f inancial 
instruments  without any formal training on the subject. 
After all, if 53% of  American families own stock, why 
can’t you?
With a few tips on investing for beginners, learning how to  
trade stocks and other assets can be as easy as learning 
about  budgeting or personal finance in general. Moreover, 
opening  an online brokerage account or signing up for a 
trading app is a  very uncomplicated process these days.
Integrating your primary income – Your  
paycheck or business profits may not be  
enough for you. Therefore you may want 
to  create a secondary income stream 
from  your investments.
Being able to afford more things – You’re  
not happy with your current standard of  
living. You want a higher available income 
to  be able to buy more goods and 
services.
Building  your wealth over time –  You’re the classic long-term  
investor. You’re focused on growing your assets and having 
them  generate more wealth in the future.
Taking advantage of opportunities –  You heard of people who  
quickly increased their wealth and made significant capital gains 
by  investing in certain assets. You want to be one of them.
Accumulating capital for a specific purpose –  You may want to 
buy  a house or start a business, but you don’t want to take out 
a  mortgage or other type of loan. Therefore, you want to grow 
your  savings by investing in the right assets.
Stocks –  You buy shares or equity of a 
company  listed on an exchange such as the 
NYSE or  NASDAQ. For example, when you 
purchase  shares of Apple, you become a 
partial owner of  the company.
Bonds –  You lend money to a company or  
government, and they guarantee to pay you 
a  fixed amount of interest over a 
predetermined  time period. For example, 
you can buy a US  Treasury Bond and receive 
interest payments  twice yearly.
Mutual Funds –  You buy a basket of stocks, bonds, and other  
securities managed by an investment firm. Investors purchase 
shares  in the fund and benefit from the collective performance of 
all its  underlying assets. For example, you can buy shares of a 
mutual fund  that invests in blue-chip stocks.
ETFs –  Exchange-Traded Funds are not very different from 
mutual  funds, but they’re listed on a stock exchange and trade 
like stocks.
They offer a portfolio of stocks, bonds, commodities, and more. 
For  example, you can buy an ETF that tracks the performance 
of a  broad-based global stock index. Other types of assets 
include  currencies, commodities, and cryptocurrency.
Typically, the higher the risk (and the  
probability of losses), the higher the 
potential  returns. So, if your goal is to 
make a lot of  money fast, you may have to 
take more risks  than someone with a long-
term goal.
Be honest with yourself and understand the  
risks you’re willing  to take. For example, if  
you’re averse to risk and want to protect 
your  capital, investing in conservative assets 
like  cash, fixed-income securities, and low-
volatility  stocks may be better suited for 
you.
One way to contain risk while still taking advantage of 
opportunities  is through diversification. This means that you 
should invest in  different types of assets instead of putting  all 
your money in one  place.
You should diversify both between different assets in the same  
asset class and between different types of assets. For instance, 
you  may want to invest in large-cap stocks, mid-cap stocks, and 
small-  cap stocks instead of just large-cap stocks.
You may also want to invest in different asset types, such as 
stocks,  bonds, real estate, and commodities. This way, you can 
reduce the  risk of losing your entire portfolio by one bad 
investment.
For most beg inner investors, an online  
brokerage account or investing  app is usually 
the  best choice. It offers a wide selection of  
investments, low fees, and a user-friendly  
interface.
If you want to save for retirement, an 
Individual  Retirement Account (IRA) is 
another option, as it  comes with tax 
advantages.
You may also want to consider investing  
in a  mutual fund or ETF if you don’t have 
time to  manage your investments 
yourself.
T h an k  
you !
Learn more at
https://levelfinancing.com/tips-on-investing-for-
 
 beginners/