No Seriously, What Is Investing?

Are You Still Lost On What Investing Is?

Don't be scared because a lot of people are in this same boat, especially the younger generation. Investing is when you utilize the stock market to financially benefit you.

Investing and trading are very different if you ask me, and when most people think of investing they get the picture of Wall Street and everyone acting hectic. I consider that to be "trading" and that is a lot different than investing. Trading involves stock and is something that must be actively watched day-to-day.

Investing, to me, is something that is done for a long-term goal that you have in mind. This is usually many years out - think retirement - and is usually done in the hopes that the money made from investing will help you achieve something in the future.

I have said it once before and I will say it again. I am no expert on investing and I am not here to give you some super secret insight on how to make a long of money on the stock market through investing. To me, I don't think there is a secret, you just have to get out there and begin doing it and you will see results of some sort.

Stop Talking In Circles, Get To The Point

Okay, okay... So Investing is when you take your money and put it into a stock or a fund that you hope will perform well on the stock market and go up in value, thus making a profit for you. Sounds simple enough, no? At a base level, it is very simple, but it can become very complex very quickly depending on how deep you want to dive. I would not consider myself someone who dives super deep into the stock market and I would probably be considered a casual investor by many.

So when you invest in a fund or a stock, you're hoping to hold onto that stock and have it go up in price (higher than how much money you put into it). As time goes on, you want the value of that stock to continue to rise, thus making you even more money. This is how profit is created for you when/if you decide to sell back your stock. Be mindful though, you're not always going to see that stock go up in price, and sometimes it may go down in price. This can be discouraging but it is important to remember that you don't technically lose money unless you sell the stock when it has lost value. This is why the long term is investing is important because you're more likely to gain value in the long run, then in the short run. Hold onto your stocks and funds and you'll likely see greater returns.

See how this is a long-term plan and not a "get rich quick" scheme? It's something that takes time but takes little effort if you are patient. A lot of the platforms and links within this blog can help you save and invest, making it easy to plan for that long-term goal.

Where Do I Start?

There are plenty of ways to begin getting into the market and investing. I have included links within this blog to help you even more, and they are platforms that I use myself. You can find them here, here, and here. These are not the only ways to get started but are the ones that I use daily. I find them the easiest to get started and I would be able to assist the most on these platforms if anyone ever had any questions. 

So what are you waiting for? Go ahead and look into them and give them a try. I will continue to make more in-depth posts as time goes on to help clarify everything and keep everyone up-to-date.