Many people do not master the investment principle so not only does the business fail, but even life fails.
Many people are luckier than succeeding 1, succeeding the 2, but failing the second 3 .. losing white
Mastering the following investment principles will help you succeed in a sustainable way, or at least it will help you avoid a lot of failures.
What is investment: In finance, investment is the cost of buying an asset or something so that it will generate income or raise prices higher in the future.
Invest in the general sense: to spend time, effort and money on something that you will get a greater value. This value can be money, knowledge, joy, sometimes happiness
The following principles are learned from world stock investment myths
1. Do not put all eggs in 1 baskets: it is understandable not to invest all in only 1, only once for 1. Maybe you sound familiar, but in fact you don't practice it thoroughly. If you have VND 200 million, you will spend VND 200 million to do business. Keep a few precautions in case of failure, you can also use the remaining amount of gauze
2. Do not put eggs in too many baskets: many people see the principle of the number of distribution of assets to fight risks, so turn away the eggs in many baskets. Unsuccessful this segment has invested in other areas. When you invest in many fields at the same time, the time will be broken down, so each field is not studied in depth, so there is no soul, no one achieves excellence. The results are usually average for qualified people, often very bad for the average person. Do you belong to this case?
Investment step by step: Investing step by step, if good, increasing investment, bad, then reducing or withdrawing investment to other areas. Do not invest every time, because if it fails, it will be blank. This is called a test step
You want to do business in that area but don't know if you do it well or not, please open a shop, drill for business registration, but buy some products, then sell to acquaintances, relatives and friends. . Make Fanpage write a copy of the advertisement running on 1XYXXK only, run in month 30 months to see if it sells. See if I have the ability to advise clients on whether to handle the sales situation.
You only invest 1.5 to run ads, you can buy a few products if the wholesaler requires you to buy large quantities.
In month 30 months, you will find out whether you like the field or not, if you do, invest more money to buy a large quantity. If not then switch to another field.
Are you doing a career that wants to change another job? Take extra classes, read the book for a while to see if it is appropriate for you, if you quit your old job, decide to follow a new career
4. Investing in yourself: always remember to invest in yourself first, don't neglect it. Cultivating knowledge for yourself, making money, reward yourself for your favorite things. Whether you succeed or fail later, you still rely on yourself the most. If successful, you need more skills to run, to do more things, if you need to fix it, do it again. Lack of knowledge does not work
5. Invest in strong points, minimize investment in weaknesses
Weaknesses are often difficult to overcome, strengths are often easy to develop. Just give up the effort to at least increase your score so much and be happy. But to overcome your weaknesses, you have to put in great effort, but it only solves little or no progress.
Note: many of you misunderstand weaknesses. For example if you do not know the optimization ads you think are the wrong → weakness. The weakness is that what you do all the time and effort is still weak, the weakness is not the unknown, but the thing that you can go to school can not be good
For example, I have a weak point of not being able to communicate, I read through many books on communication and direct meetings with guests over 4 years. The results, although also improved, were lower than before, but still weak in communication.
My strength is analyzing, analyzing ads, knowing how effective or ineffective, analyzing human behavior, knowing what motive they will act on, analyzing customers will know this visitor will sign a contract or just want to check the price. Analyzing Facebook gives a more "understanding of Facebook distribution algorithm" than 1.500 like
If I invest more time analyzing, there will be more good results
6. The best investment is to meet both short and long term. Stops to help you live through the day, long term to help you live sustainably. If you have to be an A branch to support your current life, then worry about investing in the B industry, most of it is a loss or you will be very hard. Your time is divided, you don't have a lot of time to invest in the B industry, so it stompes your feet, you have to do the A-sector you don't like not want, you will most likely be lurking in that industry. forever, can't escape.
If you do not achieve the best, then you do this: when there is no money, short-term investment, when there is money, switch to long-term investment.
7. Investment in the industry is growing, not investing in the recession industry.
You may have heard of it but you know what is the growth industry, what is the recession?
About the growth of the industry: the majority of business people in that industry are doing business quietly and well. If the majority had to struggle to live, it was a recession
About logic: the growth industry is a recent industry, or thanks to a change of technology, the law that it recently developed.
For example, thanks to technology, everyone has a phone, everyone has one that Facebook develops. Thanks to Facebook development, everyone uses fb, but sales on Facebook develop, advertising on facebook grows
We open the economy, foreign companies hire cheap labor in Vietnam, the demand for foreign workers to grow (in Vietnam or export).
In contrast to the recession industry: demand suddenly fell sharply because of technology or because of law or has gradually declined because of other substitutes.
Its manifestation is that most business people in the industry will struggle, much competition, and have to reduce prices much and live very hard.
For example: since Vietnam was required to wear a helmet, the need for a cloth hat has abruptly decreased, because they do not want and cannot carry at the same time, the hat and helmet have replaced the cloth cap. So the demand for hats fell sharply.
In front of the clock is to watch but since having smartphones, smartphones have the function of watching the time. The watch now only has the function of fashion and jewelry. But it is not like the jewelry of gold or silver, selling half-life is still valid. The watches bought and spent are no longer as valuable as they were at the beginning. The demand of buying watches for the past and the jewelry is only left with buyers for jewelry. Of course the recession is.
8. If you want a high profit, then focus on investing, if you want to distribute risk and low profit, invest in it
While the economy is growing, there will be a number of industries that grow excessively, focus on investing in it, for example, invest in 80% of the money you have. The remaining 20% send banks to make money to reserve or buy gold to wait for prices.
If you invest in investment, many industries, many businesses, the profit rate is not high, you do not have much time to control each investment so it is not as profitable as expected, but it is What is risk is distributed, it takes a little loss
9. High risk, high profit, low risk of low profit. This economic rule, which has a high profit potential is high risk, which low profit is low risk. People with high risk tolerance often dare to take risks and gain high profits. You should invest according to your risk-taking ability, if you feel that you are still happy when you lose 50% of your money, or if you have a percentage of your money, invest in high risk, otherwise Which one is a bit safe.
If the capacity is lower, go to work as a laborer