Taking Steady Investment First Steps

Before you invest in anything, you first must make sure that you have a strong economic foundation. If you don't, your situation is like building a brick house on shifting sand. You need to ensure that your debts are under control, your assets exceed your liabilities, you spend less money than you earn, and you regularly save a portion of what you earn. If you need help with any of these areas, seek a financial advisor who can help you locate and remedy the weak spots in your investment program's foundation.

Finally, you must take the time to educate yourself about financial and investment matters. The average person spends more than 80,000 hours during a typical working lifetime yet may spend an average of less than 15 minutes a month finding out how his money can work for him.

Have adequate insurance
Do you have proper coverage for potential problems, such as disability or the death of a breadwinner in your family? Many stock portfolios get liquidated pretty fast when the dependents of the deceased need money for daily living expenses. You may work a lifetime to build your stock portfolio. If you don't have appropriate insurance, it could be wiped out very quickly and needlessly. See an insurance professional to guarantee that you and your family are protected.