Thursday, August 6, 2015, AM | Leave Comment
Forex has possibly the lowest barrier for entry in the entire world of investment. But becoming an investor is something that takes a little time and planning, not to mention money. But Forex works well because it requires such a minimal initial investment.
It’s also very rewarding to beginners, as educational and trial opportunities are standard for the industry.
But before we get into all of this stuff, let’s talk about some of the basics of investment, and about how Forex is a great solution for each.
This is a beginner’s guide after all, so let’s start from the beginning.
What is Investment?
This is an important concept to wrap your head around, but lots of people are scared to ask. Investment is a way to use your money in order to gain more money. It’s about using systems of profit that have very reliable risk and outcome.
It’s different than simple speculation. An example of both:
Speculation: Buying gold. You’ve got no idea how your gold is going to change in value. It fluctuates all the time. You can’t improve it or make it worth more. It just is what it is. You’re hoping for the best. This is speculation.
Investment: Index Mutual funds. Because the global markets have reliable growth patterns, investing in an index of the biggest companies therein gives reliable growth with measured risk. This is an investment.
Forex is an investment for a number of reasons.
One, Forex investments happen so quickly that there are measurable data patterns which have emerged. You’ll be able to to clearly see how your decisions play into these larger patterns.
Two, Forex winnings are based on correctly anticipating the outcomes of currency values, based on real world events. Just like in stocks and bonds, currency prices change because of the things real people do.
If you’re up on the news, you’ll likely be able to tell in advance where currency prices are heading.
Why Forex Investment?
Because you are an investor, you’re likely not starting with a lot of capital. For this reason, you’ve got to make these early investments count.
You’ve also go to make sure that they pay off quickly, so that you have money to invest in the future. Forex brokers like CMC Markets make this easy by providing free tutorials, so that you’re able to see how real investments would pan out, without having to actually risk any money.
Forex is also very fast-paced. If you do your research and plan out an investment attack based on your understanding of two specific currencies, you can have dividends in as little as a few minutes. Because these trades go so quickly, you can lose money just as fast.
But that’s where planning and learning come into the deal. You’ll learn the skills to make you better at all forms of investment.
Forex is perhaps the best teacher about investment for beginners. It’s real, it’s competitive, it gives profit, and it teaches you along the way.
So even if you only have a couple of hundred bucks to put toward a first investment, Forex is a solution for you. It’s a masters’ course in investment decision making. And it’s a way that real people can make real money without having to wait decades, as with traditional investment.Facebook.com/doable.finance