6. Search information

Since it is your hard earned money, arming yourself with as much knowledge as possible will prepare you in your journey to become an ace investor. Have as much information as possible about the matter and get it written down in an organized fashion. Ensure that you buy from or invest in registered and financially sound companies.  Be wary of opportunities from friends and relatives who may not have completely grasped the details of the investment before endorsing it or promoting it for someone. You don’t owe anyone a bankruptcy.

7. Be Wary of Products That Promises High Returns

A casino is able to richly reward one and bankrupt another. Neither of them gets any wiser about the mechanics of it all. The stock market is slightly more predictable and follows many economic rules like the law of supply and demand. Products with high returns can do so because of higher risk, which can mean losses that can be high as well. Check for past records, and get advice from mature investors who have seen it all. Watch out for scam artists