7. Diversify Your Investments

This is a bit tricky area. For first time investors, knowing the right kind of areas to diversify in can be a Herculean task. You might have all the required info to expand your investments but lack of experience will drag you down. The best deal is to start investing in related fields of your choice of companies. If you have started with Tata Steel stocks and it has left you satisfied, go for other high-valued stocks of Tata, like – Tata Motors or TCS. You might not have adequate info on them but you know that the parent company has a good reputation in the market. You can expand into other safe areas, like – technology, banking, pharmaceutical and automobiles. You might face disappointment a few times but your homework and experience will make you deft.