What I’m suggesting is that it’s ok to invest in risker stocks and crypto, but limit your exposure to a certain percentage of your portfolio.
In the current market, where the never ending pandemic, soaring inflation, and risk of recession, it makes sense to reduce risk and spread your money:
Here’s How to Invest Your First $5.000
- Index funds, ETFs and Blue Chips – consider investing 40-50% of your portfolio in safe index tracking funds, exchange traded funds, and big, well known, defensive stocks which add quality to your portfolio.
- Mature Growth – consider investing 20-30% in mature but still growing companies, including the FAANG+ big tech titans, providing strong longterm growth and a potential safe haven during the 2020s.
- High Growth – consider investing 10-20% in potentially rapid growth stocks. Its easy to get excited and FOMO putting all your money in, but important to manage the potential risk v reward.
- Crypto Currency – understand that cryptocurrency isn’t an investment in the same way a stock is. They’ve widely been seen as an alternative to sovereign currencies, like the dollar. Most cryptocurrencies that come on the market have failed. So keep your investing to 5-10% max!
Best Apps for Investors
I regularly get asked about which apps I use, to buy my stocks, manage my portfolio and get info on stocks and dividends.
These are 9 apps I use regularly, most of them daily:
- Yahoo Finance
- Stock Map
- Google Sheets
- Simply Wall Street
Trading212 is my preferred stock trading app.
Yahoo Finance, Simply Wall Street and Stock Map are great tools to get stock information and news.
Investing.com for info on Futures market.
Google Sheets I use to monitor my entire stock portfolios, and my dividend income.
Getquin is a fantastic portfolio tracker which has built in social media networking – share your portfolio and investing ideas with everyone.
Discord offers private groups chat and other facilities to build great investing communities.
YouTube is a great place to watch and learn from other (more experienced) investors.
What’s your favourite apps? Let’s make money and our mindset work for us.