Far too often people are under the impression that they can only start investing after they have stockpiled a mountain of cash and capital.
Nothing could be further from the truth.
In fact, if you really wanted to you could start investing small amounts of money each and every month – for as little as $50 a month, for example – with no headache, no hassle, and the potential to create some pretty incredible returns.
Below we highlight exactly how to get started!
Start By Saving
While it is definitely possible to start investing small amounts of money it isn’t possible to invest with no money at all – which is why you need to start the whole process by saving at least a little bit of cash and capital to start things off.
Even saving just $10 a week will help you to save more than $500 a year and it’s difficult to imagine anyone not being able to set aside a $10 bill after getting paid and leaving it sit for an entire year with the idea of it all being invested at the end of that 12 month stretch of time.
As we highlighted above, you can hit the ground running with investments as small as $50 (buying penny stocks or a couple of shares of inexpensive traditional stocks) – but the more money you have the better your returns will be for sure.
Leverage Robo Investors
If you’re going to be investing small amounts of money for a while you’ll want to make sure that you take advantage of modern technology to help handle as much of your decision-making as you can – and that’s where robo advisors and robo investors come into play.
These robot investment advisors take advantage of algorithmic programming to help find the best places to invest your money, giving you every opportunity to grow your nest egg without having to handle any of the day to day (or minute to minute) monitoring and decision-making that would have been involved otherwise.
The best thing about these kinds of automated investment advisors is that they can tap into a wealth of knowledge and resources you would have taken a lifetime to accumulate, helping you make smarter decisions than some of the savviest professional investors make on a day-to-day basis, all while executing your investments instantaneously to cash in on opportunities that would have disappeared when guided by human hands.
Cash In On Free Money
Of course, one of the smartest ways to go about investing small amounts of money for and outsized return is to get your hands on as much “free money” as possible. Maxing out your employer offered 401(k) to trigger a matched investment from your company is as close to free money as you are ever going to come across outside of finding a hundred dollar bill on the sidewalk when you head out for coffee.
These kinds of opportunities are all over the place, giving you plenty of chances to cash in if you’re willing to delay gratification a little bit and invest small amounts of money towards a brighter financial future.