Savings rates are low and investing could be more profitable, for example, for that one wonderful trip to the Alta Via 1 Dolomites with the whole family. Investing is a lot simpler and more fun than you think. If you are thinking about investing, you probably do not know how to start and what you should invest in. The world of investments can be very intimidating for the beginner. Here are 9 tips to get you started on the right foot:

1. Set investment goals
   Now it’s time to decide what you want to get out of investing. Obviously, your ultimate goal is to make money, but everyone’s needs are different. Think about income, increase in value and safety of the capital. Also consider your age, your personal circumstances and your financial position.
2. Invest early
   The earlier you start investing, the better. The earlier you start, the less money you will need each year to reach your investment goals. Your income will compound over time, so don’t be afraid to start investing even if you are a student – or better yet, in your last year of high school.
3. Make investing automatic
   Set aside a certain amount of money to be invested automatically each month. You can set up automatic investment plans through various brokerage firms and automated investment services.
4. Look at your finances
   Before you can start investing, you need to look at how much money you have to invest. Be realistic about this. Make sure you have enough money left over to pay your regular monthly bills, loan payments, etc. You don’t need a lot of money to start investing, but there are risks. You don’t want to leave yourself short to pay other important bills.
5. Learn about investing
   Once you have your finances in order, it’s time to start learning about investing. Study the basic terminology so you know how to make consistent decisions. Learn about stocks, bonds, mutual funds and certificates of deposit. Don’t forget other details like diversification, portfolio optimisation and market efficiency.
6. Be wary of commissions
   Professionals will try to persuade you to buy investments that earn them high commissions. Do not do this without thorough research. Some so-called professionals have been known to sell products that give them high commissions but do not give their buyers much.
7. Diversify your investments
   The market is constantly fluctuating, and things are always going up and down. To avoid losing too much money when stocks fall, make sure you have a diversified portfolio. That way, you will have some stocks that go up, even when others go down. Another option is to invest in overseas markets, as they are significantly different from those in the United States.
8. Study your portfolio
   It is important that you always study your portfolio. What is good for your portfolio today may not be the best tomorrow. It is important to know what you have, and where you might need to make changes in the future. When the economic climate shifts, be prepared to make investment changes as well.
9. Stay informed
   It is a good idea to always study the markets. Read about the things you’ve invested in, and look for sources that track market trends and the global economy.

Are you ready to start investing for that great Alta via 2 trip?