Thought-2 -Let's Share Thoughts.

 My Thoughts

Thought 2:

Hello!

How are you? 

Welcome back.

Let's pick from where we left off. Last week I shared an idea about saving 1/10 of your salary. 

Today let's discuss the second lesson I learned from the richest man in Babylon.

I don't know from where I read this " If you can't make money while you sleep, you'll work until you die."

I don't remember the quote exactly. correct me if I'm wrong. The core idea is generating a second income source other than your main job.

Invest the money in a place where you have an interest.  I have always been fascinated by the stock market and shares in a company. I used to watch my uncle who invested in the share market. and he used to constantly follow the stock news and prices in the news. 

I wondered what is there in those stock markets and why people invest in them?

That curiosity lead me to learn about the stock market and I felt it was too much research and information. 

Then Crypto got my attention as it was trending. I thought I will invest in crypto and I will earn huge returns as everybody is showing off their profits. I just followed blindly the crowd and invested. The first shock came to me in the form of covid where the crypto prices dropped drastically. Then I lost around 70% of my investment. I felt bad but then I started taking it seriously. I learned two important things.

1. Don't just follow the crowd blindly. Do your own research. Learn about them before you invest.

You might feel the technicalities of stocks and crypto difficult to understand. and you don't have time.

Open your phone settings and see the screen time. Just measure how much you are spending on social media.

Just take 15 mins daily. there are a lot of free videos on youtube where you can get the basics. In my case, i started with youtube. The more I watched those the more I wanted to learn. Of course, it's for my own financial freedom why would I not want to put in the time.

2. "Don't place all your eggs in one basket."

Diversify your funds. Invest your funds in different places. In my case, I just heard about one coin i.e bitcoin which most of you might be heard about. I just placed all my money on that. Once I incurred negative returns on my investment. I learned this lesson of diversification of funds.

I am still studying various stocks and how they function. I am making mistakes but at the same time, I am learning. I am sure all this investment of time in learning about the knowledge will pay off sometime in the future. 

Start with the amount which you can afford to lose. I just started with 50$ a month even if I lost that amount it doesn't affect me.

So you can start with as little as you can. Don't wait for the right time. Someone told, " The right time to start was yesterday." Sorry, I don't remember who was the person who gave the above quote but it pushed me to jump right into the stock market. Even if I lose all the money which is basically 30-40$ per month until now but I learned something about passive income and investments. One day I might have enough to make big investments but this knowledge will be of great help.

So, What are you waiting for? Start now. Learn and after a while, you will earn for sure.

That's all for this week! Hope I shared some Knowledge. Let's meet Next Week.

P.S. Let me your thoughts on this via comments.