If you are new to investing and financial products on the whole, it is always suggested that you don’t make a move until you have some sort of foundation in the world of investing. There is such a wide range of financial products that the whole concept can be, and often is, overwhelming to newcomers. The very first thing you may want to do is find a mentor, someone who can show you the ropes before you lose every penny you have worked so hard to save, just waiting for this moment. When looking for that one person who can walk you through the initial steps, there are a few things you should look for. The following information should help you on your quest for a mentor.
No Ulterior Motives
A mentor in the true sense of the word should have no ulterior motives other than altruistic ones. If that person stands to gain anything by helping you he or she is not a mentor. If you are approached by anyone who tells you that they can help you learn to play the markets but it will cost you, steer clear as that is undoubtedly a scam. True mentors are hard to find but they are out there. It just takes knowing where to look.
Social Media Networking
One of the quickest ways to find a mentor is perhaps on social media sites such as Facebook and LinkedIn. By reading their profile and following their posts, you can get a pretty good idea as to just how successful they are. Of course you want to take guidance from someone who is a successful investor, so look before you leap. You can’t listen to just anyone and this is where so many new investors go wrong. The internet is full of hype and only a small percentage of fact based content so be wary of all the boasting that goes on out there.
Questions to Ask Your Mentor
Once you have found a mentor, have a list of questions ready to ask so that you can learn areas that interest you. For example, once you are ready it is best to evaluate your options and get reviews. Find out more about your mentors background and ensure that they are knowledgeable in the areas you want to invest in. Ask them specific questions regarding the investment sizes, ask them what obstacles you may face, and ask them how they can help achieve your goals. The more information you receive, the happier you’ll feel.
Whilst it is extremely important to have a mentor, a guide to help you in the very beginning, it is even more important to learn that you can’t trust just anyone. You are going to be turning over what could be a sizeable amount of money when you finally begin investing and if you aren’t careful, if you listen to bad advice you could lose every penny of your investment and more besides. Once you understand how it works and where you want to invest, it is exciting to watch the numbers. But until you get to that point, tread carefully.