There are so many challenges faced by college students especially during the beginning of their college life such as meeting new people, adapting to a new lifestyle, learning how to be independent, getting to class, taking part-time jobs, etc. With all these challenges, you may wonder if it is even possible to have time for doing anything else, let alone investing.
Most of successful people always suggest to invest, invest, and invest. However, not many know how to do it, let alone doing it while being a busy college student. College is one of the best opportunities you should consider to get started in the world of investing. You can begin your portfolio in investing while learning how to do it without the risk of losing huge sums of money.
Get into investing game while in college
Today, investing is not only for big corporations or wealthy individuals. College students and those who are living on budget can actually get into a world of investing game with various free and low cost options available. The hardest thing about investing is not money but fixing your mindset to start thinking of yourself as investor. Here are ways you can invest while in college:
Consider open a high-yield savings account
Not many people consider high-yield savings accounts or any of bank products as investments, but they are, in fact considered safe alternative. This kind of account pay interest on your deposits at the rates that go far above what is available through traditional checking savings accounts. However, they are still offering the ability for you to make withdrawal at any time you want.
Opt for a free or low-cost broker
You can get into investing world with a little money you have. There are many low-cost online brokers you can turn to who offer free stocks and ETF trades. They also provide you with educational tools to help get you started on your way. You may also opt for free brokers who offer selling point for free trading on the platform, which also include options and crypto.
Choose the right type of investment
There are many types of investments out there you can get started with. Each product of investments may offer different potential as well as risks. Hence, it is strongly recommended that you do your research before jumping into one type of investment. Take example on cryptocurrency investment. It is a type of investment that is so hyped nowadays since it has great potential to become the future medium for payment.
However, it carries various risks along with its potentials. The risks include its volatility, unclear regulation, and security threats. From various analysis and studies, it was found that one in five college students buy cryptocurrencies to help them pay for college fees or student loans. However, many of them also failed to do it successfully due to lack of experience and research. Cryptocurrency may have great potential but you have to take many factors to consider before investing your money in it.