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Top tips for how to multiply your money. Regular reviews – say, once a year – will ensure that you keep track of how your investments are performing and adjust your savings as necessary to reach your goal. You will get regular statements to help you do this. Find out more below. However, don’t be tempted to act every time prices move in an unexpected direction. Markets rise and fall all the time and, if you’re a long-term investor, you can just ride out these fluctuations.

Peter Lynch famously spoke about “tenbaggers”-investments that increased tenfold in value. He attributed his success to a small number of these stocks in his portfolio. But this required the discipline of hanging onto stocks even after they’ve increased by many multiples, if he thought there was still significant upside potential. The takeaway: avoid clinging to arbitrary rules, and consider a stock on its own merits. There is no guarantee that a stock will rebound after a protracted decline, and it’s important to be realistic about the prospect of poorly-performing investments. And even though acknowledging losing stocks can psychologically signal failure, there is no shame recognizing mistakes and selling off investments to stem further loss.

Properly managing your credit is one of the most critical responsibilities of the financially responsible individuals. Your credit score plays a major role in your financial life. Your credit score determines whether you are approved or declined for major purchases such as buying home, car, or receiving approval for a credit card. Your credit score will also impact the interest rate that you receive on your major purchases. While buying a car at a 0 percent interest rate for 5 years can be a wise financial decision, paying for the same car at an 18 percent interest rate is a poor financial decision. See extra details on How to build a good credit score.

Saving money and investing it are closely connected. In order to invest money, you first have to save some up. That will take a lot less time than you think, and you can do it in very small steps. If you’ve never been a saver, you can start by putting away just $10 per week. That may not seem like a lot, but over the course of a year it comes to over $500. American Express National Bank currently offers a strong 2.10% Annual Percentage Yield on their online savings account. There is no minimum deposit required and no monthly maintenance fees associated with a Personal Savings Account from American Express so the yield is earned on all balances. The brand also offers high-yield CD’s if you’re in the market for a place to park your cash and are in need of high interest rates.

Imagine you’re buying an ownership stake in the convenience store around the corner from your house. Automatically you’ll think about the competition, suppliers, prices, etc. You’ll have to think both about the specific location as well as its competitive position in the market. Similarly, while buying stocks, you need to think about all these things – just as the people running the business do. When you buy a stock, you’re not just buying a piece of paper or a ticker symbol. Buying the stock of a company is buying an ownership stake in a BUSINESS.

About MultiplyMyMoney : I have more than 12 years of experience as an independent and personal financial and investment consultant. I used to run a financial blog called BuylikeBuffett which provided insight on investing, saving, money management, and all things finance. I am also the author of Your Financial Playbook: A Guide To Navigating The World Of Personal Finance a financial guide written to inform the beginning investor about the basics of the market. I decided to start a new site because I receive a great number of questions about financial topics on a daily basis. I figure that this would be a great way to answer those questions and increase financial literacy. I also figured it would be a good platform to write articles on everything from teaching how to get rich, explaining the basics of cryptocurrency, to detailing ways of rebuilding your credit score. I was the founder and president of New Horizons Financial Management, LLC, and was a registered investment advisor. New Horizons was an independent investment advisory asset management and personal financial consulting firm offering investment advisory services to high net worth individuals. See more details on https://multiplymymoney.com/.