All people with the development and personal growth face the issue of the relationship with money. Someone tries not to see the issue, someone turns the process of accumulation in a fixed idea.
Previously, I also lived with the idea that money is something in itself of course, and how a working person cannot have them? But with the enrolling in the university, my life had changed. I was embarrassed to take the money from parents and I went to work, to have a good supplement to the scholarship, or rather it was the scholarship that was an addition.
To squander the earned money was more difficult, but I found a good way. The idea of investing came to me pretty quickly, it seemed interesting to me, the world revealed itself in a different light – financial.
It was in 2007. I decided to first invest my money in the bank. I made a deposit at 7% per annum. But two months have passed, and I, not happy with the results, transferred the money to the small regional commercial bank. It was already 12.5% there. After 6 months and regular completions at the end of the term I had about 30,000 – big money for me.
I decided to increase the risk and invested in Mutual Fund shares of rather large management company. Foundation presented a fairly high income at 27.5% for 9 months and in conjunction with all the savings I had about 105,000.
It was early 2008, I, elated with the success, decided to start to manage my money and opened a brokerage account. But having decided to diversify my assets, I left 60,000 in shares in mutual funds, scattered in several management companies, and the rest put on a brokerage account.
I read books on investing, which was able to learn (I do not have economic education), acquainted myself with the newsletter – I gave 4 hours a day to it. Needless to say that my entire salary was transferred to the account. I was doing this the crisis got me.
For 6 months, my capital decreased by 73%, as it turned out, all of my assets were represented by shares, which rapidly lost their value. I lost no money, but the result of the last year of life. I was too hazardous, not experienced, and too greedy to fix the loss.
I managed to save about 50,000. In March 2009, I transferred them to deposit, just at the time when the stock market went up actively, but I refused the idea of investing. I learned the hard why diversity is important, yet my experience is something special.
I have read many books, so to speak, deeper content. And now my main rule: do not hurry and plan your investment decisions for a month. Now part of my money is invested in Mutual Fund, which I’ve chosen on my experience and understanding, the rest of the money is in the bank.