How I made my first Million from Investing

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Are you looking for failure-proofed and low-risk businesses or opportunities to invest which can give you an outstanding profit? If you answer in the affirmative, I am glad you found this post. Today in this post, I am going to show you how I made my first million from investing and how you too can. It doesn’t matter if you are a complete beginner or an experienced investor, this post will reveal to you tested and proven investment strategies that will help you to stay on top in your investment journey.

First you need to understand that every legit investment comes with a potential risk. You may lose all your money, so you need to invest only what you can afford to lose. Before we go further, I will like you to understand that real investment is not a ponzy scheme, pyramid, gambling or any make money quick scheme. 

What is Investing?

In a nutshell, investing means wealth creation. It is a business model where you use your money to make more money. An investor is like a farmer who plants his crop and then goes home to wait patiently for his crop to grow and mature for harvest. There are basically two ways to make money on the earth today. One is to work for money and the other is to invest your money to work for you. Please understand that working for money is not bad if you are just starting. You can work for money to raise a capital to start your investment career but don’t spend the rest of your life working for money. The drawbacks are, as old age comes, your physical strength will diminish, you may not be able to carry on with your 6-9 job due to a health condition or old age. Working for money will choke your time. You may not be able to have enough chance to travel to your best places or even spend time at home with your family and loved ones.  If you think of leading a life of freedom, where you have all time for yourself, investment is the way to go. One good thing about becoming an investor is that it makes you a boss to yourself. If you are tired of working for a man or woman who is younger than your age, you need to take investment very seriously. As an investor, you are an entrepreneur with a difference. Your money works for you any time, any day, anywhere. 

However, as an investor, you need to understand the basic terms associated with investing such as risk and return. Risk is the probability of you losing your money in the investment. Like I said before, every legit investment opportunity has its own potential risk. It is good to say that Startups have a higher risk due several factors. And you need to consider that. Return on Investment usually called ROI for short is the profit you will make from your investment if your selling price is higher than your cost price or the interest after you have collected your capital.

Some of the Investment opportunities that can help you to make your first million are:

HIGH- INTEREST ACCOUNT

A high Interest account is like a regular savings account but it has a high Interest potential. If you are not a banker or someone familiar with the banking sector, you may not even know that there is such a thing as a high interest account. The only difference between a high interest account and your normal savings account is that your bank pays you a high interest when you keep your money in that account for a given period of time without spending or withdrawing it. Take for instance, if your bank pays you a $100 per year for keeping your money in your normal savings account, they may pay you up to a $1000 per year when you keep the same amount of money in your high interest account. So, if you are looking for an investment strategy, you can start from here. Next time you think of saving your money in the bank, don’t just put it in your normal savings account where it yields little or no interest for you. Instead, ask your bank or account manager to open a high interest account for you so you can sit back and watch your money work and make more money for you.

BUY STOCKS FROM REPUTABLE COMPANIES

One of the ways to make your first million from investing is to buy stocks from reputable companies. Stocks are shares which gives you a percentage ownership of the assets and profits of the company. When you buy stocks, you invest your money into the company and get a percentage share of the company’s profits or losses. Instead of spending thousands of dollars to buy Apple phones to show off, invest it to buy Apple stock and you will be on the way to making your first million. Before you buy Coca-Cola drink, buy Coca-Cola stock. The former is a liability while the later is an asset.  You can buy stocks of profitable and reputable companies like Google, Facebook, Walmart, Samsung, Nokia, Amazon, Tesla, Nike etc. The good news is that you can buy stock from any of these global brands with a click of a mouse using your laptop or smartphone. There are many apps you can use to buy or sell your stocks from the comfort of your home, the one I use often is called bamboo. If you are using an iPhone, you can download it from the istore, if your device is android, you can download the bamboo app from google play store. 

INVEST IN REAL ESTATE

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Another credible way to make your first million from investing is to put your money into real state. Real estate business is not a rocket science. You don’t need a billion-dollar capital before you can start investing in real estate. Real estate business is a business model where you buy land or property at a lower price and sell at a higher price immediately or sometime later. There’s one of my friends who bought one plot of land 30 million naira in his street and sold the same plot of land 7 days later for 45 million naira. He just made a cool 15-million-naira profit without stress. That’s how beautiful real estate business can be. It doesn’t always have to be buying or selling of lands or already built house. You can make your first million profit by simply building a bungalow or duplex and sell it higher than the amount you spent in building it. A friend of mine built 5 pieces of 2-bedroom flats in an estate in Abuja Nigeria and each of the flats cost him 25 million naira, he put them up for sale at 50 million naira per house. That’s 25-million-naira profit per house. What if I tell you that you can go into real estate business today even if you don’t have enough capital? There is such a thing as real estate crowd funding. If you want to go into real state but your capital is not sufficient to embark on the journey alone, you can team up together with your friends to achieve your goal.  You and your friends can put your monies together and invest it into real estate and share the profits according to each one’s capital contribution.  Yes, you can also find some real estate crowd funding platforms online. These real estate crowd funding platforms allow you to invest your small amount of money with them because they pull money together from several other big investors. They pay you a percentage of their profit when they sell or rent their properties.  Your profit depends on the size of your investment capital. Let me know in the comment section if you want me to write more articles on these real estate crowd funding platforms.

INVEST IN YOURSELF

If you want to invest for a year, buy shares or stocks but if you want to invest for your lifetime, invest in yourself. One of the greatest investments you can make on the earth today is to invest in your personal growth and development. There is no risk involved in investing in yourself. And there are many ways to invest in yourself. Some of them are, go back to school and continue your education if you haven’t attended a high institution or if you dropped out of school. You Can upgrade your education to Bachelor’s Degree, master’s Degree and PhD level. You can register for a training online or offline, attend a seminar or conference that will sharpen and broaden your horizon, acquire new skills or improve on the ones you already have. Buy books or online courses. Investing in yourself is an investment in the right direction because it can help you make your first million even from the comfort of your home. As businesses and companies are looking for skillful and talented individuals, investing in yourself can open doors of opportunities for you, thereby helping you to achieve financial freedom and fulfilment.

COMMON MISTAKES TO AVOID WHILE INVESTING

Don’t make your investment based only on speculations, instead research and seek the counsel of an experienced financial advisor before investing.

Don’t be greedy, take your profit when necessary to avoid losing them together with your capital.

Don’t put all your money in one investment, instead spread your money into several investment opportunities to reduce risk.

Don’t try to avoid risk completely, take calculated risk when you see opportunity to invest money.

Deal with Impatience if you want to become rich. It takes patience to create wealth. 

FINAL THOUGHTS

Investing doesn’t have to be a do or die affair. Take your time when you see an opportunity for an investment. Don’t be in a hurry to put your money into every investment opportunity you see. Discipline yourself to say no and mean it when anybody tries to compel you to invest money into a business that doesn’t sync with your values and investment goals. Start small and grow big. Start with investing few hundred dollars before investing a thousand dollars. Remember you don’t invest big to become rich, you invest well to become rich. Keep reading about finance and investing because the more you know and understand personal finance and investing, the better will be your choice of investments and results. Was this post helpful? Drop a comment below and let me know what your opinion on this subject is. Do you know other credible investment strategies? Drop them in the comment box below.  Thanks for reading, see you in the next one.