Investing

Investing basics: FAQs

If you're new to investing, you probably have a lot of questions, like: What is the difference between saving and investing? Saving is putting money aside for future use. It's important to save so you can cover fixed expenses, like mortgage or rent payments, and to make sure you're prepared for emergencies.

www.schwab.com

Key Principles

• In the medium term (1-5 years) - optimize for the lowest avg buy price vs the highest avg sell price
• Keep up with financial market news & macro market trends
• Continue to educate yourself about investing in financial markets
• Holding cash (available right away but prone to inflation) vs investing in specific things that will outperform cash (higher risk with more upside)
• Have at least 50% of your entire portfolio in cash (available to use during the next 5 years)
• Invest at least 10% of your annual salary
• Save (in cash) at least 15% of your annual salary
• Invest based on Weighted DCA - based on risk strategy (using RSI + volume)
• Trade semi-actively in the market since trading of the medium term (not just buy and hodl)

Trading Frequency

• Perform 3-5 trades a month // 50 trades a year

Trading View