Ali Ata’s Opinion of Micro-Investment as a Stepping Stone to Great Profits
Investment is a very common phenomenon in the life of everyone who earns. Ali Ata who has a sea of knowledge on managing finances, strongly opines that one does not need to wait to gather a large capital in order to invest. It can be done even if one has small capital.
Taking baby steps is the best way to go with regard to investments. The tool to adhere to this method is known as ‘micro-investing’. The presence of this revolutionary method of investment has encouraged many young people to begin investing at an early age and has accelerated considerably through investment vehicles that are rather affordable, namely, Exchange Traded Funds(ETF).
Micro-investing is ideal for those who are looking at low-interest rates and are not too keen on building an elaborate investment portfolio. However, one thing that is a mandate before making any kind of investment is to carefully read and understand the investment terms and conditions. This is particularly important because different investments have different clauses.
Ali Ata and other professionals such as him in financing will be able to guide you into understanding that this platform for investment allows one to invest small amounts of money regularly. The primary mode of operation of these platforms is that they invest the money received from the user in the ETF accounts.
Since this platform allows one to invest by merely investing the change that one may have after making a payment, it is just like putting money in your piggy bank. One very big disadvantage of real estate investment is the need to pay for a brokerage in most cases. With this investment platform, one can be relieved of that entirely. It is surprising to see that by adding on pennies on these platforms in the form of fractional shares.
Diversification of a portfolio is easily initiated with these investment platforms if one invests in low-cost EFTs. This also aids in one getting into a habit of regular investing thereby automating the process of investment for the individual. The apps use the simple means of adding money to your account by using up the change left, say after buying a cup of coffee for $4.5. The platform rounds off the payable amount to $5 and invests the extra money into the market. The more frequently you use these apps the more you accumulate as your investment.
Ali Ata recommends the following as places to invest in these apps: Spaceship, Frist step, Raiz, and Sharesies. This definitely is an absolutely hassle-free method of investing money and enhances your financial health.
The unfortunate side of this investment aid is that they do not lead one to their retirement goals because the investments are rather small. Hence, it takes a longer time to reach the retirement goals and often does not suffice than the IRAs offered by an employer; despite the fact that one begins investments at an earlier age. The fees that need to be paid to some of these micro-investment platforms make it an added expense for the individual. This too can lead to deter people from micro-investing.