The art of investing is like chasing Moby Dick — it takes all the tricks of the trade to ensure you’re making the smartest moves when you’re on the hunt for the big payoff.
Many times, the best investment experts keep their tried-and-true secrets close to the vest — but GOBankingRates got a few of the top investment experts to spill their most useful tips.
You Can Get Lower Fees — Just Ask
Don’t take every line item from your statement at face value. Although some fees — like online and robo-advisor fees — might be etched in stone, others might feature a bit of wiggle room. It never hurts to ask, so be open to negotiating with your broker.
You Can Have More Than One Broker
Investing isn’t marriage, so you’re not required to be monogamous to just one broker. Some analysts recommend that you should only invest about $100,000 per broker, in order to diversify risk.
It’s Hard to Know When to Sell
There are definite pros and cons to having a robo-advisor — although you get the automatic convenience factor, you’re sacrificing the human element — and investment savvy — that comes with having a human financial professional. Keep in mind that robo-advisors won’t necessarily tell you when to sell — even if you really should be.
It’s Harder to Know When to Get Back In
In the same vein, it’ll be even harder to get back into an investment after you sell without the help of a human investment professional. Having a DIY portfolio from a discount broker will be no help in this situation — but a good financial advisor will recommend when it’s time to get back into an investment.
A Little Knowledge Is a Dangerous Thing
Dipping your toes in the water without knowing how to swim might not be the best approach when it comes to investing.
There are tons of ways you can get yourself into serious trouble if you’re managing your own investments. Buying leveraged funds, using margin to amplify returns or speculating in low-priced “penny” stocks can all lead to disaster if you don’t understand what you’re getting into. Bottom line: Spending time with an actual financial expert can save you from a world of financial hurt.
Up Next: 12 Investing Tips for Beginners