NEW YORK – Have you ever felt that learning how to trade in the global financial market is way more expensive than it needs to be? It feels so unfair; it’s almost like you must spend hundreds or even thousands of dollars on courses just to get you started as an investor or a trader. In some cases, these courses can be worth the money because they usually provide you with a roadmap that cuts down the amount of time you spend on learning and get you to investing as soon as possible.
But here’s the thing: learning to invest shouldn’t cost more than you can afford (even if you can’t afford to pay anything right now). So, here are some resources and tips on learning how to invest that won’t cost you an arm and a leg.
1. Educational Content
Let’s face it: there’s a lot to learn about the global financial market. Even if you have the money to pay for the thousand-dollar courses on stock investments and forex trading, you’ll soon need another course on portfolio management and risk assessment, which will cost you even more money (that you could be investing instead).
A better approach is to explore the many educational resources available on the internet. What’s better? Most of them are free and offer a ton of value. These resources alone can guide you to build a strong and practical knowledge of investment strategies.
Here are some of the best educational resources.
Note: Always verify any investment advice you get because not all online content comes from experts in investment strategies.
YouTube Channels and Podcasts
YouTube videos and podcasts are absolute goldmines for self-learning in the world of finance and investing. No matter what kind of investment you want to try your hand at, there’s definitely a video or episode to answer your questions and guide you. Creators like Graham Stephan, for example, have videos on budgeting, real estate investing, and stock market strategies, all of which are tailored to newbies.
Blogs and Websites
If reading is more your speed, then looking up trusted sources like Investopedia is perfect to help you understand key concepts in investment. You can learn anything from asset classes to risk management, and the resources are often accompanied by real-world examples, which means you won’t be learning in a bubble.
2. Online Trading Platforms
You might be familiar with online trading platforms, but in case, here’s a quick rundown. Just think of them as software or apps that provide a user-friendly interface that allows you to buy and sell different financial instruments like stock options, bonds, and currencies on the forex market. Essentially, these platforms are tools that help you carry out investments.
Now, you might be wondering how this is going to teach you to invest in financial markets and become financially independent. Well, you learn using one of two methods, sometimes even both.
Learning Through Practice
Practice is arguably the most effective way to learn the ropes of any skill, and online trading platforms usually provide you with a demo trading account to invest in different markets with demo money. This way, you learn how to invest and gain experience with real-world conditions without risking any of your money.
Platform Resources
These platforms also offer a number of free resources to help you better understand market conditions and investment strategies. Some of these resources include:
- Tutorials and guides
- Webinars and workshops (live and recorded)
- Market analysis
- Trading courses
By taking advantage of these resources, you can enhance your knowledge of finance and investments.
3. Leverage Community Learning
Don’t underestimate the power of a community. Having a community to interact with will impact your journey as an investor, and social media has made this so easy. On social media platforms like Reddit are groups such as r/investing or r/financialindependence, where users share useful tips, answer burning questions, share personal experiences, and discuss strategies. The same thing exists on other social media platforms, too. Plus, you share a common interest, which keeps you accountable as a learner.
If you prefer in-person interactions, you could consider local investment clubs or finance-related meetups in your city. Whether online or in person, leveraging community learning can make your investing journey more engaging and informed.
4. Read Books and Articles
When investing, guessing will get you nowhere. Your strategies and decisions have to be based on experience and knowledge. As someone just starting out, the easiest way to gain both (experience and knowledge) is by reading. There are lots of books to help you figure out the financial market and it’s easy to get overwhelmed by your options. My advice? Start with one book. It doesn’t matter if it’s The Intelligent Investor by Benjamin Graham or The Psychology of Money by Morgan Housel; the goal is to gain knowledge and experience from the writer. Plus, books will remain staple resources for understanding many of the principles of the ever-evolving world of investment long after you stop taking courses.
If purchasing books isn’t in your budget, digital libraries and free PDF resources house many books on investing, where you can find free copies of classic texts on finances. Alongside books, try to keep up with financial news through trusted publications and articles like The Financial Times, Bloomberg, or The Wall Street Journal, which ensure that you stay informed about market updates and trends.
5. Stay Updated With Trends
The global market is always evolving and different factors can affect activities on the charts, so staying updated is non-negotiable. Some market changing factors like macroeconomic trends, changes in fiscal policies, and changes in international policies can be a lot to track, especially as a new investor. The easiest way to do this is to subscribe to newsletters like Morning Brew that deliver bite-sized updates directly to your inbox. These newsletters often break down complex market events into easy-to-digest information, perfect for beginners.
Although this might not be exclusively considered a way of learning to invest, it is an important investing habit that even people with years of experience still practice to this day.
Bottom line
You don’t need a fortune to learn how to invest. You can learn by using smart and cost-effective strategies like trading on demo accounts, watching online tutorials, and being part of community forums. With all that, you can build the knowledge and confidence required to navigate the financial markets. All you need to do is start small, stay consistent, and focus on learning, and you can save yourself a fortune by using these methods.
