Be Clear of Your Purpose
Start with the end in mind. Whether it’s to start a new business, saving up for your children’s education, or preparing for retirement; knowing where you’re headed helps when to keep your mind on track when it comes to making decisions.
Understand Your Appetite for Risk
While you might understand your spending habits, many still do not hold a realistic expectation of your goals in relation to your risk appetite. Find out what you can afford to lose, work out your timeline and goals, and figure out your personal risk appetite. Alternatively, a good way to manage risk is to spread your money across a range of different investment types.