14 Investment Mistakes to Avoid: Keep Your Money Safe and Growing

Investing can be a fantastic way to grow your money for the future, but it can also feel like a complicated game. There are all sorts of charts, numbers, and financial jargon flying around. So, navigating the investment landscape can be tricky, especially with the plenty of investment options available and the constant market fluctuations. You hear stories of people striking it rich, and then there are those who lose everything. Even seasoned investors can make mistakes and it’s easy to wonder if you’re going to make a silly mistake and lose everything. 

Text inside the image: 14 Investment Mistakes to Avoid

But investing doesn’t have to be scary. The truth is, that most investment mistakes boil down to a few common pitfalls. By knowing what to avoid, you can keep your money safe and watch it grow over time.

 

Here are the top 14 mistakes to keep on your investment radar.


  • Falling for the “Get Rich Quick” Investment Trap

 

You might see headlines about people turning a few hundred bucks into millions overnight with some new investment scheme. Those investment ads promising instant riches are usually too good to be true.

 

It’s tempting to dream of that kind of overnight investment success, but it often leads to disappointment and financial loss. 

 

Building wealth takes time and discipline. So, focus on solid, long-term investments and avoid chasing fleeting fads. Steady investments tend to grow gradually over time. 

 

Think of it like planting a seed. You wouldn’t expect a mighty oak tree to spring up overnight, would you? Investing is similar. Be patient, take care of your investments, and watch them grow steadily.

 

Warren Buffett famously said, “Get rich slow.”

 

Focus on building wealth steadily through long-term investments with a proven track record. Flashy investment opportunities promising high returns often involve excessive risk or are outright scams.


  • Ignoring Your Risk Tolerance in Investment

 

Not everyone is comfortable with high-risk investments. To manage investment risk effectively, you need to understand your risk tolerance.

Risk tolerance in investment refers to your capacity for potential losses. Age, financial goals, and overall financial situation all influence your risk profile. A young investor with a long time investment horizon might tolerate a higher risk portfolio compared to someone nearing retirement.



  • Letting Emotions Dictate Your Investment Decisions

 

Imagine you’re investing with a friend. You see the market take a dive, and your stomach drops. You want to sell everything and run! “Relax,” your friend reassures you, “the market fluctuates, that’s normal. We’re here for the long run.”

 

That’s the key – don’t let emotions take the wheel. Make a plan before things get shaky. Stick to the plan and avoid those emotional knee-jerk reactions that can mess things up.

  • Not Diversifying Your Portfolio of Investment

Imagine putting all your eggs in one basket. If that basket drops, you’re left with nothing but broken shells. The same principle applies to investing. Diversification, spreading your investments across various asset classes, can protect you from significant losses.


  • Blindfolded Investment – No Goals, No Plan!

Imagine getting in a car without a destination. Investment without goals is like that.  

Take note of what financial guru Suze Orman once said: “If you don’t have a financial plan, you’re planning to fail.” 

Hope you got it! It’s always good to have an investment plan before you start investing.

  • Following the Herd

It’s easy to get swept up in the latest investment trends or follow what everyone else is doing. However, herd mentality can lead to poor investment choices and increased risk. Making investment decisions based on thorough research and personal investment goals is crucial.

Text inside the image: Following the Herd

The rise and fall of Bitcoin can be attributed in part to herd mentality. Many investors jumped on the Bitcoin bandwagon when prices soared, only to experience substantial losses when the bubble burst.

 

  • Forgoing Professional Advice for Investment 

While you don’t necessarily need a financial advisor to start investing, consulting a professional can be invaluable, especially for beginners. A qualified advisor can help you develop a personalized investment plan, choose suitable investments based on your goals, and find your way through complex investment products.

  • Trying to Time the Market

Timing the stock market – buying low and selling high – sounds like a winning strategy, but it’s incredibly challenging even for competent investors. The stock market goes up and down, it’s part of the game and if you sell when the price is low, you lock in that loss. Unless you absolutely need the money, selling during a downturn can lock in your losses.

Text inside the image: Stock Trading: buying low and selling high

During the COVID-19 pandemic, many investors panicked and sold their stocks at a loss, only to see the market rebound sharply in the following months. Those who stayed invested or continued to invest during the downturn generally saw significant gains. 

Looking at historical data, the stock market has shown a tendency for overall growth over extended periods.

Focus on where you’ll be in years, not weeks. Don’t let short-term jitters derail your long-term goals.

  • Putting essential funds at risk

Life happens. Unexpected bills pop up, cars break down, and sometimes you just need a rainy day fund. That’s why it’s crucial only to invest money you won’t need in the short term.


  • Ignoring Investment Fees: Keep More Money in Your Pocket

Be mindful of investment fees, as they can shrink your returns over time.

Before you invest in anything, be sure to understand the investment fees involved. Be mindful of investment fees even if they might seem small. There might be management fees, trading commissions, and account fees. A little research on investment avenues can save you a lot of money in the long run. There are many low-cost investment options available these days. Do some comparisons to find the right fit for your investment needs.



  • Investing Based on Hype

Your friend’s cousin just got rich by following some hot tip? Are you running into it too? Hold on!

 

Don’t chase fleeting trends or listen to unqualified advice. Do your research. Understand what you’re investing in before you commit your hard-earned cash. There are plenty of resources available online to help you learn about different investment options.

  • Neglecting to Rebalance Your Investment Portfolio

Well, markets move like a crazy rollercoaster, and sometimes some parts of your investment portfolio might be doing a little better than others. This can shift the balance a bit. Focus on rebalancing your investments to keep your risk and return goals on track. 


  • Monitor Your Investment Performance

Many investors are often unaware of how their investments are truly performing. Regularly reviewing the returns from your investment, and considering fees and inflation, is essential to ensure you are meeting your investment goals.


  • Get a Little Help

A financial advisor can provide valuable advice to help you reach your financial goals.  A good advisor can help you develop an investment plan that aligns with your financial goals and risk tolerance. They can also help you stay on track and avoid making emotional decisions.

 

Are there any safe investment options?

 

To help avoid the above discussed investment mistakes, remember to stay rational and focus on safe investment options.

 

Now, what if I told you there’s an investment option that’s completely safe, doesn’t rely on market fluctuations or inflation, has no hidden fees, lets you save and borrow money, offers high returns, and even gives you extra cash through dividends and bonuses? 

Yes! You guessed it right.

I’m talking about chit funds.

Chit funds can be a unique and useful investment tool if approached carefully. 

Let’s break down how you can use them to grow your money safely.

 

A Balanced Look at Chit Funds for Investment

Think of this investment as a savings and borrowing combo. You save by contributing regularly, and when you need a lump sum, you can bid to receive the money.

 

Unlike fixed deposits or other investments, chit funds provide flexibility. If you win the bid early, it acts as a credit; if you win later, it’s more like a savings.

 

If you’re in urgent need of money, bidding for the chit early can provide quick access to a substantial amount without going through the formalities of a bank loan.

 

Regular chit fund contributions build a habit of saving. Plus, you have a chance to access a bigger sum when needed, helpful for emergencies or planned expenses. Compared to personal loans, chit funds can offer lower borrowing costs, especially if you win the auction early and get a discount on the total pot.

 

Wrap up

Investing is an adventure, but to navigate the twists and turns, you’ll need patience, discipline, and a commitment to lifelong learning. By avoiding the common mistakes and making smart investments you can set yourself up for long-term investment success. 

 

Remember, it’s not about hitting home runs with every investment but about steady, informed growth over time. Keep your money safe, let it grow, and enjoy the financial security that comes with smart investing.



Interested in knowing more about investing in chit funds? 

Contact our experts today!

 

Have you made any of these investment mistakes? Share your experiences in the comments below.

Fill the Form

We happy to assist you!

Job Description

Female Host

Experience: 2+ Years

Qualification: Any Degree 

Roles and Responsibilities

  • Host video programs or shows, presenting content in an engaging and entertaining manner.
  • Respond to viewer requests, dedications, and comments, and interact with the audience through social media or other online platforms. 
  • Collaborate with the production team to create and produce engaging video content, including special segments, interviews, or behind-the-scenes footage.
  • Adhere to channel guidelines and regulations regarding content, language, and broadcasting standards. 
  • Attend promotional events, live broadcasts, or public appearances to interact with viewers and promote the channel or program.

Desired Candidate Profile

  • Excellent verbal communication and presentation skills, with the ability to engage and captivate an audience. 
  • A confident and vibrant personality with a passion for entertaining and connecting with people. Comfort and ease in front of cameras, microphones, or live audiences. 
  • Strong knowledge and interest in music, popular culture, and entertainment trends. 
  • Ability to research and gather information quickly, organizing it into interesting and engaging content. 
  • Familiarity with broadcasting equipment and software, including audio/video editing tools (if applicable). 
  • Professionalism and the ability to handle sensitive or controversial topics with tact and sensitivity. 
  • Availability to work flexible hours, including early mornings, evenings, weekends, or holidays, depending on the nature of the role. High level of professionalism, integrity, and ethical conduct in all interactions.

Note: This job description is gender-specific as requested. However, it is important to ensure equal opportunity and non-discrimination in the hiring process.

Join our Team!

We always welcome talented minds as a part of our Family!!

Job Description

Video Editor

Experience: 2+ Years

Qualification: Any Degree 

Roles and Responsibilities

  • Ultimately, as a Video Editor, you should be able to bring sight and sound together in order to tell a cohesive story
  • very good at Premier Pro, after effects and other video editing tool.
  • Should have keen knowledge of social media trends to make videos more engaging and interesting.
  • knowing colour grading is additional perk.
  • Edits videos to targeted length and specifications
  • Handles and organizes raw and edited video files
  • Exports videos and facilitates mobile and web distribution
  • Shoots video and produces content as necessary
  • Explores different versions and directions
  • Ensures compliance with highest journalist standards
  • Adjusts formats and file sizes as needed

Desired Candidate Profile

  • Proven work experience as a Video Editor
  • Solid experience with digital technology and editing software packages (e.g. Avid Media Composer, Lightworks, Premiere, After Effects and Final Cut)
  • Demonstrable video editing ability with a strong portfolio
  • Thorough knowledge of timing, motivation and continuity
  • Familiarity with special effects, 3D and compositing
  • Creative mind and storytelling skills
  • BS degree in film studies, cinematography or related field

Join our Team!

We always welcome talented minds as a part of our Family!!

Job Description

Content writer

Experience: 1+ Years

Qualification: Any Degree 

Roles and Responsibilities+

  • Work with content strategists to build editorial calendars
  • Collaborate with team members to ensure alignment and consistency in branding, style, and messaging
  • Strong attention to detail
  • Ability to meet tight deadlines
  • Creative and strategic thinking skills

Desired Candidate Profile

  • Proven experience as a content writer 
  • Ability to collaborate with other writers and DM team
  • Compelling writing style, voice, and tone
  • Portfolio of relevant writing samples
  • Research industry-related topics (combining online sources and studies)
  • Write clear marketing copy to promote our products/services
  • Prepare well-structured drafts using Content Management Systems
  • Proofread and edit blog posts before publication
  • Promote content on social media
  • Identify customers’ needs and gaps in our content and recommend new topics
  • Ensure all-around consistency (style, fonts, images, and tone)
  • Should be able to write content in Tamil and English 

Join our Team!

We always welcome talented minds as a part of our Family!!

Powered by Kopuram Chits Private Limited

Job Description

Senior Software Engineer

Experience: 5 – 10+yrs

Qualification: Any Degree 

Roles and Responsibilities+

  • Design implement and support highly scalable applications and web services using Microsoft technologies (ASP.NET, MVC, C#, SQL Server, Windows Forms, Web API/Rest API)
  • Front-end development using Angular 8 or above
  • Candidates should have the ability to train and work along with development teams to ensure timelines and quality deliveries.
  • Participate and contribute to project estimations, system architecture and performance engineering of projects
  • Work with the quality assurance team to ensure that the software is fully unit tested, can be performance tested, and passes quality requirements

 

Desired Candidate Profile

  • Minimum 5+ years of experience in developing applications on the .NET platform using Angular as front-end.
  • Experience in Web application Architecture and Development with hands on expertise in delivering solutions based on/customizing ASP.Net 4.0 / MVC and above.
  • Strong understanding of OOPS fundamentals, Entity Framework, LINQ and REST APIs.
  • Good knowledge of SQL Server.
  • Experience in Azure
  • Good to have: .NET Core, ASP.NET Core MVC
  • Proficient understanding of code versioning tools (TFS/SVN/Git).
  • Proficient understanding of build/DEPLOYMENT/release management processes.
  • Must have experience of working in Agile/Scrum environment.
  • Must possess very good logical, analytical and communication skills.

Join our Team!

We always welcome talented minds as a part of our Family!!