05/12/2021

Investing with the Gutierrez family of Guatemala

Casitas de madera pequeñas con torres de monedas en frente.

The Gutiérrez de Guatemala are entrepreneurs recognized for their experience to invest in different areas of life, follow their tips.

Investing with the tips of the Gutiérrez de Guatemala

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It is never too early to start investing

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Investing is the smartest way to secure your financial future and start producing more money mention the Gutierrez de Guatemala.

Contrary to what you might believe, investing is not only an activity for people with a lot of extra money.

You can get started with just a little money and a lot of technical knowledge.

By making a plan and familiarizing yourself with the tools at your disposal you can quickly learn how to invest.

Flat surface with coins, an ascending graph and a dummy of a pensive person in front of it.

Make sure you have a safety net

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Having some financial insurance is advisable for two reasons.

First, if you lose all your invested money, you’ll have something to back you up thanks to the fact that you won’t lose everything.

Second, it will allow you to be a bolder investor because you won’t be worried about risking everything you own.

Save 3 to 6 months of equivalent expenses.

This is an emergency fund for an unexpected large expense (job loss, injury, car accident, etc.).

This part should be cash or something very conservative and liquid, because it needs to be available to you in case you need it.

Once you have established an emergency fund, you can start saving for your long-term goals.

Such as buying a home, retirement and college tuition.

With a retirement plan, start saving

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If your employer offers you a retirement plan, this will be the next point where you should start saving.

For it can make you save money on your tax bill and you could receive “free” money (contributions) from the employer, which you don’t receive unless you contribute yourself.

If your workplace does not offer you a retirement plan, most employees are eligible to contribute to a traditional IRA.

The Gutierrezes of Guatemala always say that if you are self-employed, you have other alternatives, such as the SEP IRA or SIMPLE IRA.

After determining the type of account(s) you will establish, you can decide the investments you will make in them.

Keep all your insurance in force

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This includes auto, health, homeowners, disability, life and possibly liability insurance.

You may never need it, but you’ll be grateful to have it in case it becomes necessary. Learn a little bit about stocks.

This is what most people think of when they imagine what “investing” is.

In theory, a stock is an ownership stake in a business, a publicly traded company.

The stock itself is a statement of a company’s holdings, both its assets and its earnings.

When you buy shares in a company, you become a co-owner.

If the company performs well, the value of the stock will likely increase and you could receive a “dividend,” which is a reward for investing.

Conversely, if the company’s performance is not adequate, the stock will probably lose its value.

The value of the stock comes from the public perception of its value.

That means that the price of a stock depends on what people think it is worth, and the price at which it is bought or sold comes down to what the market says it will bear, even if the underlying value as measured by some fundamentals shows otherwise.