The 8 Simple Steps to Invest (updated)

I talk about each of the 8 steps in detail:

1. Having your money sh*t sorted - is the foundation of wealth building. You know... how to manage money, not live paycheck to paycheck and have an eff it fund. All that stuff comes first.
2. Money & Investing mindset - most questions I tend to get often comes down to mindset... everything from timing the market, to fear about the next crash or reacting to hype. I could give you ALLLLL the strategy in the world, but if your mindset isn't prepared to weather the volatility of the market, or gambles on the latest stock tip - welll, all that strategy is useless.
3. What do you want? Another way to say it... what is your intention/goal/desire? Part of why personal finance is soooo personal is everyone values different things in life. So someone with a passive income goal will invest differently compared to someone else who wants to accumulate wealth. What you want dictates what you invest in.
4. Your Risk Tolerance. Sounds boring, but super important because just like step 3, this dictates what you invest in. Some people have super high tolerances and others don't like to see volatility at all. From cash to crypto... there is a balance of assets that suit you based on your risk tolerance.
5. Invest in ETFs or Index Funds as a majority, and only have individual stocks as a small portion of your portfolio (if at all). Picking stocks is a fools game most of the time because 96% of people don't outperform the market (market index funds and Exchange Traded Funds). The other 4% are unicorns. Index Funds and ETFs are so efficient because it constantly tracks the top performers, which is why so few people can ever beat them. I am team Vanguard because they're low cost.
6. Account Structure and Tax. Before you hit the snooze button... this is going to either make you or cost you a lotta money. Fees and tax eat in to your returns, bb... so know the best set up for you. Everything from understanding the CGT rule in Australia, using your ISA in the UK, and knowing whether to use a Roth IRA or not in the US will be one of the most bountiful or expensive lessons you ever learn.
7. What broker do you use. Don't skip the first 6 steps, because your broker is one of the least important decisions. I mean... avoid Robinhood but ultimately if you're clear on the above first, then this decision becomes very simple.
8. Ongoing Investing. Surprise! Investing isn't a one time thing. What happens after that first time... you're over the hump of getting started. Now what? Now we really start to build wealth. Ideally automate because Dollar Cost Averaging (DCA) becomes sooooo much easier. Your ongoing regular action is what is going to actually make you make financially free. Step 2, mindset really comes in to play here because over the course of your life you will see volatility and crashes in the market.