Micro Investing is the Future

Almost every individual wants to invest in something be it an asset or liability. If he is investing in assets even in a small amount and if he finds the right opportunity with that small amount then the investing result will be mind-boggling. You might have often heard that "it takes money to create money", which is true today as well, but how do you get that money, by investing as well as by starting small.

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What Is Micro Investing?

It is an investment strategy where you will set aside a tiny quantity of money and invest them in the markets on a regular basis at the right asset class. For example, buying 1 HBD per day, if HBD is $1 a day that means in 30 days you have got 30 HBD and that is worth $30 and save it in savings to get 20% interest. So after a month, you have saved $30 along with that you are earning 20% Interest per annum compounding monthly. This is what micro-investing is you invest using a small amount of money regularly, it makes the investing more accessible especially if it is automated. Even the tiny amounts of money today can grow to tens of thousands of money in the future.

Why Micro Investing is the Future of Investing Strategy

Every one of us starts somewhere, people who might have a lot of sum of money get a head start whereas someone who has just started earning after getting broke takes some time to actually create that corpus. But both of them know what is their goal and both can achieve it, the first one by investing everything at once whereas the second one by investing a small sum of money regularly.

For example, I have an app called Jar which actually rounds off to the nearest sum of 10 and invest that change. For me, it is not a big amount, but since I am investing it for like 2-3 months the amount now is around Rs 2500, which is actually a big sum of amount. Now think if we do the same for 10 years you will get a huge amount of money even though you are investing a small amount.

The biggest advantage of using a micro-investment strategy is that then you don't need a big amount to invest and you can invest as little as possible. Now when that amount becomes big you can invest it somewhere else to get better returns as well as diversify the investment. This micro-investment just guides you to go investing with a small amount but keep the goal in mind and with that small amount you can achieve the big goal in the future. So as I said that micro-investing is a great way to start with investing and then continue investing regularly as well as increase that investment to get a great sum in the future.

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