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How to Make Smart Investments: A Guide for Beginners

Investing, if done correctly, can be the difference between retiring as a millionaire and retiring with tons of debt. There is so much power in the world of investing, but it can be difficult to navigate and get started. Benzinga looks at the basics of investing and how to do it in a safe, personalized way.

Understand the basics of investing

Investing is using money or other assets so that they can increase in value over time. The rate at which the investment gains value is called the rate of return. Depending on the many types of investments, the rate of return may vary. However, a general rule is that the higher the risk, the higher the return. Although it may seem attractive to put all your money into a high-risk investment in order to generate higher returns, this practice may not be a good idea depending on personal circumstances.

Ideal Investment Types for Beginners

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