Smart Investing: 3 Questions Before You Invest
In this concise segment, the speaker outlines the essential questions investors should answer before selecting any investment. First, they should determine the time horizon—when the money will be needed—since short‑term needs demand lower volatility than long‑term goals like retirement. Second, they must assess how much risk they can truly afford, both financially and emotionally. Third, they should evaluate their existing holdings to ensure new investments fit within a diversified portfolio rather than concentrating all assets in one place. Finally, they should clarify the purpose of the money (retirement, home down‑payment, college, or long‑term wealth) to match investment choices to life objectives. The overarching message is that sound investment advice begins with asking the right questions, not chasing hot stock tips.
