Financial Literacy: Easy ways to invest with a small amount of money as a university student

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Even very small amounts of investment can reap huge rewards.Here are 6 ways with little money you can start investing today as a University Student.

Many people put off investing because they think you need a lot of money—thousands of Cedis!— to start investing. This just isn’t true. You can start investing for as little as 200ghc per month while in school.

It’s hard though.

The key to building wealth is developing good habits—like regularly putting money away every month. If you make investing a habit now, you’ll be in a much stronger financial position down the road.

Don’t believe me? Here are five ways you can start investing with very little money:

1.Play it safe with Treasury Bill

Not many small investors begin their investment journey with Treasury Bills, but you can. You’ll never get rich with these bills, but it is an excellent place to park your money—and earn some interest—until you are ready to go into higher risk/higher return investments.


2. Buy Assets

You must know the difference between an asset and a liability as a University Student and buy assets. If you want to be rich, this is one major key you must know. It is Rule No. 1 as said by Robert Kiyosaki. People struggle financially because they do not know the difference between an asset and a liability.

According to Robert Kiyosaki, Rich people aquire assets. The poor and middle class acquire liabilities but they think they are assets.

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Now, the question is what is an asset?
An asset is something that puts money in your pocket.

A liability is something that takes money out of your pocket. This really what you have to know as a University Student or an individual who wants to invest or become rich.

Spend your life buying assets.

3.Use the solution of the cookie jar

Saving money and investing it are closely connected. In order to invest money, you first have to save some up. That will take a lot less time than you think, and you can do it in very small steps.

If you’ve never been a saver, you can start by putting away just 20ghc per week. That may not seem like a lot, but over the course of a year it comes to over 1000ghc.

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Try putting 20ghc into an envelope, shoebox, a small safe, or even that legendary bank of yours(the cookie jar). Though this may sound silly, it’s often a necessary first step. Get yourself into the habit of living on a little bit less than you earn, and stash the savings away in a safe place.

Summary

There are plenty of ways to start investing with little money, with many online and app based platforms making it easier than ever. All you have to do is start somewhere. Once you do, it will get easier as time goes on, and your future self will love you for it.


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