Author: Tamara Mrázová

Investing is becoming an increasingly popular topic. Thanks to the excellent availability of information, investing has become one of the popular ways to grow our capital and protect finances from inflation. If you’re drawn to the world of investments and would like to learn more about this field, you’re in the right place. This article covers everything you need to understand the basic principles of investing.  You will read about:  How to invest money  The basic principles of investing  How to invest based on time horizons  How to invest based on the amount of investment  The most effective ways to invest money : How to invest in mutual funds  How to invest in ETFs  How to invest in real estate  How to invest in real estate funds  How to invest in bonds  How to invest in stocks  How to invest in gold  How to invest in silver and precious metals  How to invest in cryptocurrencies and Bitcoin  How to invest in Forex  How to invest in businesses  How to invest in… (stamps, coins, vintage cars, businesses)  1. How to invest money  Investing money, in other words, means putting your finances into various funds, stocks, or real estate with the goal of increasing their value. Simply put, you let your money work for you, instead of letting it depreciate due to rising inflation in your regular savings account.  What do I need to know before I start investing?  Before investing, it’s essential to prepare and gain some knowledge. It’s important to educate yourself and gain at least a basic understanding of the subject – or seek advice from an experienced specialist in the field. There are many resources available to help you navigate the world of investing.  What approach should I take when investing?  Start by defining your goals and the financial timeline you’ll be working within. Set a clear investment plan and an effective strategy. If you’re unsure how to do this, consult with your financial advisor.   What benefits does investing offer?  Generally, investments are a key factor in the development of global economies and economic growth.  From a personal perspective, one of the primary benefits is the multiplication of your capital and the creation of passive income, both in the short and long term.  As mentioned earlier, this process can also serve as protection against inflation.  Additionally, through investing, you learn how to actively influence your financial resources.  A common misconception is that investors need enormous capital to start investing. The opposite is true. One of the other advantages of investing is that you don’t need a large amount of money to get started. Set an amount that won’t significantly strain your budget, and gradually increase it if needed – you can start investing with as little as 30 euros per month.  Moreover, through investments, you build a financial reserve that you could use in case of need – if you had spent the invested money in a consumerist way instead, you wouldn’t have created any reserve.  Benefits of Investing Money:  Growing your capital  Creating passive income  Protection against inflation  Improving your financial literacy  Actively learning how to manage your financial situation  Ability to invest even with low capital  Saving for retirement  Building a financial reserve  What should I watch out for when investing?  If you’re wondering what to watch out for when investing, there are several answers. Successful investing requires time and effort. Investors need to monitor financial markets, assess opportunities, and regularly update their portfolios. The truth is that there is no absolute certainty in investing, and in many cases, there is a risk of loss (with prudent investment settings, only a risk of temporary decline).  The best protection for your investment is proper diversification (spreading investments across different sources), a long-term approach, and avoiding speculative investments.  Economic changes and market fluctuations can lead to a decline in asset value. Even though there is potential for investment value growth, results are not guaranteed. However, in many cases, this risk has proven to be worthwhile, and investors have been able to profit from it.  Disadvantages of Investing Money:  Potential financial loss: Not only from careless investing but also due to unpredictable situations in the financial market. An extreme example is a stock market crash.  Value fluctuations: Investment values can fluctuate significantly due to market volatility.  The need for ongoing education: Successful investing requires continuous learning or having an investment advisor as a mentor.  Time consumption: If you manage your investments yourself and don’t opt for simplicity (i.e., diversified passive investing), managing investments can be time-consuming.  Fees and taxes: Investing can involve various fees and taxes.  Emotional decision-making: There’s nothing worse than emotions taking control over pragmatic thinking. Emotional decisions can negatively impact returns.  Liquidity: Some investments may be less liquid, making it difficult to quickly withdraw money from the investment without losing value. For example, real estate sales can take a relatively long time in some periods.  “One thing is certain. You miss 100% of the shots you don’t take.” – Hockey player Wayne Gretzky  2.The basic principles of investing  To establish solid pillars for investing, it’s essential to master the basics of financial literacy. Every investor has their own goals, and therefore, must approach their strategy individually.  In finance, it’s important to maintain order, whether it’s managing a financial reserve, tracking income and expenditure fluctuations, or saving.  What is Diversification and Why is it Important?  Diversification is the strategic allocation of investments across various assets (stocks, bonds, real estate, money markets, etc.), sectors, or geographical areas. The goal of diversification is to reduce risk.  Diversification is crucial for investors because it helps minimize potential losses if the value of one or more investments declines, thereby increasing the stability and potential returns of the entire investment portfolio.  With long-term investing and a sensible investment setup, there’s little concern that an investor might lose a significant portion of their investment. Some investments will perform better, while others may underperform. Overall, everything should grow in the long run.  By diversifying, you’ll ensure that during any given period, part of your investment will be in the positive, allowing you to make withdrawals and reduce fluctuations in the overall value of your investment.  The Foundation of (Not Only) Investing: A Financial “Iron” Reserve  What is a Financial Reserve?  A financial reserve mainly serves as a safeguard to finance unexpected expenses. It’s crucial for most investors. They often encounter unexpected expenses and are forced to liquidate their investments, which can lead to financial loss, especially if the market is not in a favourable state. A financial reserve helps you handle such situations without significant damage and without incurring debt.  Additionally, the reserve covers unexpected everyday expenses, so the investor doesn’t have to tap into their investments in times of need but can use the financial reserve instead.  At the same time, investing also represents the creation of a reserve.   How Much Should a Financial Reserve Be?  A financial reserve should ideally represent 6 to 12 times your total monthly expenses, allowing you to cover your costs for 6 to 12 months in case of income loss.  The size of the reserve naturally depends on various factors. There’s no universal number that applies to every investor. However, it’s generally recommended to set aside several multiples of your monthly expenses, as mentioned above.  If the reserve is too low, it won’t cover potential expenses during a crisis. It’s essential to ensure that you can cover necessary expenses, such as mortgage payments, leases, and other living costs.  On the other hand, the reserve doesn’t need to be excessively large, as the surplus can be invested and earn returns.   How to Determine the Exact Reserve Amount?  When determining the specific amount, it’s important to consider your monthly expenses, job stability, income stability, risk level, and your investment goals and strategy. It’s recommended to set aside at least six times your household’s monthly expenses. The principle is straightforward: the greater the risk of loss, the higher your financial reserve should be.  A financial reserve is vital. Nothing can replace it—not even unemployment insurance, which is costly and has strict conditions for payouts. It’s much more effective to have a financial reserve for at least six months of your expenses. It costs nothing and instead earns you money. Insurance can be used to cover more serious situations that cause long-term or permanent income loss.   How to Separate Personal Finances from Investments?  Order in finances is key for an investor—not only for efficient management and risk minimization. It’s recommended to start by separating money used for personal purposes from money used for investments through multiple bank accounts. This way, it will be clear how much money is in each account.  You should also consider that while investing in your own business is a form of investment (and one of the most profitable), it makes sense to separate such an investment from your other investment activities.  Of course, this depends on the type of business, but the principle of investing is also that in case of emergency, the investment can be converted into cash—which is often not possible with a business.  For example, if you invest in marketing and PPC ads, it can bring business results, but you can’t convert that money into other returns over time—even if you were to sell your website, no one would care whether you spent X Euros on its promotion.  How to Get an Overview of Your Financial Situation?  Track your income and expenses  Reevaluate your debts (pay off expensive ones as soon as possible)  Set your financial goals to allocate money wisely for investments  Optimize your expenses (eliminate unnecessary ones without lowering the family’s standard of living)  How to Learn to Save?  Set a clear budget for your personal expenses and determine how much money you will regularly invest. Stick to this rule. If necessary, set up an automatic transfer from your regular account to your investment account. This way, you’ll adhere to your savings strategy.  The strategy is simple—always spend less than you earn. If you want it to work, first set money aside (invest) and only spend the rest. If you invest money, forget about it and never withdraw it for anything other than its intended purpose.  In investing, perseverance and responsibility to yourself are the most important.  There are different approaches. Some people track all their expenses to know how much they can afford to invest. Some enjoy it, some don’t. Others don’t track their income and expenses but focus on how much they set aside.  It can be said that what’s more important than how much you earn is how much you can save. Choose the method that works best for you. If it works and you can invest a sufficient amount every month, then you’re on the right path. If it doesn’t work, then you need to change something—either you’re spending too much or earning too little.  “The biggest risk is not taking any risk at all.” – investor Mellody Hobson 3.How to invest based on time horizons  When investing, it’s crucial that your investment approach and strategy are aligned with a specific time frame. Whether you’re focused on short-term or long-term goals, liquidity—the ease with which you can convert your investments into cash—will be a decisive factor. Additionally, the investor’s intention behind the investment is important.   How to Approach Short-Term Investing?  If you’re concerned that your accumulated money is losing value, short-term investing might be the right way to prevent that. Short-term investments typically include securities, bonds, or safe stocks.  Short-term investing is more conservative. At times, it may not even keep up with inflation. While not always the case, most of the most conservative investments (like money market investments) don’t cover long-term inflation. Short-term investing isn’t about chasing the highest returns but about preserving your reserves and aiming to match or closely approach inflation.  All options share a fundamental common feature: guaranteed liquidity. You can convert your investments into cash within just a few months.  Thanks to short-term investments, your money won’t be eroded by inflation. Moreover, since the returns are predictable, this type of investment can be considered quality and safe.  Is It Worth Keeping Money in a Savings Account?  Often, short-term investing is replaced by savings accounts in regular banks. Many of these accounts are offered without any commitment, meaning you can withdraw or deposit money at any time. The downside is that even though banks pay regular interest on savings accounts, these rates are very low. Short-term investing, therefore, will bring you a higher return than a regular savings account.  Keeping money in a savings account can make sense if the interest rate is higher than the return on conservative investments. This happens rarely and is usually associated with periods of extremely low central bank rates, which are unlikely to return anytime soon.  The advantage of a savings account is liquidity, but this is not always the case. With some accounts, you can withdraw money within minutes, while with others, it may take several days, which is similar to the time it takes to withdraw from investments outside of savings accounts.  How to Approach Long-Term Investing?  In long-term investing, investors focus on high returns. They must also be aware that long-term investments are not easy to liquidate, indicating low liquidity. In this case, funds are used that the investor is confident they won’t need in the coming years. Passive investments include long-term stocks, index funds, or ETFs.  Thanks to the long-time horizon, the risk of loss is spread out and does not hit all at once. The investor isn’t troubled by short-term fluctuations in the financial market because they balance out over the long term and don’t affect the investment. Another advantage is the tax relief that comes with certain types of long-term investments, often after just the first year.  How to Approach One-Time Investing?  The basic characteristic of one-time investing is the ability to place any large sum into financial funds at once. There is no upper limit on the deposit. Proper timing and market knowledge are usually key.  It’s advantageous to invest when prices are low and sell when they peak. The risk of losing money is no exception in one-time investing, and you must always be aware that it’s worth investing only as much as you are willing to lose.  An example of one-time investing is investing in real estate. If you later decide to rent out your property, you can build a passive income that boosts your account every month. Another popular method of one-time investing is investing in business, whether in your own startup or as a sponsor for various other projects and enterprises.  How to Approach Regular Investing?  With regular investing, the investor spreads out smaller amounts and invests them several times at recurring intervals. One of the biggest advantages is that the purchase price averages out, and market fluctuations don’t significantly impact the return as much as with a one-time deposit.  Each of the invested amounts can be spread across different funds or stocks, and the market influences them individually. This way, the investor has a slightly higher guarantee of ending up “in the green,” meaning their return will be positive.  You can regularly invest almost anywhere. A popular method is investing in gold and other precious metals, ETFs, bonds, or stocks.  What’s the Difference Between One-Time and Regular Investing?  Regarding fees, one-time and regular investing are very similar, and finding a more advantageous option in this regard would be difficult.  The advantages of regular investing include averaging the purchase price and smoothing out the fluctuations in your investment’s value. You build your capital gradually and adjust it to the market. With one-time investing, you’re more of a “passive observer,” waiting for the right time to withdraw your invested money.  It’s not clear which method is more advantageous. It depends on the financial market phase, investment capital, or financial strategy. The ideal investment approach may combine both methods. Remember, even a one-time investment can become regular over time.  “Time is money.” – diplomat Benjamin Franklin 4.How to invest based on the amount of investment One of the most common myths about investing is the belief that the amount you invest must be large. However, the opposite is true. Simple investments can be made even if your investment capital is between €30 and €150. There is no maximum limit for investment.  How Much to Invest Monthly?  You are the master of your investments and can freely decide on the amount you invest. It all depends on your financial resources and investment strategy.  A common investment amount might be around €30 per month for 30 years. If your budget is higher, you could invest €100 monthly for 30 years. Such a high investment could gradually even cover a mortgage.  Typically, one-time investments are in the range of several thousand euros. When it comes to regular investments, investors usually make monthly contributions, often smaller amounts, not thousands. Remember, investing shouldn’t ruin you; its goal is your own profit.  What Are the Investment Trends? Where to Invest Now?  Currently, the technology sector has become popular among investors. It’s no surprise that technology and artificial intelligence (AI) are hot topics, not just among investors. Many are betting on stocks of companies developing AI. Additionally, sectors like e-commerce and health equity are also standing out.  Where to Invest €1,000?  First, it’s important to realize that you don’t have to invest the entire amount into one type of asset. Experts recommend diversifying your investment portfolio with a ratio of 40:40:10:10. For example, you could allocate 40% into ETFs, another 40% into bonds, 10% into real estate funds, and the remaining 10% into alternative assets like gold. Investments distributed this way have great potential for high returns.  An example could be an investment in ETFs and mutual funds, stocks, bonds, or even the money market.  Where to Invest €10,000?  If you have €10,000 that you would like to invest, there are several options available. Remember the recommended ratio for diversifying your investments.  If you’re asking where to invest €10,000, similar to the previous section, several options are available. Relevant investments include mutual funds, ETFs, bonds, stocks, and, currently, gold, which has an optimistic outlook.  Where to Invest €100,000?  As with the previous amounts, it’s not advisable to invest without diversifying your investment portfolio. Diversification is key. With such a high amount, besides the mentioned assets, you have the option to invest in real estate.  Real estate represents a safe investment for Slovaks. Property prices are steadily rising and have nearly reached their peak. However, if you decide to invest such an amount without diversifying your portfolio in other ways, your capital growth won’t be as significant as it could be if you also invested in various other assets. Many investors recommend splitting even such a large amount into smaller portions and distributing them appropriately.  “Investments are like the weather. If the conditions don’t suit you, you have to wait until they improve.” – Lou Simpson, financial advisor to Warren Buffett 5.The most effective ways to invest money  Do you know the most effective ways to invest money? Let’s take a look at them together:  1.How to Invest in Mutual Funds   Mutual funds are considered some of the least risky assets, popular among Slovak investors. They are defined as group investments. Each investor contributes their own money to the fund, which is then collectively invested in more expensive stocks, securities, or other assets. To diversify the portfolio, the money is often distributed across various sectors, such as pharmaceuticals, industry, technology, artificial intelligence, and more.  A financial manager actively manages your entire investment family, so you don’t have to be fully hands-on with investing. When you invest this way, you receive your own share certificate, ensuring that none of your co-investors can take your money.  The advantage of this investment method is that you can start with a really small amount thanks to the shared fund. You can enter or exit the fund at any time.  2.How to Invest in ETF Funds   Like mutual funds, ETFs (Exchange-Traded Funds) are group investments. You purchase a portion of a securities portfolio through your group investment. However, they differ from traditional mutual funds in one key characteristic: they are traded on the stock exchange and track the specific performance of an investment market. Most are passively managed without a financial manager, saving you the fees you would pay for mutual funds, with the management fee being minimal.  There are several types of ETFs, such as equity ETFs, bond ETFs, commodity ETFs, and real estate ETFs. They mainly differ in purpose and the length of active investment. For short-term investing, a combination of bond and equity funds is recommended. For long-term investing, it is advisable to alternate between lump-sum and regular investments in these types of funds.  3.How to Invest in Real Estate   In Slovakia, real estate has become the most trusted investment sector. Land, houses, and apartments are seen as a great guarantee that they will increase in value.  It’s a solid investment for the future since you can sell your property at any time and profit from the sale. However, the downside is that you must take care of it and cannot leave it untouched throughout ownership.  If you find yourself renting out your property, it’s essential to have a sufficient financial reserve to cover expenses during months when the property is not occupied. Additionally, your property will gradually wear out and will need to be renovated after some time. However, a significant advantage for landlords is the passive income you build through your investment.  4.How to Invest Through Real Estate Funds   You don’t have to purchase real estate right away. One way to invest in real estate is to place funds into a real estate fund, which works like a mutual fund. You provide the owner with financial resources, which they use to manage and enhance their property.  If you choose this type of asset, you can select between domestic and foreign real estate funds. However, the truth is that due to global inflation, the returns on these types of assets are generally low and often appear unprofitable.  Real estate funds allow you to diversify your portfolio and reduce the risk of losing your investment. There are open funds that you can enter or exit at any time.  What are REITs? Real Estate Investment Trusts (REITs) are companies that own property for the purpose of generating income. These are not just residential spaces but also offices, warehouses, hospitals, clinics, hotels, or shopping centres. Through REITs, investors can participate in the benefits of ownership without actually handling physical properties. REITs earn income through rental operations.   5.How to Invest in Stocks   Stocks are securities that give you ownership rights to a certain share in a company. In other words, you buy a portion of the company and gain a share in its revenue and profit. The investor believes that the money invested will yield returns as the company’s popularity grows. Some of the most well-known companies with stocks are Apple, Microsoft, Visa, Samsung, Meta, and Tesla.  There are stock predictions that help you see which companies have the potential for growth and appreciation. However, the value of your stocks can change daily. If a company introduces a unique idea to the market, it has the potential for growth, which increases interest in its stocks and raises their value. Conversely, there is a risk of loss when a company’s value can plummet overnight.   6.How to Invest in Bonds   There is one fundamental difference between bonds and stocks. As mentioned earlier, with stocks, you have a share in the company’s profit.  With bonds, you provide financing to a selected company by purchasing debt securities. The company then becomes a debtor, and you receive regular interest payments. You don’t become a co-owner of the company but its creditor.  It’s important to note that bonds do not guarantee a return and carry a high risk of loss, similar to other types of assets. Bonds offer a fixed return, but this does not guarantee success. If the debtor is unable to repay their debt, it is challenging to recover your money as an investor, a risk known as default.  Assessing the risk of loss in bonds is challenging, making this type of investment unsuitable for beginner or inexperienced investors.  State, Municipal, or Corporate Bonds?   State bonds are issued by the government. They are among the highest quality bonds, with nearly zero risk, as the state guarantees repayment. They have high liquidity, meaning they can easily be converted into cash after a certain period.  On the other hand, this low risk comes with the fact that the returns from these securities are not exceptionally high, and their interest rates are low.   Municipal bonds are issued by the state, city, or a bank, which then provides the loan to the municipality. They are also known as muni bonds. They are used for enhancing landmarks, financing public projects, or providing public services.  Like state bonds, municipal bonds carry low risk. However, their liquidity is very low. This type of bond was popular in the second half of the last century and is now gradually disappearing from the market.  Corporate bonds are issued by companies or corporations. They use the funds to run and grow their business, aiming to ensure that the company profits. This type of bond carries the highest risk but also offers the highest potential return. Corporate bonds are currently the most sought after among other types.  7.How to Invest in Forex? Forex represents trading currencies on international foreign exchange markets. Traders utilize fluctuating exchange rates to trade currencies. When the price rises, the trader sells the currency.  Forex trading is not recommended for beginners. Most people lose money when trading on Forex, and this applies not only to beginners but also to experienced investors. It’s advisable to invest in what you understand or to diversify your investments into standard assets with the help of an investment advisor.  8.How to Invest in Gold? As previously mentioned, gold is considered one of the safest investments worldwide, including in Slovakia. It is an asset that maintains its value and withstands fluctuations in the financial market.  Besides its stability, gold offers portfolio diversification and excellent liquidity. However, the downside is that you don’t earn any dividends or interest from it. You either sell gold at the right moment or hold onto it, for example, in the form of jewelry. One issue with gold is that even though it can be sold almost anytime, this decision isn’t always profitable. Gold tends to gain value, but often very slowly, so it’s wise to consider gold mainly as a long-term investment.  It can be bought physically, such as through well-known gold bars, which serve as a price unit. Coins and jewellery also function similarly. However, with physical ownership, you must consider care and storage. If you don’t want to keep physical gold at home in a safe, there are ETF funds that collectively invest in the shares of gold miners, or ETC funds, through which you can invest in physical gold.  In general, gold is primarily a means to preserve value, not multiply it. 9.How to Invest in Silver and Precious Metals? Like gold, silver and precious metals are stores of value. They have great potential for appreciation and good liquidity.  So, what’s the difference between gold and other precious metals? There’s one fundamental difference. Silver and other precious metals are regularly used in industry, which cannot be said for gold due to its soft structure.  Industrial demand has a significant impact on the price of these metals, allowing investors to profit. The volatility, or price fluctuation, of silver is direct evidence of this influence. Gold is relatively stable, while silver experiences much higher price increases. However, one should be cautious because just as the price of silver can rise, it can also drop sharply.  Regarding both gold and silver, it might be beneficial to focus on investing in collectible or silver coins. More information about coin collecting and numismatics can be found in the product descriptions here. 10.How to Invest in Financial Derivatives? A financial derivative is a product whose value is derived from the value of a particular financial instrument, such as stocks, bonds, currencies, or real estate and commodities.  The value of a financial derivative moves along with the value of the underlying asset. Risk, liquidity, and volatility of derivatives also depend on the characteristics of the underlying assets. The basic types of derivatives include Futures, Forwards, Swaps, and Options. 11.How to Invest in Cryptocurrencies and Bitcoin? Cryptocurrencies are one of the newest and most modern assets, having gained the attention of most experienced investors.  Cryptocurrencies are known for their rapid rises and falls. It’s not uncommon for the value of your investment to change by tens of percent within a single day. For example, Bitcoin was valued at $0.05 in 2010. Currently, the price of one Bitcoin is around $40,000.  Bitcoin initially emerged as an electronic payment system. Despite the passage of time, it can hardly be said that it has caught on as a widely used currency. It is rarely used for payments, and the vast majority of people use it for speculative investment.  However, the total supply of Bitcoin is limited. There are currently 21 million Bitcoins in circulation. Besides Bitcoin, other well-known cryptocurrencies include Ethereum, XRP, Litecoin, and Dogecoin.  What are the advantages of Bitcoin?  One of the main advantages is that Bitcoin is not dependent on inflation and does not directly affect it. The world of Bitcoin operates independently, separate from central banks. It offers fast and accessible transactions worldwide. It exists only in the virtual space and cannot be physically printed, only monetised.  What are the disadvantages of Bitcoin?  The price of its shares fluctuates, and you are constantly at risk of loss. It is still not accepted by every company or store, so the universality of this currency is not entirely guaranteed. Once a transaction is made, it cannot be undone. Lastly, it’s important to note that Bitcoin and all cryptocurrencies would not function without the internet, making all its investors highly dependent on it.  Moreover, it’s still challenging to buy food, cars, or houses with Bitcoin.  12.How to Invest in a Business? Investing money in your own business is an option utilized by a significant percentage of investors. Unlike other types of investments, this option often requires a lot of effort, attention, and time.  To ensure profit for your company, you must have a well-designed business strategy and an exceptional idea with refined know-how.  On the other hand, if you’re not planning to start your own business, you can still invest money in businesses by supporting other start-up companies. You can buy shares in these newly established companies and participate in their profits.  If you want to support a company right from its start, mutual funds can help, functioning as a loan to the entrepreneur of your choice.  13.Other Popular Investment Methods: How to Invest in Stamps?  It might surprise many people, but stamps in Slovakia can reach values of up to 100,000 euros. The annual turnover on the global stamp market is estimated at around 12 billion euros.  Collectible stamps are generally those that date back to before 1900. The value of a stamp is determined by its age, the story it carries, or its previous owners.  If you decide to invest in stamps, you can be confident that they will appreciate in value. Moreover, they serve as a pleasant collectible item that your descendants can inherit.  How to Invest in Vintage Cars?  Investing in historic vehicles doesn’t have to be just a hobby and a passion. It combines investing with your potential passion.  In this area, knowledge is key. You need to go through hundreds of ads to find a car worth investing in. The cars with the best potential are those that were extravagant or unique for their time.  Keep in mind that it’s not just about the purchase – you also need to take care of its maintenance and repair. Often, the car needs to be restored, which increases its value. The key is to sell it to someone who appreciates the piece of history you’re passing on through the vehicle.  How to Invest in Art?  Art is not created with the primary goal of generating profit. When investing in art, an investor should recognize that the reward for their investment may not necessarily be monetary. Purchasing a piece is considered a suitable way to store money with added artistic value.  However, liquidity and volatility are not guaranteed when it comes to art. No one can assure that your piece will be easily monetised or that its value will skyrocket. In many cases, though, it has a good potential to do so.   “Everything that is safe and comfortable is usually the least profitable when investing. Risk is reward.” – Trader Robert Arnott