Tips for becoming a better investor

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Like many things in life, success in investing lies in sticking to and mastering the fundamentals. However, it can be tempting to look for faster ways to earn big and neglect many of the basic tasks. For beginner investors who want to improve, here are some of the tasks that should never be neglected:

- Saving up. This should be the starting point for anyone who’s aiming for financial independence. Unfortunately, many neglect to put away money for savings. While saving can be hard, it is a necessary task and everyone should make an effort to put away a significant part of their earnings into their savings.

- Investing in stocks. While many successful investors have found a gold mine in stocks, a few novice ones believe in the potential of stocks and mutual funds as long term investments.

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- Learning to manage the account. Learning to build a diversified portfolio of stocks and low-cost mutual funds on one’s own allows one to accumulate more wealth due to lower costs.

- Diversify. It makes sense to spread one’s assets to a few stocks because some investments can fail.

- Look at the long term. Many beginner investors may get tempted by schemes that promise to get them rich quickly. If something sounds too good to be true, then it might be best to steer clear from it.

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Tony Hartman of Denver is the senior managing partner of Mark Capital LLC. For more resources on investing, visit this: Google+ page.