The first step any investor should take before beginning to invest is to __________.

Question

Quizplus · Accepted Answer

Before beginning to invest, an investor should establish their investment objectives. This will help them identify their risk tolerance, investment goals, and time horizon before selecting specific investment options or asset allocation strategies. Developing a list of investment managers and deciding between active and passive management can come later in the investment process.

The First Step Any Investor Should Take Before Beginning to Invest