How long is considered long term?

But after all, how long is considered long term? Read the text and learn how to adjust your goals to your objectives!

Investing means setting aside a sum of money and placing it in an application for a certain period.

And to do good business, you need to decide whether you want to invest in the short, medium or long term. Or, you can make several investments and place them in different funds.

So, in this article, we’ll explain everything you need to know about long-term strategy. Want to know more? Then keep reading.

What are the deadlines for investments?

According to experts on the subject, there are three main deadlines for investments:

• Short term: from 3 months to 12 months

• Medium term: 3 to 5 years

• Long term: From 5 or 10 years old

In terms of the long term, some consider 5 years to be a sufficient period.

However, if your intention is to invest your money in the stock market, we recommend thinking even further ahead. In other words, in this case, we are talking about at least 10 years.

It really all depends on your goal when investing money. What do you really want?

Buy an apartment outright? Take your dream trip? Buy a car? Have more peace of mind in retirement?

Some goals are easy to achieve. Others require more time.

Therefore, to make good choices, it is very important that you analyze your investor profile and have a good objective defined.

This way, you will be able to choose the investment that best suits you and your strategy.

How important is long-term thinking?

The culture of immediacy is increasingly present in our lives. But what is it? Basically, it is the desire to want everything at the same time and now, without thinking about tomorrow.

There's nothing wrong with wanting to enjoy life and the good times, especially if you work hard for it.

However, when it comes to investments and income, it is important to be patient. After all, the longer the term, the higher the profitability tends to be.

Furthermore, the stock market fluctuates a lot in the short term. Not to mention the fact that our country is going through a great period of economic and political uncertainty, which may not be very good for those who invest in the short term.

For this reason, many people who want quick investments end up losing money, as they act emotionally.

But if you think long term, it is more difficult for this to happen, since the more time you invest, the more experience and knowledge you will have.

Another advantage is that in times of instability and crises, you will remain calm, as you will have a financial reserve. 

And in the long term, for those who invest in the stock market, the gains are worth it and the risks become smaller!

What are the best long-term investments?

 Before choosing the best investment, it is important to take into account some factors, such as the risk of the investment, your capital availability and, obviously, your profile as an investor.

And to help you, we’re going to talk a little more about the main types of investments for those who think about the future. Take a look:

1. treasury direct

Tesouro Direto is a low-risk alternative with short, medium and long-term options.

The minimum investment costs just R$30.00. In other words, it is one of the most accessible investment options.

Furthermore, it is extremely simple. Basically, you only need a CPF and an account at a financial institution or brokerage firm.

2. Stock exchange

Without a doubt, the Stock Exchange is one of the best options for those who want to invest in the long term.

Basically, it's as if you become a partner in the company you are applying to.

Ideally, when you buy shares, you should already have a financial reserve and not depend directly on the results of the investment. Otherwise, if the company goes bankrupt, you will be harmed.

3. Real Estate Funds (FIIs)

Fiis are investment funds intended for investment in real estate.

In this modality, you can buy a part (share) of a property and receive a part of the rent from these investments every month.

How to adopt long-term thinking?

Thinking about the future and being a dedicated and hard-working person is one of the best ways to ensure comfort and peace of mind for your retirement or times of economic instability.

And to help you, we're going to give you some tips. Check it out:

Act in the present with the future in mind

When you set aside part of your money to form your financial reserve and invest, you are actually preparing for the future.

In other words, you are using part of your present to improve your quality of life in the future.

Make a list of long-term goals

To have more energy and willingness, it is important to identify the goals you want to achieve, whether they are personal or professional.

At this point, you should only worry about defining your objectives and organizing them in order of priority.

Then, you will need to plan and start taking action so that they are achieved, perhaps even before the “deadline” you set.

See mistakes as an opportunity

Surely, at some point, you will make mistakes.

This does not mean that your strategy should be abandoned, but rather modified.

In other words, mistakes indicate the path you should follow from now on and what not to do anymore.

All the knowledge acquired during a moment of failure and error can be used in the future to make good choices, even when it comes to financial investment.

Conclusion

There are several investments for the short, medium and long term. They all have their advantages and disadvantages.

But if you want to ensure the security of your retirement and peace of mind in the future, don't leave long-term investments aside.

We hope that with this article, you have cleared up some of your doubts about the best long-term investments and some of the steps that should be taken to teach your mind to think about the future, but without leaving the present aside!