Investing in stocks can be a powerful way to grow your wealth over time, but it is important to understand when and how to get started. The best time to begin investing is as early as possible, even with a small amount of money. This allows you to take advantage of compound growth, where your earnings generate more earnings over time. However, it is also essential to make sure you have a stable financial foundation first, including an emergency fund and manageable debt, before putting money into the stock market.

When it comes to how to invest, start by defining your financial goals and risk tolerance. Are you saving for retirement, a house, or a long-term goal? Based on your timeline and comfort with risk, you can choose between different types of stocks and funds. A common starting point is to invest in index funds or exchange-traded funds (ETFs), which provide broad exposure to the market and reduce risk through diversification. If you are interested in individual stocks, research the company’s financial health, industry position, and growth potential before investing.

It is also smart to use a brokerage account or investment app that aligns with your level of experience. Many platforms offer low or no fees, educational tools, and automated options like robot-advisors. Regularly investing a set amount, known as dollar-cost averaging, can help reduce the impact of market volatility and build discipline over time.

Lastly, stay patient. Stock investing is most effective as a long-term strategy. Markets can fluctuate in the short term, but historically they have trended upward over the long run. By staying informed, diversifying your investments, and avoiding emotional decisions, you will be better positioned for financial success.