canada goose The 4 factors to consider before investing, according to former Wall Street executive Sallie Krawcheck Emmie Martin Nov. 28, 2016, 1:30 PM Choosing where to invest doesn’t have to be confusing.Blanca/FlickrMutual funds. Index funds. ETFs. Confused? You’re not alone. For first-time investors, the finance world can seem chock-full of complicated jargon. But don’t let that deter you from entering. “If you wait until you feel like you know enough, you’re going to wait your life away, I promise you,” Sallie Krawcheck, a former Wall Street executive and founder and CEO of Ellevest, told Business Insider. “If you wait until everything is perfect, you’re losing money. By keeping your money in the bank you’re actually going backwards on an inflation-adjusted basis. You’re losing money every day.” So start investing! Which begins with choosing exactly where to put your hard-earned cash. Deciding on an investment firm doesn’t have to be an overwhelming process. Krawcheck says you should consider four straightforward factors before handing over your money: fees, whether or not it’s a fiduciary, who works there, and the approach they take. Let’s break those down: Fees: Look for a company that will provide you with low-cost investing services. Krawcheck says that keeping fees below 1% or 75 basis points, which are equal to one one-hundredth of a percentage point, is a good place to start. Fiduciary: “A fiduciary is obligated to put your interest ahead of theirs,” Krawcheck says. Choosing a firm that’s also a fiduciary guarantees that they’re doing what’s best for you and not manipulating your money for their own gain. Experience: Consider the experience level of the people who are running the company parka , particularly the chief investment officer and the chief compliance officer. “These are the ones who make sure that the companies are following the regulations and the rules,” Krawcheck says of the CCO. “They are charged in some ways with that perspective, keeping clients safe.” You want to be able to trust the people who are handling your money. Approach: Your opinion matters too ferienhaus-starnberger-see.de , even if you’re inexperienced in the world of finance. So ask yourself, ‘Does this firm approach investing in a way that makes sense to me? Are we working toward the same goals?’ Stocks, mutual funds, ETFs — it doesn’t matter which approach you choose, as long as it clicks for you. Bottom line: The worst investing mistake you can make is opt out entirely, according to Krawcheck. Even if you only have $100 to spare, the earlier you invest the sooner you can take advantage of compound interest, which is when the interest earned on an investment earns interest on itself. That means a little money contributed today will ultimately earn more than a lot of money contributed tomorrow. “Just do it, just do it, just do it!” Krawcheck says. SEE ALSO: The 'bad' money advice people need to stop taking, according to former Wall Street executive Sallie Krawcheck DON'T MISS: The No. 1 sign you can't afford to buy a home NOW WATCH: Watch Apple unveil the new iPhone XR, XS, and XS Max canada goose parka