Getting started with investing doesn't require mastering everything from day one. It's mainly about understanding the basics before going further. That's exactly what this article sets out to do.
Before you invest: the foundations
Getting a clear picture of your situation
Before choosing an ETF, a platform, or a strategy, a more fundamental question needs answering first: what's your actual starting point?
The starting point begins with knowing how much you earn, but also how much you spend. It's just as essential to know whether any savings already exist, and if so, how much. Without this initial map, any investment decision rests on guesswork.
The AdvisorOne Financial Diagnostic supports this first assessment, with no jargon and no commitment.
Having an emergency fund
Investing money you might need in the coming months exposes you to a very uncomfortable situation: being forced to sell at the worst possible time, precisely when markets have dropped.
Before making any investment, the priority is to build a reserve covering 2 to 3 months of regular expenses in an accessible, liquid account. Not invested, not locked away. Available.
This safety reserve isn't meant to generate returns. Its role is simply to be there when needed. It lets you get through an unexpected expense, a period of professional uncertainty, or a temporary market downturn without touching your long-term investments. This fund gives you the freedom to invest with peace of mind, without panicking at the first sign of turbulence.
Understanding what to do before doing it
Don't confuse investing with speculating
These two words are often used as if they meant the same thing. They don't.
Long-term investing rests on a logic of gradual construction: buying diversified assets, holding them over time, and letting economic growth do its work over years or decades. Short-term fluctuations are normal when investing. What matters is the strategy followed over several years.
Speculation seeks to profit from short-term price movements. Numerous academic and institutional studies show that active trading is difficult to make consistently profitable for individual investors over the long run. Transaction costs, emotional biases, and the difficulty of predicting markets all make this approach hard to sustain profitably over time.
These two approaches aren't meant for the same people, don't require the same skills, and don't produce the same results. For someone new to investing, understanding this distinction is key before opening an account.
Understanding your relationship with risk
Every investment decision rests on two personal variables that no one else can define on the investor's behalf: risk tolerance and time horizon.
Risk tolerance is the real, not theoretical, ability to watch your portfolio lose 20, 30, or 40% of its value without selling in a panic. This ability varies from person to person depending on financial situation, temperament, and clarity about one's goals.
Time horizon is the length of time invested money can stay in place without being touched. Over 20 years, a market downturn represents a buying opportunity. Over 2 years, it can become a real problem.
Strategy flows from these two factors. Choosing tools, allocation, or investment pace comes afterward.
The first accessible tools for beginners
ETFs as an entry point
Among all the instruments available today, ETFs are widely considered the most suitable for someone just starting out, for three specific reasons.
Diversification first: a single global ETF can give exposure to hundreds, sometimes thousands, of companies at once, across many countries and sectors. The risk tied to any single company or market is mechanically diluted as a result.
Fees next: unlike actively managed funds, ETFs simply track a market index. ETFs typically carry fees between 0.05% and 0.30%, compared with 0.80% to over 2% for some actively managed funds. Over several decades, this difference can add up to tens of thousands of francs.
Accessibility last: it's possible to start investing in an ETF with just a few dozen francs a month, with no prior expertise required.
Our article "What Is an ETF?" explains in detail how they work, along with their advantages and limitations, simply and without jargon.
In Switzerland, ETFs can be included in pillar 3a through solutions like Finpension or VIAC. In 2026, employees affiliated with a pension fund can contribute up to 7,258 CHF per year to their pillar 3a. This contribution is deductible from taxable income and can save several hundred, sometimes even more than a thousand francs in taxes, depending on the canton and income level (source: Federal Tax Administration, FTA).
Investing gradually (DCA)
A straightforward alternative to the question "is this the right time to invest?" is deciding to stop asking it.
DCA (Dollar-Cost Averaging) means investing a fixed amount at regular intervals, regardless of what markets are doing. When markets drop, the same amount buys more shares. When they rise, those shares gain value. Over the long run, the average purchase price smooths out naturally.
With this method, it becomes easier to stay consistent with your investments, without following financial news every day or trying to find the perfect moment to act.
Mistakes to avoid as a beginner
Following trends and social media
Social media has made one thing particularly difficult: telling useful financial information apart from a narrative built around an exceptional success story.
Someone who tripled their capital in six months is happy to talk about their method. Someone who lost 60% following the same logic talks about it far less. This visibility bias creates a significant distortion: only success stories circulate, giving the impression that everyone is winning easily.
A sound investment strategy depends on each person's financial situation, time horizon, and risk tolerance. These factors are never the same from one person to another. The best investment strategy for a beginner is the one they understand, can stick with over time, and that fits their own situation.
Wanting to move too fast
Long-term investing requires patience above all.
Meaningful results build up over years, sometimes decades. Trying to judge whether a strategy is working after a few weeks or months means evaluating an investment on a timeline that isn't its own.
This impatience often pushes beginners to change their approach too frequently: selling during downturns and buying back during upturns, which is exactly the opposite of what a rational strategy would recommend. Setting a clear direction and sticking to it, even when markets move the wrong way, is one of the most valuable skills a beginning investor can develop.
Not learning before getting started
Learning to invest doesn't require years of study. It requires understanding the decisions you're making with your own money.
Knowing what an ETF is and why its fees affect long-term returns. Understanding what it actually means to diversify a portfolio. Grasping the logic of compound interest over 15 or 20 years. These fundamentals aren't reserved for finance professionals. They're accessible to everyone, and they genuinely improve the quality of the decisions you make.
AdvisorOne Academy's Foundations Path, available for free, is built around this exact idea: helping everyone develop a concrete understanding of their finances and their first investments, at their own pace.
In conclusion
Getting started with investing isn't reserved for experts, heirs, or people waiting until they have "enough" to begin.
The approach follows a specific order: understand your real financial situation, build a safety net, learn the fundamental mechanisms before acting, then choose simple tools that you understand and that fit your goals.
No one becomes an investor in a single day. But everyone can start building good habits today.
Ready to lay the first foundations? Discover AdvisorOne Academy's Foundations Path, free and at your own pace.
Frequently Asked Questions
How much money do you need to start investing?
Much less than most people imagine. Some platforms let you start with 20 to 50 CHF a month. What matters more than the starting amount is consistency and duration. A modest but regular investment over 20 years often produces better results than a large sum invested irregularly.
What's the difference between saving and investing?
Saving means setting money aside in a secure, liquid vehicle, with a low but predictable return. Investing means putting money into assets with higher return potential, along with a degree of risk. Both serve different needs: saving for the short term and unexpected costs, investing for building wealth over the long term.
Can you invest without taking any risk?
No. Every investment carries some degree of risk. What varies is the level of risk and how it's managed. Diversification and a long-term investment horizon are the two main levers for reducing risk exposure without giving up return potential.
Do you need a financial advisor to get started?
Not necessarily right away. An advisor becomes useful once your financial situation is complex enough to justify one. Building your own financial understanding first allows you to make more informed decisions, whether or not you choose to delegate them. AdvisorOne Academy's Foundations Path is designed exactly for this stage.
What's the best investment for a beginner?
It depends on each person's financial situation, time horizon, and risk tolerance. Diversified ETFs are generally cited as a suitable entry point: simplicity, low fees, accessibility. In Switzerland, pillar 3a in securities allows you to combine long-term investing with a tax advantage, making it a relevant option for many profiles.
The information presented in this article is provided for informational and educational purposes only. It does not constitute personalized advice, investment advice, or an offer or solicitation to buy or sell financial products.
Any investment decision should be made after a thorough analysis of your personal situation, your objectives, and your risk profile, and may require the advice of a licensed financial advisor.
Past performance is no guarantee of future results. Investments carry risk, including the risk of capital loss.
Les informations présentées dans cet article sont fournies à titre purement informatif et éducatif. Elles ne constituent en aucun cas une recommandation personnalisée, un conseil en investissement, une offre ou une sollicitation d’achat ou de vente de produits financiers.
Toute décision d’investissement doit être prise après une analyse approfondie de votre situation personnelle, de vos objectifs et de votre profil de risque, et peut nécessiter l’avis d’un conseiller financier agréé.
Les performances passées ne garantissent pas les résultats futurs. Les investissements comportent des risques, notamment le risque de perte en capital.