RISE & Shine!

It’s Another Great Day To Learn About Investing

Last week we covered the fundamentals of angel investing, from what it is to why having more female angel investors not only grows your own wealth, but can open doors for other women entrepreneurs as well.

Investing in a new company or startup at its infancy means that a female’s perspective will be considered from day one, encouraging the support of women-backed initiatives and furthering the chances of the companies success!

In this week’s newsletter we are focused on the ‘how-to’ of angel investing. We will teach you how to decide which investment approach is right for you, and break down the first steps to getting started as an angel investor!

Choose Your Investment Approach :

Solo Investing: As the name suggests, this is a lone endeavor. You, as an angel investor, seek out promising startups, carry out due diligence, negotiate terms, and eventually invest. This requires a substantial amount of time, knowledge, and networking.

Online Angel Investment Platforms: There are numerous online platforms and digital marketplaces that connect startup companies with angel investors. These online platforms have begun to make the process of angel investing more accessible to a broader range of investors, creating more opportunities for startup owners. Through these platforms, you can register as an angel investor, discover opportunities, facilitate transactions, and directly manage your investments.

Angel Groups: For new investors seeking to distribute their workload, angel groups can be an excellent choice. In these groups, individual investors pool their resources to invest in startups. The due diligence process is shared, and investment risk can be mitigated by investing in a diverse array of companies, typically between 12 and 25. You can find angel groups in your city or state with a quick Google search or through the Angel Capital Association.

Angel Funds: Angel Investment Funds blend the approaches mentioned above. Led by an experienced investor, Angel Investment Funds gather funds from angel investors, typically requiring a minimum of $25,000, and then oversee and manage the entire investment process from pitch to exit. Fund managers subsequently share the profits with the investors as the fund matures.

_{Now that you have decided your investment approach, let's look at the first steps you can take to become an angel investor!}

How To Get Started

1. Evaluate Your Financial Situation
   
   Angel investing inherently comes with a bit of risk, and it’s an option best suited if you have a significant amount of disposable income ready to invest. To become an accredited investor through the SEC (Securities and Exchange Commission), you have to earn over $200,000 a year, or have a net worth of over $1 million.

2. Education and Research
   
   Educate yourself about the process of becoming an angel investor, as well as the industry you are interested in investing in.

3. Join an Angel Investor Network
   
   Find an angel investor network and community to join, this can be a national group like AngelList, or a local group for your city or area. These networks help you learn about potential investment opportunities and offer you support in the form of due diligence, negotiation, and ongoing management of investments.

4. Start Small and Diversify
   
   As a beginner, it's generally a good idea to start with smaller investments until you have more experience. It's also important to diversify your portfolio to lessen the risk, so look into a variety of industries and companies before putting all your money into one start up.

5. Due Diligence
   
   This is the process of researching and verifying a company's claims before investing. This could involve examining the company's financial statements, business plan, management team, and market size. It's also a good idea to understand the company's product or service and its potential for growth.

6. Legal Assistance
   
   As always, we recommend getting legal advice to help you navigate any new investment process. A legal advisor can review and negotiate investment terms for you, as well as help you understand your rights and responsibilities as an investor.

_{Remember, angel investing is not a get-rich-quick solution to investing.}

It requires patience, diligence, and an understanding of the industry, entrepreneurship, and risk management.

^{However, it can be a rewarding way to support female entrepreneurs and potentially earn significant returns in the future!}

SUPERWOMAN SPOTLIGHT

Joanne Wilson, also known as Gotham Gal, is a prominent angel investor known for primarily backing female-founded companies.

She began investing in 2007 when she started the entrepreneurship blog, Gotham Gal, which later evolved into her investment fund. One of her first investments was in a startup called Curbed, which was later sold to Vox Media.

Today, Joanne's portfolio includes more than 100 women-backed companies, and she continues to educate and support female entrepreneurs through her work

FINANCE IN THE NEWS

Scaling Down Big Tech

The Nasdaq-100, a stock market index that tracks the largest tech companies on the Nasdaq stock exchange, went through a rebalancing this week after a few of its largest tech companies began to outside the index fund.

The goal of this rebalancing is to reduce any corporations that collectively exceed 4.5% of the index but represent over 48% of the index's total weight, trimming them back down to 40% of the index. This type of rebalancing doesn't happen often, but this shift has more investors looking towards tech stocks again.

AMC Faces Courtroom Blues Among Box Office Boom

Box offices are bustling with the dual release this week of the Barbie movie and Oppenheimer, sparking a trend of dual screening events termed "Barbenheimer". Amid this viral box office weekend, AMC stocks experienced a 20% surge on Monday following a court ruling that blocked AMC's attempt to convert preferred equity shares (also known as APEs) into regular AMC shares, providing an excellent opportunity for investors.

While revenue for the movie theater chain remains below pre-pandemic levels, the attendance of 7.8 million moviegoers at AMC for the Barbenheimer premiere over the past weekend is sure to give the company a much-needed lift.

Next Week’s Sneak Peek:

Next week we are introducing you to Index Funds, a cost-effective and straightforward investing strategy that is great for new female investors. We will be breaking down what Index Funds are, and how you can get started!

@risethemovement

www.risethemovement.com

Regardless of whether you are scared to take the first step or you are ready to dive right in, there's an Investment strategy perfectly suited for you.

At R.I.S.E we are committed to guiding and supporting women investors at every stage of their investment journey because we believe the key to success lies in education and informed decision-making

^{_{R.I.S.E. the Movement is an educational platform designed to provide informative resources and foster discussions related to personal finance and investing. We are not registered financial advisors, and the content presented on our platform should not be construed as investment advice. Any information shared or discussed on this platform is for educational purposes only and should not be considered as a substitute for professional financial advice. It is important to conduct thorough research and consult with a qualified financial advisor or professional before making any investment decisions. R.I.S.E. the Movement does not guarantee the accuracy, completeness, or reliability of the information provided, and shall not be held responsible for any actions taken based on the content presented. By engaging with R.I.S.E. the Movement, you acknowledge and agree to release the platform, its creators, and contributors from any liability arising from your use of the information provided.}}