Medscape outlined the top investing mistakes physicians make and how they can avoid them.
Three things to know:
1. Stocks. Whether it's day-trading, buying high and selling low or investing in penny stocks, physicians can avoid losing money by researching a company's financials before investing.
2. Business startups. Physicians surveyed revealed they had invested in business startups that eventually failed, such as green energy companies, restaurants and medical businesses. To avoid these bad investments, physicians should refrain from investing large sums of money in businesses up front and do their homework before investing.
3. Rental properties. Even though buying a property and renting it out sounds like a safe and appealing investment, dealing with flaky, destructive tenants and decreasing property values can make real estate a bad investment. Before investing, physicians should evaluate whether they have the time or resources to look after tenants.