Before you get some excellent tips on how people can make their own personal investment criteria, you should know why they should do it in writing. One of the most important reasons is that it will help you in knowing whether a particular investment strategy is suitable for you or not, saving you a lot of time later.

It also helps you in comparing your strategies with the criteria of other investors. It makes you more focused, and helps you earn a great deal from them in the long run. You can go through your personal investment criteria documentation to see how far you have grown in your investments.

Personal Investment Criteria

- Make an investment only when you understand it fully.

- It is better to make your personal investment on a deal that involves low risk or medium risk.

- You should always try to invest into those fields in which you have some expertise as that saves a lot of time and energy. Also, the risk factor becomes less if you have some knowledge about the investment.

- If you plan to delve into a medium risk deal, make sure that you get a good cash return, somewhere between 15 to 40 percent, depending on the amount of risk involved.

- Always look out for various ways by which you can increase the value of your deal, like your skills in negotiating and planning out business strategies. Personal investments should be made on something on which you have good control over.

- You should always look at your comfort zone. Make your investment into a field with which you are comfortable and one that gives you a good feeling.

- See whether the person selling you the investment you are buying purchased it on his own or not. If he has not done it on his own, then you can invest into it.

- Always make sure that the deal is very good if you are leveraging your contacts for making your personal investment, or inviting others to contribute their resources to it.

- Work with those who are competent and experienced. Avoid novices.

- See whether a deal with other people is giving you an increase in value or not. If it does not, then you won't be getting a good return in the long run.

- The deal needs to be worth it as you are putting your money at risk. You must be able to get enough profit through your personal investment.

It is advisable that you make use of your accumulated equity every year to increase your asset base.

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