Oct 21, 2019  | Tags: Investment

Our Insights

If you’re a young investor, then you’ve got time on your side. Use these tips to make the most of your investments and grow your wealth for the future.

Make sure your finances are in order

As a young person, you probably have expenses and a limited amount of income. You’ll earn more as you gain professional experience, but you might be currently burdened with a low-paying job, credit card debt and possibly even the expenses of raising a young family. There’s just not a lot of free cash for you to invest.

Arrange your financial affairs so that you are on top of your debts and have something tucked away for emergencies. Whatever you can spare after taking care of those financial responsibilities is fair game for investing.

Do your research

Investing involves much more than just putting your money in an account and leaving it there. You have to actively monitor the investments you make. It takes a measure of wisdom and experience and common sense to know when it’s time to pull out of an investment or sell a stock. By educating yourself on practical investment strategies, you can make smart decisions with your money and lower your risk of suffering a loss.

Set some financial goals

If you want to buy a new car or reach some other short-term financial goal, then investing isn’t the right way to do it. You’ll be better off with a basic savings account if that’s all you want to do. 

To make a success of investing, you need to think bigger.

You need to set financial goals for ten, twenty and even thirty years down the road. Think about funding an early retirement, affording a house and paying for your kids’ education. 

When you have concrete goals for your long-term finances with deadlines, you’ll be better equipped to choose the right investment options.

Be prepared to stick it out for the long haul

Although investing is a great way to grow your wealth, it won’t make you rich overnight. You have to be prepared to play he long game, potentially for years, in order to make a success of investing. This requires both patience and self-control.

That’s why it’s so important to make sure that your finances are in order before you start investing. If you end up swamped in debt or find yourself suddenly unemployed without a financial fallback, then you won’t want your money to be locked up and inaccessible in an investment.

Get early advice

The most important thing you can do is get advice from experts, as soon as possible. At CWM, we'll help you build a strategy in line with your goals and guide every step in your investment plan.There’s no time like right now to start investing in a secure financial future!

Talk to the team at Calder Wealth Management. Call us on (08) 8373 3333 to schedule your free initial appointment. 

Written by Ben Calder at Calder Wealth Management.