Today is a good era to be alive! As more and more things are discovered, more people are learning to adapt to the high tech society. Millennials are becoming more open to new opportunities offered by the advancing technology–investing is one. Though millennials are not as reckless as other earlier generations, they are conservative bunches of investors. I am not surprised why the generation Y chooses to be less aggressive. You may be at the point in your life where you enjoy spending for your wants. But, is it really the practical way to lose your money? To spend for the things that you will not be needing in the next 5 or 10 years? If your goal to is become financially free at the age of 30, here are my top 4 investing tips for you millennials.
Catch me in my live training events! (quick plug)
The heart of why I do this seminars is I want to build a generation of Filipinos with the right foundation in stock investing. I want to bring smart investing to every Filipino around the world! If you would like to know more on how you could time the market checkout the trainings below.
Investing Insights (Dubai) – March 1, 2019
Stock Smarts Manila — March 9, 10, 16, 17 & 23, 2019
Stock Smarts Cebu — April 6 & 7, 2019
Investing Insights Japan – April 13, 2019
Stock Smarts Singapore — May 18 & 19, 2019
Investment Conference 2019 – May 25, 2019
Stock Smarts Iloilo – July 6 & 7, 2019
Stock Smarts Cagayan De Oro – July 20 & 21, 2019
Stock Smarts Hong Kong – August 11, 2019
Stok Smarts UAE – August 30 – September 3, 2019
Stock Smarts Qatar — October 3 – 6, 2019
Stock Smarts Taiwan – November 2, 2019
Regardless of your age or the money you have right now, today is the time to invest. I always consider time as the greatest factor when investing. For you millennials, you have so much time to grow your money. Imagine this- if you start your investment as early as your 20s, your next 10 years is going to be your wealthiest peak. Don’t worry about the amount. You can invest for as low as P50 and buy shares from big companies. In the next couple of years, your money will still lush if you choose the right kind of investments.
Don’t risk your money by putting it all in one investment. I always tell this to everyone– if you want to be a rich investor, diversify. Portfolio diversification is a good strategy for those who want to become successful in investing. There are many ways for millennials to diversify their investments. You can invest 25% on stocks, 25% on commodities, 25% on mutual funds, and the rest on bonds. It is one way you can minimize the risk if ever one of your investments go down. It is also good if you want higher returns.
Time is essential and the more you let your investments sit, the more it can grow. Let me tell you this- the secret of veteran investors is that they let time multiply their savings and investments. They let their money compound until it reaches millions to billions. A good example of compounding is letting your 10,000 with 10% returns sit there for 10 years. On its first year, it will grow to 11,000. At the end of the second year, it will be 12,100. Compounding your money in a long period of time can make you a millionaire even before you retire!
If it’s your first time to invest, it’s overwhelming to see volumes of investment options out there. You need a financial advisor who has years of experience in investing to get you rational and unbiased advises on what and where to buy. Having a good financial advisor is one means you can protect your financial health knowing that you are still starting to understand the investment market. And as a starter, I recommend you to read investment books and attend seminars to expand your knowledge.