Many people probably hold the opinion that investment is for the rich and for the over 50s. It’s a sad consequence of this that many people put off any plans to turn some of their savings into investments earlier on in life. So how old do you plan to be when you make your first investment? Why wait until you’re 50 to make your investment? The older you get, the more responsibilities you’ll have, and this means that actually, the younger you are, the better equipped you are to make investment decisions.
Straight out of Formal Education
Whether you’re a school-leaver with little work experience, or you’re a university or college graduate who’s ready to leave formal education and enter the world of work, you shouldn’t discard the amazing resources you have at your disposal at university to make some money. If you have a student loan or a part-time job, you might be able to save some of your money. With this, you could spend it on something that’s going to generate you an income.
Do you like music? If so, start a monthly night at your favourite club; if it goes well you could attract big names to your club and create a lot of money. Do you like technology? Why not come up with an idea for an app and pay a programmer to code it for you? If it goes well, your university or a technology company may invest and you could generate a salary from it.
In Your 20s
If you’re in work or you’re doing a postgraduate degree, it’s likely that you’re in your mid to late 20s. This means that you’re in a prime position to start making some extra money. If you’re interesting in global affairs, you could start dipping your toes into the foreign exchange or stock markets. If you’re afraid of losing money through trading inexperience, you can practice on a virtual trading platform like ECN MT5 from Alpari, which means you can get vital trading experience before you open a position in the real markets. You can start trading with $200, so you don’t need to put all of your savings on the line, either.
In Your 30s
Once you’re through with your 20s, you might be settling down into your career and becoming a little bit more responsible. As part of this, you might be ready to settle down. With the world’s property market on the up, now might be a reasonably good time to buy your own home – but if you’re financially savvy, you’ll take advantage of the price inflation and sell the house on following some renovation. If you don’t have the money to rent while you renovate your other property, live in it – you don’t need to stay elsewhere unless you’re doing major building work, and even then you could stay at a relative’s while the work is done.
Ultimately, you don’t have to wait until you’re near retirement age before you start investing. Your first investment comes when you’re prepared to stop resting on your laurels and get on with it.
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