In this series, I share what Investing in line with your age is all about and why your age is important when setting your Investment strategy and making investment decisions in 2022.
Just like your goals, your investment strategy should change with the milestones in your 20s, 30s, 40s,50s and beyond.
What you aim to achieve in your 30s in many areas of your life including money wise is likely to be very different from what you want to achieve in your 50s.
The same strategy should not be used for every stage of your life.
To receive regular investment tips and money advice follow on instagram @investmyage.
You Need to Clearly Allocate Asset
Asset allocation is how you divide your investment portfolio amongst the various asset classess such as stocks, bonds, property, crypto etc.
The process of determining which mix of assets to hold in your portfolio is a very personal one. You should take into consideration your goals, risk tolerance, investment time frame and AGE when setting your asset allocation strategy.
Depending on Your Age You Can Take Different Level Of Risk
Often income increases in line with experience which often increases in line with age. While many of us are willing and able to take more risk our income sometimes limits us.
Wiith the invest my age challenge you commit to increasing your investment as your age, income and experience increases.
This way you don’t just use your yearly pay raise to cover expenses as you have to increase your investment every year.
Start Early. When is Early? Now is Early
I often hear people say I am too old now its too late – its never too late to start, you might not end up with as much as you would if you started at 25 or even 35 but you are guaranteed to end up with more than if you never started.
Also remember that the memories you make while young are what will make you smile well into your retirement so remember to have fun while paving the way to your financial freedom.
Consider Additional Factors Beyond Age When Making Investment Decisions
Your investment time horizon isn’t necessarily your age. It is how long you intend to hold your investments.
I started the invest my age challenge to encourage you and I to start now and enjoy long investment time horizon.
To receive regular investment tips and money advice follow on instagram @investmyage.
