Practical Tips for the Below-30 Investor

The late 20s is a great life stage to be in. You’re mature enough to define priorities yet still young enough to have some serious fun (once in a while). At this age, you’ve probably sworn off sequined “clubbing” tops and flaming red hair. The company you keep now is also the kind you’d want to keep forever.  Not rowdy strangers you’ll feel weird being with the next day.

But probably the best thing about being 26 or 28 years old is financial independence. By this time, you’ve worked long enough to have gotten promoted. This means better pay and more options. You have the purchasing power, which you can use and abuse.


However, if you’re the frugal sort, there should be enough money in your account to devote to investing. Like most people, you’re probably looking at a comfortable retirement. If so, now’s the perfect time to start!

Below are some tips to help you reap the right rewards from your chosen investment:

Educate yourself

If you’re eyeing to invest in stocks and bonds, it’s best to know what you’re getting into. Yes, you may enlisting the services of a financial adviser. But it’s best to stay on top of things. Educate yourself about the stock market. Take the time to research and understand the business you plan to invest in. Be familiar with the process and determine the cost involved.


Save rather than spend

You may have money now, but that might not be enough for the investment option you’re eyeing. Save up to increase your funds and enable yourself to build a diverse portfolio.

Get to know taxes and inflation

Most investors are so focused on the gains. So much so that they forget to take into account how taxation and inflation could affect their returns.

Know what taxes you’ll need to pay for. Study the rise and fall of future inflation. Having a good grasp of these concepts will save you much grief.

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