I definitely think people are starting to understand the value of investing in the sharemarket because of the power of compound interest. Australians are realising that leaving their money stagnant in a savings account earning them 2% interest is not going to help them create wealth over the long term. They’re also making the most of the suite of new options available to them such as micro-investing platforms which give people a taste of what the sharemarket is like without committing to it. I think it’s also starting to click with people that investing isn’t like gambling and it’s not a get-rich-quick scheme – it’s a long-term strategy.
You might have heard of the saying ‘a man is not a financial plan’ and I couldn’t agree with that statement more. It’s important we educate ourselves and take charge of our finances so that we can look after ourselves in the future because you just never know how things in life will pan out. If we’re on top of our money and understand our investments and know our strategy back to front then we are going to be in a much better position if our relationship breaks down and we have no idea what our financial position is.
Micro-investing is a great place to start – you can use apps like Raiz or Spaceship or you can take a step beyond that to platforms like Sharesies which allow you more control by enabling you to buy fractions of a share in companies and ETF’s. These types of platforms allow you dip your toe in the world of investing without you needing to commit much in the way of finances or effort. Complement this with reading, listening and talking to gather as much information as you can and when you’re ready, consider talking to a financial advisor who can help you establish an investment plan suited to your risk profile (the amount of risk you and your finances can withstand). It’s not something you need to rush into and there’s no point investing in shares without having a plan, so take the time to educate yourself before you start on your investing journey.Tag: online earning sites without investment