When it comes to choosing the right investment option, most people tend to avoid shares because of their complicated nature.
Investment options like property provide a more tangible benefit to your life, while shares come with more questions and a reputation of greater risk.
While building your own portfolio should depend on your individual circumstances, shares are actually a hugely valuable way to create more wealth in your future. There is a good reason why the wealthiest people own the most stocks; with a focus on long-term growth and access to the best advice, stocks and shares can have a huge impact on the ‘capital growth’ of your bank balance.
At My Wealth Solutions, we focus on making the complicated world of finance easy to understand and put into practice. Stock market investing is just one part of creating a bright financial future tailored to your needs, wants, and goals.
In a nutshell, shares allow you to invest your money across multiple industries and businesses at once, and a portion of them can be easily sold when and if you need to access the money held in shares. They work differently than investing in property – after all, you can’t just sell off a bathroom if you need to – but together, both types of investments can contribute to a bright financial future.
Why should you invest in shares? Look at the benefits:
It’s valuable for beginner investors to seek professional advice and have a picture of what share investing looks like, understand their risk tolerance, and ensure they have enough information to take the next step.
If you’re a more experienced investor, you might already believe that shares are a building block in a broader financial plan to achieve your financial goals.
We specialise in creating full-service financial plans, including an investment portfolio that is:
Shares are the ultimate form of flexible investment. With the right research and guidance behind you, you get ultimate control over which businesses you choose to invest your hard-earned money with.
Shares are also more liquid than investments like property, and a portion of them can be sold in the case of a financial emergency.
Shares allow you to invest your money across multiple industries at once, with those industries typically falling underneath the financial, resources, or consumer sectors. Shares are also global, meaning you have access to even more investment opportunities. By keeping your eggs in many baskets, you’re more likely to stay financially stable when encountering fluctuations in the market or economic downturns.
- Easy to get into.
Unlike investment properties, which require a substantial upfront cost, you can start to invest in shares as soon as you’ve saved up a little bit of money. In fact, using dollar cost averaging, we encourage you to invest small amounts of money regularly to take advantage of when share prices are lower and avoid excessive spending when they are high.
- Provide a regular income.
Larger companies on the ASX often pay out dividends to their shareholders, which allows you to claim a regular income based on your shareholdings.
- Tailored to your risk tolerance.
Your risk tolerance is based on the level of risk you are willing to accept, as well as what your financial situation may allow. A managed fund can be tailored, through the shares included, to match the level of risk you are comfortable with. The level of risk simply refers to the volatility of the shares you might include in your portfolio – our strategy nevertheless remains focused on long-term growth and not on timing the market.
- Backed by a successful investment strategy.
Our investment strategy is known as C.A.R.E. – and it is based on 4 buckets that we divide your investments into (Core Investments, Active Investment, Reserves, and Enhanced Returns). This strategy is straightforward, minimises your risk, and assists in diversification. It has also shown strong returns over time.
- Our investment philosophy is based on systematically investing fixed amounts to enable your portfolio to weather market fluctuations and provide steady growth.
Want to invest? These are your first steps.
So how do you start? My Wealth Solutions maps the best path into the share market for you, and can build a portfolio that works the best for your financial goals.
While shares, like any investment option, have their risks, with expert advice and guidance, they can become an essential part of your financial future.
Our team of expert financial advisors will be with you every step of the way and are always on hand to provide expert guidance whenever you have a question. That means you can rest assured knowing that your investment portfolio is in good hands.
To help you get started, we offer an obligation-free consultation with one of our expert investment advisors to lay the groundwork.