Successful investing is a slow and steady journey. It requires patience and dedication over the long term. The good news is that the longer you invest, the greater the opportunity to grow your savings.
A sound understanding of your investments will serve you well on your path to long-term financial health.
Here are four tips to help you manage your investments over time:
• Choose your investments based on when you expect you will need the money. Different investment funds are designed to meet different timing needs.
• Invest your money in a variety of asset types. This could include equity funds, bond funds and money market funds from a variety of sectors, such as financials, healthcare and technology. This investment technique is called “diversification” and can soften the impact of any major changes in the market.
• If you need to withdraw money earlier than planned, take it from an investment that does not charge a penalty for early withdrawal.
• Review your investments regularly, especially if you experience a major life change. Make adjustments that reflect your changing life goals.
When it comes to investing, it's important to start early and take the steps needed to build your confidence. A financial advisor can help you invest over time, teach you better saving habits and prepare you for retirement. When it comes to your financial future, you don't have to do it alone. Find more information online at investorcentre.ific.ca/