Grow your wealth

Growing your wealth is all about knowing how much money to invest and where to invest it too. It’s a process that realises small decisions today can have a huge impact on tomorrow. Superannuation is definitely the first place most people look to grow their wealth, but there are plenty of other options too! In fact, spreading your investments across a number of areas can actually help minimise your risk.

Capital growth investments

When we refer to capital growth investments, we’re talking about things such as property and shares. These are the types of investments that can rise and fall in value over time but usually outperform other investments. Knowing the right place to invest can be confusing and complex. That’s why working with a financial advisor is so important.

Shares

Shares are more flexible than property because they can be sold off in smaller batches if you need emergency funds. They’re a bit more volatile though, and that means they can lose their value over time.

Property

Property may be less volatile than shares, but prices can still fall. Rental income isn’t always a guarantee either. Unlike shares, you also can’t sell a portion of a property to free up your cash and sales usually don’t happen overnight!

Managed funds

When you invest in managed funds, your money is pooled together with other investors and managed by a qualified investment professional. This is a safer pick for some people because it means their money is in the hands of an expert.

Interest-bearing investments

Interest-bearing investments refer to investments like savings accounts and term deposits. These are usually simple and low risk. The trade-off is that they usually have a lower interest rate and there are no capital gains or tax benefits, which means you might not make as much in the long run.

When it comes to growing wealth, the right solution looks different to everyone. Knowing where, how, and when to invest your money isn’t a guarantee either. It’s about weighing up the risks and making calculated decisions.

Whether you’re on day one or deep into your wealth-growing journey, we always recommend that you talk to an expert to discuss your unique situation.