Age Wise Investment Strategy: To become financially free, it is very important to start your investment journey at the right time. Starting savings as soon as you start your first job can give you great returns in the long run. However, the investment strategy should be changed according to age.
You can take more risks at a young age. However, with increasing age your needs also change. Therefore, changing your investment plan can also help you earn better returns….
right time to take risk
At the beginning of their career, people are in a position to take more risks regarding their investments. At this age, options like equity SIP are considered appropriate. By investing over a long period of time and getting the benefits of compounding, a large corpus can be built.
People often have less responsibilities in the initial stages of their career. Therefore this may be the right time to take risk.
Stability is important at the age of 30
As people reach the age of 30, their responsibilities increase significantly. People are more cautious about family and future. Along with SIP, schemes like NPS and EPF give you stability and also work to create a safety net for the future.
Safe investment at the age of 50
By the age of 50, your initial investment takes the form of a big corpus. At this time it is advisable to invest in safe schemes. There should be more focus on security than growth. Along with investing, one must create an emergency fund. So that you do not have to face financial crisis in times of trouble.
Disclaimer: (The information provided here is being given for information only. It is important to mention here that investment in the market is subject to market risks. Always take expert advice before investing money as an investor. ABPLive.com never advises anyone to invest money here.)
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