It’s no secret that we age as time passes by. For this reason, many young people make the most of their lives by spending their time doing activities such as partying and immersing themselves in their hobbies. However, being young also entails being prepared for the future. In a place like Australia, one perfect way to secure your future is by making investments.
Investments in Australia are often made because of the attractive returns. The good news is that there are a lot of investments that you can make to secure your future, which are available to those who can do so. Even better is that the investment process is relatively easy, and young people can easily understand how it works.
Here are some of the best investments young people in Australia can make today:
#1 – Shares
Shares are present in any company, and the value of the share will increase as soon as the company can grow. Buying shares will give you something to look forward to as you get older, especially if the company that you’re buying the shares of grows.
However, buying shares is a long-term investment, where you’ll need to wait a few years before you can see any sort of return. As such, patience must be exercised when investing in shares.
#2 – Exchange-Traded Funds
Exchange-Traded Funds (ETFs) work the same way as shares owned by a company. The difference is that ETFs are traded in an exchange, meaning that they can give you a quick return on your investment once you purchase them. However, they can also give you a long-term return as the company grows, depending on the type of ETF you buy.
An ETF is quite a versatile investment vehicle. Still, you’ll need to take note that many ETFs are available on the market today, and some of them can resemble more of a potential disaster than the potential of a good opportunity. This is why you’ll need to do some research before deciding to invest in an ETF, especially if it’s your first time doing so.
#3 – Property
Property is perhaps the best investment anyone can make. This investment vehicle is still a favourite even in this day and age, especially among young people looking for a way to set up a foundation for their future.
However, investing in property can be an intimidating experience, and not many young people can have the opportunity of investing in one. Luckily, there are many reasonable housing options, perfect for those still starting.
#4 – Superannuation
Investments made through superannuation are common due to the tax incentives given to people. The great thing about superannuation is that the minimum amount you can invest is just $1. This makes it the perfect investment for young people where the future is concerned.
What’s even better is that superannuation will give you the time to grow, though you’ll need to wait for a few years before seeing any returns. This gives you some time to think about what you want to do in the future, and it also gives you the time to enjoy your life while you’re still young.
#5 – Managed Funds
Managed Funds are pretty similar to ETFs because they can give anyone a quick return while they wait for the future to come. The advantage that managed funds have over ETFs is that they can secure a long-term return, which means that the money you set aside will be secure even if you’re not around.
Many managed funds are available today, meaning that it’s pretty easy for young people to have one and to have them invested in a company that will grow. However, there are also managed funds that might not give you a good return, so you’ll have to have a bit of research about them first.
#6 – Term Deposits
Term deposits are a good investment because they can guarantee a return. However, these returns aren’t very high. Term deposits will ensure that you have the funds available to you when you need them, though they can be withdrawn through a specific interest rate depending on the type of term deposit you have.
#7 – Cryptocurrency
In the present day, cryptocurrency has attracted the attention of many people. It’s indeed a speculative investment that can give you a decent return. However, it’s also true that it can lose its value in the near future. How you use your cryptocurrency depends on your own discretion, but the fact is that cryptocurrency is starting to be more accepted in the market today. If you’re looking to invest in cryptocurrency today, you must proceed carefully.
Conclusion
Young people can have a hard time thinking about the future, especially since they’re still enjoying their lives. However, the reality is that young people should make investments now since they will be able to enjoy their lives even in the future with their savings. Investing can be easy, but you’ll need to research to find the suitable investment that will work for you.
If you’re looking for financial advisors in Gold Coast, New Wave Financial Planning has got you covered! We provide various services for our clients, such as building wealth, superannuation advice, estate planning, and retirement planning to ensure that you have secure finances for the future. Reach out today for a consultation!
