Pathways to a prosperous future
Pathways to a prosperous future
We all look forward to creating a financially secure future. But how do you build security for tomorrow without sacrificing your lifestyle today – especially if you have a family to raise or a mortgage to manage?
There are many pathways to a prosperous future for you and your family. Your long-term strategy is likely to include everything from cash, managed funds and shares to the family home and your super. So it makes sense to follow the lead of the investment professionals and look at all your assets as a diversified portfolio.
By thinking about your assets as a portfolio, rather than a collection of separate investments, you can hone your strategy and make sure you’re getting the right overall balance between risk and return.
Getting the right balance
Most investors understand that there’s a trade-off between risk and return, with higher growth assets generally involving more risk. But what you might not realise is that the right mix of investments can give you better returns without driving up your overall risk. That’s because different asset types tend to rise and fall at different times, so the right combination can help you profit from the rises while cushioning the impact of the falls.
Your adviser can help you with how you should combine your assets to help achieve your objectives.
So it’s important to take a close look at all of your investments and think carefully about the role they play in helping you build your portfolio.
Investing in bricks and mortar
For many of us, the family home is a large part of our personal wealth – and we invest a large proportion of our income, and our lives, in paying it off.
The current record-low mortgage rates are a great opportunity for property investors, whether you’re looking to get a foothold in the market, grow your property portfolio or simply pay off your home faster.
But while property can be a great long-term investment, it is only one part of your portfolio. While it’s great to have a roof over your head, the value locked up in your home is hard to access, unless you plan to downsize down the track. Especially if you need funds in the meantime for things like
