step 1

Where do you want to be?

If you’ve got money to invest, you’ve no doubt thought about your financial future, but a great first step is to try and pin-point exactly where you want your investment to take you.

Are you aiming to achieve a massive return, retire early and live in the lap of luxury? Or are your goals more modest – do you want to spend your after-work years in relative comfort, able to provide for your family, as well as your aged care needs later in life?

The fact is, once you get beyond the dollars and cents, and establish a clear picture of what you want out of your investment, you’ll be more motivated to hone your strategy and stay on track to reach your goals.

step 2

Know your appetite for risk

Now that you know where you want your investment to take you, you’ll need to think about how much risk you’re willing to tolerate.

Traditionally speaking, the reward for taking on greater risk is the potential for increased return on your investment.

If reaching your investment goal requires a higher rate of return, you need to accept that you may have to open yourself up to more risk. This type of investment will typically include higher risk asset categories such as stocks & bonds.

On the other hand, if you’re looking to restrict your risk, you may choose to look at cash-based investments, such as Term Deposits. Investments of this type are however subject to inflation, with the risk here being that inflation may outpace and erode your returns over time.

 

step 3

Use online tools

If you’re tech-savvy, and are after some investment advice that’s a bit more tailored to your circumstances, there are a range of online tools that can help you zero in on the right investment for you.

The Greater Bank Financial Planning Tool can help – click here to get started.

  1. Q & A

    Answer a couple of simple questions about your financial circumstances and goals.

  2. Know your options

    We’ll present you a range of options on how we can help you make your financial future brighter.

  3. Next steps

    If you’re interested, book an appointment on the spot to meet with an expert and get started.

step 4

Get expert advice

If you’re beginning to get a feel for the right type of investments you’ll need to achieve your goals, but you’d like a second opinion, or to ask a few pertinent questions, it never hurts to consult an expert.

At Greater Bank, we’ve partnered with Bridges, an Australian industry leader in Financial Planning, for just this purpose.

step 5

Consider an appropriate mix, and stay in touch

As the old saying goes, everything in moderation. The same thing applies to your investment portfolio. Getting the mix right is key.

Relying on a single investment stream can be particularly risky, as if market conditions change, you may not have a back-up plan in place to able to absorb any losses.

By speaking with your expert Financial Planner, and making sure you have the right investment mix, you can remove the ‘single point of failure’ scenario. What’s more, by diversifying, you’re then able to include a portion of your investment for asset categories with higher risk, meaning your return can be higher.

Make sure to stay in regular contact with your Financial Planner about whether your investment mix is right for market conditions, and keep track of how you’re progressing on the road to the return you’re after.