Discover the dynamic interplay between savings and investments. Explore the factors impacting your financial decisions, from changing economic landscapes to evolving personal goals. Learn about ideal ratios, investment avenues, and the crucial role of adaptability in financial planning.
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“How much are you investing or saving? Has it reduced? Has the ratio of savings/investing changed? Where are you investing?”
(Original question on Reddit)
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How much are you investing or saving?
The amount you invest or save depends on your financial goals, income, expenses, and risk tolerance. Financial experts often recommend saving a certain percentage of your income, such as 20% or more.
Has that amount reduced?
The decision to reduce or increase your savings or investments may depend on various factors. Economic conditions, changes in income, unexpected expenses, or shifts in financial goals could impact your savings and investment strategy.
Has the ratio of savings/investing changed?
The ratio of savings to investing can change based on your financial objectives and market conditions. In general, it’s advisable to have a balance between liquid savings for emergencies and long-term investments for growth.
Where are you investing?
Common investment options include stocks, bonds, mutual funds, real estate, and retirement accounts. The choice of investment depends on factors like risk tolerance, time horizon, and financial goals.
Remember, it’s essential to regularly review and adjust your financial plan as your circumstances change. If you’re uncertain about your financial decisions, seeking advice from a certified financial advisor is recommended. They can provide guidance tailored to your specific situation and goals.
Hope this helps.
Regards, Clive Fernandes (Financial Adviser)
Director – National Capital
Disclosure: I am the director of National Capital, a KiwiSaver advice firm. The views expressed in this article are the views of the author. The information provided is of a general nature and is not intended to be personalised financial advice. You may seek appropriate financial advice from a Financial Adviser to suit your individual circumstances or contact National Capital.
