facebookHi, I am thinking of investing $500 every month. What are some good options for investment? My goal is to start saving for retirement as I’m nearing 40 but it’s better to start late than never right? - Seedly
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Anonymous

Asked on 01 Mar 2020

Hi, I am thinking of investing $500 every month. What are some good options for investment? My goal is to start saving for retirement as I’m nearing 40 but it’s better to start late than never right?

What are some good investments for me at my age?

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16 answers

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Answers (16)

Summer

Summer

Level 5. Genius

Answered on 12 May 2020

Accumulate once every 3 months and put it into a S&P 500 ETF quarterly! The historical returns are 10% and I would say it is much better than saving bonds

2

Frankie Rappaport

Frankie Rappaport

13 May 2020

Best advice

Summer

Summer

13 May 2020

Thank You!

Thank You!
Can you clarify
I wonder if
This is so helpful 👍
What about

Post

Penny Chong

Penny Chong

Level 5. Genius

Answered on 11 May 2020

It's good that you are starting out now. Good job :)

My advice is that its importance to increase your financial knowledge first and understanding your personal risk appetite! This would require some effort put into research and self-reflection.

Some questions: "Am I investing in hopes of realising it all in the future to fund my child's future education/buy a house?" or "Do I want it to be an alternative source of annual income that can come in terms of dividend?" 

Important thing now is do not rush into buying popular stocks now just because they're cheap. You need the financial knowledge first to pick good stocks and evaluate them yourself. The notion of what goes down will come up worked in the last recession but this one seems to be an unpredictable battle to be honest.

I would recommend investing 50% in a market portfolio like S&P500 ETF as it historically yields 10% return and has a general upward trend. Another 50% can be other individual stocks that you like and see a potential of 10% return. Diversification is always important. There is no reward for bearing unnecessary risks. 

While building up your knowledge, you can think about investing in low-risk savings plans (e.g. from banks, SSB) first to gain some extra interest, instead of keeping cash in the bank.​​​

1

Frankie Rappaport

Frankie Rappaport

11 May 2020

Good

Thank You!
Can you clarify
I wonder if
This is so helpful 👍
What about

Post

tldr; If you are sure you will not need that $500 monthly for the next 10 years(at least), DCA i...

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