7 Vital Tips for First-Time Investors in Australia

Wealth coach, Margie Hulse, wants to cut through the noise that often confuses budding investors and help them understand that investing wisely is simpler than it can seem.

Investing for the first time can be a scary and confusing process. You may be a young adult receiving your first pay cheque. Perhaps you are a new stay-at-home parent hoping to balance a recent loss of income. Or, maybe you have received a lump sum of money that you’d like to secure for the future. Whatever your circumstances, if you are first-time investor, it can feel like you are being bombarded with options, information and other people’s opinions.

Personal wealth coach and Right Riches for You facilitator, Margie Hulse, says, it comes down to who you are and what feels right for you.

“There’s no right or wrong in investment, but it’s important to understand that money emphasises the type of person you are. If you are an anxious person, money will amplify that anxiety. If you are an impulsive person, you’re more likely to make rash investment decisions,” said Margie.

“This means that personal development is an integral – and often-overlooked – component of successful investment and wealth creation. If you have understanding of yourself and how you are, it makes managing your money and creating wealth for yourself so much easier.”

Over the past 20 years, Margie has accumulated a thriving investment portfolio, building up her wealth through many different opportunities including property, shares, business ventures, bonds and banking. To inexperienced investors, she offers the following valuable advice:

It’s okay to start small: “Investment is about having your money work for you while you sleep – it’s not about lying awake at night worrying about what you’ve done. Therefore, if you are a new investor and are perhaps feeling a little unsure, start small. Invest in debentures or buy a few shares. For a great, long-term investment that will bring you peace of mind, invest some money in ‘blue chip’ stock.”

Know your personal risk level: “No investment is 100% safe and you can lose money on any opportunity; however, some investments can seem (and often are) riskier than others. Know – and work with – your personal risk level. Make the choices that feel most secure to you.”

Keep your eyes open: “Even if you’re not actively looking to invest, pay attention to what’s happening in the world of investment. Observe the property and share markets – what are they doing? Also pay attention to emerging opportunities, such as childcare and aged care facilities.”

Look for the ‘ping of interest’: “ Don’t underestimate the power of your own ‘gut instinct’. If you get a ‘ping’ from an investment area or opportunity, follow that intuition and start looking closely at how it’s performing. Note: this is about listening to your instincts. Other people may get very excited about a certain investment and advise you to follow their lead. I advise you to drown out these voices and follow only what you know to be best for you.”

Commit to mid-term research: “Never move on an investment until you’ve done your research – it will always save you money in the long term. Think 3-6 months ahead. If you become interested in an opportunity, ask questions of anyone who knows about that investment. Talk to all the experts (and your accountant!) and build up your knowledge. However, don’t research for too long, as things change too much in the world of investment and you will likely miss opportunities.”

Strike when the time is right: “If you’ve done your research well, you’ll see a great opportunity when it comes. At this stage, don’t hesitate or procrastinate – grab it! Trust yourself; trust what you know.”

Know your ‘let go’ criteria: When you invest money into an opportunity, have a clear understanding of how you want that money to work for you. At what point, and for what reason, will it be time to ‘let go’ and move on. In my case, for property, I only let go to upgrade to a better property. With shares, I set a sell price based on my research and I always sell when it reaches that price. Also, know your ‘stop-loss’ level: the price or situation where you will take a financial hit, in order to get out of a bad investment. Most important of all, stick to your rules ! Be consistent, and don’t allow your original decision to be overruled by greed or fear.”

Above all, Margie says, make sure you have fun with your money and don’t let it become more important than life itself. “People think wealth is all about the money, but true wealth is about the enjoyment of life.”

Margie Hulse is a wealth and business coach, speaker, consultant, property investor and facilitator for Right Riches for You, a special program by Access Consciousness®. She has over 20 years’ experience in the creation, investment, promotion and marketing of multiple successful businesses. Having gained financial security for herself, she loves to show others just how easy it can be to do the same.