Some investment tips for South African women
Research undertaken by 1Life last year shows that 34% of South Africans surveyed have investments in place, with 37% of these people doing so to protect their retirement. For those not investing, the main reason stated (71%) is too little income to make provision for investing. Seventy percent of these respondents were female.
The reality is that South Afri- can women, in general, are more risk adverse when it comes to investing and for many, the concept of investment seems unattainable. However, if you understand that an investment is anything that affects the quality of your life – every cent is an opportunity – then this becomes easier to manage and drive.
So, how can you get started – without the fear – and make sure your hard-earned money can work for you?
Don’t overlook a few essentials. When you start your investment and savings process, equip yourself with the right information and don’t be afraid to ask. Educating yourself and seeking independent advice is key.
Acknowledge that a few financial sacrifices must be made. Choosing an investment over a holiday for example, is hard, but even just one or two of these decisions can reap significant financial reward – in the long term.
Opportunities and structures to investing are changing. Not everyone is trained at investments. However, the need to take control over their own portfolio is a growing trend. Therefore, look for an advisor that is independent and is forward-thinking in terms of the digital landscape.
Don’t compromise on transparency. Know what you are paying for each month and make sure you understand what the actual interest will be, and why.
Any person empowered around their finances is sure to take it more seriously and make more informed decisions.
I encourage all South African women to make it a priority to know what they are investing, how they can invest and to ask themselves: how am I going to make my money work for me so that when I am long gone, my money lives on for my loved ones?
Eugene Maree is chief executive at Wealthport