Online trading: Opportunity for Generation Y to save for retirement
Countless studies today have shown that millennials, or Generation Y, are quite concerned about their retirement. In fact, according to a report by the Guardian Wealth Management, three out of five expats in the UAE state they have no savings to sustain their lifestyle in retirement and that they may have to consistently work to support themselves.
The biggest asset of any millennial is that they are extremely techsavvy via smartphones, tablets or more and can adapt and adjust to technology quite easily. With current and emerging tools such as big data and artificial intelligence, individuals can leverage their knowledge, skills and resources to slowly and efficiently build a stable business for their retirement in the world of online trading.
Like any other business, achieving success is based on a few key attributes: knowledge, information, experience, decision making and risk management. The more practice an individual can attain in that particular area, the better that individual will become.
In the world of online trading, the success rate is roughly 10 per cent. What makes these individuals unique and successful is that they pursued an education in online trading via online trading academies or trading webinars and spent time refining their skills after which they were able to make calculated decisions, accept the fact that like every business, there will be ups and downs and were willing to pursue the programme for an extended period of time.
Unfortunately, many people believe that they are educated enough to tackle online trading effectively. However, online trading involves comprehending multiple macroeconomic factors that include but not limited to politics, interest rates, inflation and much more.
The Internet has enriched our
10% success rate in the world of online trading 3 out of five expats in the UAE have no savings
lives by providing us with access to real-time information that enables us to make better decisions on tasks we need to carry out both personally and professionally. However, the problem that persists is the access to virtually an unlimited supply of information that makes it difficult to interpret the true message being conveyed by the aforementioned market indicators and influencers.
With big data and emerging tools such as artificial intelligence, individuals can mitigate the noise created by multiple sources, focus on the key message and provide them with the only information required to make a calculated, well-informed and statistically driven decision on how and what to trade.
As a millennial, individuals need to invest in themselves, specifically in finance and technology, to ensure they equip themselves with the skills and tools to manage their wealth sustain favourable financial health during their career and after retirement. These individuals have another 40 years to retire and if they invest in themselves today, they can establish a successful online trading business that can supplement the income they will forego after they retire. The writer is chief operating officer at Xtrade. Views expressed are his own and do not reflect the newspaper’s policy.