Get ahead of the game

Whilst we live in an evolving world, there are some things that stand the test of time. This is true for sound investing principles and strategies.

Regardless of market conditions, these approaches have served investors for generations.

Diversify, diversify, diversify

This is one of the easiest things you can do, but the benefits can be significant.

No one knows for sure what will happen in the future and how markets will react to changes or announcements, so having a diversified portfolio, made up of different assets including shares from different sectors and geographic markets, lowers your overall risk and improves the likelihood you’ll be a successful investor.

Plus, you’ll be able to sleep soundly at night knowing negative performance in one area of your portfolio can be balanced by positive performance in your other portfolio investments.

Invest in quality

Investing in quality companies has always been a core belief at Craigs Investment Partners.

By quality we mean companies that have unique products, valuable intellectual property and sustainable competitive advantages, and a history of producing returns for shareholders.

These are the types of companies that we expect will still exist in 50 years’ time.

The same principle of focusing on quality and longevity also applies when investing in other asset classes.

Shut out the noise

Avoid fixating on short-term market fluctuations. Instead, focus on the long-term prospects of your investments.

Despite short-term volatility, maintaining a long-term perspective can lead to higher returns.

The thing with financial markets is that the further ahead in the future you look, the more predictable things often become.

That’s the opposite of just about everything else in life.

Markets are very hard to predict over days, weeks, months or even years.

But the likely returns become much easier to see as we look further ahead.

The hard bit as an investor is keeping your cool and remembering that core investment philosophy.

Don’t delay

There really is no benefit to waiting when it comes to investing.

That’s why we encourage investors to start as early as you can.

The more you delay, the more you could miss out on the benefits of investing.

If your goal is to build up wealth gradually, time in the market maximises the effects of compounding returns and can really magnify your gains over time.

Have a plan and stick to it

Investing should never be ‘one size fits all’.

Working with Craigs Investment Partners means building an investment plan and portfolio tailored to your life stage, financial situation, goals and values.

Craigs Investment Advisers collaborate with each client to determine their capacity and appetite for risk depending on their individual situation.

Get advice

These rules are simple and yet the finer details of them are undoubtedly easier to understand and implement with the help of an expert.

Craigs Investment Partners is one of New Zealand’s largest investment advisory firms, with over 180 qualified Investment Advisers across 19 branches in New Zealand.

Stay up to date, follow Craigs Women’s Wealth

Facebook: facebook.com/womenswealth.nz
LinkedIn: linkedin.com/showcase/craigs-womens-wealth
Instagram: @craigs.womenswealth