Adèle Manseau | Desjardins Group
It's a common misconception that you need a lot of money to invest. The real trick is knowing your goal so you can choose where to invest your money.
For Mylène Tessier from the 360d centre at the UQAM campus, $25, $10 or even less per month or paycheque is enough. That's perfect! After all, the most difficult step in investing is just getting started. Now all you need to do is decide what you're saving for.
Short- or medium-term goals
If you're starting an emergency fund, saving for an appliance or planning a trip, the High Interest S@vings Account or TFSA are great options for 3 reasons:
- You always have access to your money.
- You can transfer money using your mobile device if you need it fast.
- You invest your money tax free (TFSA).
If you're saving for a house or retirement, an RRSP is a great option. The High Interest S@vings Account is RRSP-eligible, so you can add small amounts whenever you have extra cash.
Investment funds can also be a good option for long-term goals. It's a good way to start investing in the stock market and take advantage of the fund manager's expertise. If you're familiar with the stock market and want to manage investment funds on your own, you might be interested in online brokerage.
2 tips for making better investments
- Set up your investor profile with your advisor. They'll then be able to offer you investment products that are in line with your values (e.g., green bonds), financial goals and risk tolerance (guaranteed investments, bonds, shares, etc.).
- Stick with your investor profile and goals. If you want to make a change in your investments, get advice so you can properly assess the impacts on both your returns and financial goals.
2 important things that are often overlooked
- It's been said time and time again that before you think about investing, you need to balance your budget. You have to walk before you can run, so give yourself the time and tools you need to become a saver. There are online tools available to help you get a clear picture of your finances.
- You're off to a great start, now why not set up automatic transfers to see your savings grow even faster?
- Decide how often and how much to set aside, or contribute the minimum amount ($25 for investments).
- Imagine the outcome by using the savings calculator .
- Plan to make contributions on pay day. That way, you're making sure you pay yourself first.
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