If you have conquered debt and have some disposable income left after paying the bills that matter, your next move should be saving and accumulating wealth.
But with so many investments option available today, it’s hard to know where to put your money and the right time to start investing. It is also difficult to establish when you will need the money and what purpose.
For some, it could be buying a house; for others advancing their career, and those with long-term goals are probably looking at buying land or saving for retirement. Regardless of the plan, you have in mind, it is important to map out your savings starting today with your eyes on the prize.
How to Save for a Life You Want
Undeniably, saving is complex, and so is investing. So many responsibilities and emergencies creep up, veering you off course. You can circumnavigate that by having a conclusive budget of expenses, including an emergency fund.
Once you have an emergency fund and your expenses of between three to six months are sorted, you can keep your debt under control and manage your finances effectively. This opens up new opportunities for you to do more with your funds.
But before deciding how much to save, it is essential to determine the specific goal you aim to achieve. Are you saving for travel? A vacation home? Luxury items for your crib? Or to finance a lifestyle? Each of these goals has a different timeline, and they require in-depth knowledge of how you are saving and investing your money.
Where to Invest
If your goals lie within the next two years, keep your money in a low-risk investment. There are many types of such asset classes, and the most common one for such goals is Unity Trust Funds, such as Money Market Funds.
Money Market Funds are simple, low-risk, profitable (in the short-term), and can protect your capital from market forces such as inflation. Plus, every amount you invest in this instrument compounds over time until you decide to withdraw your funds.
Money Market Funds contain a mix of quality short-term instruments such as Treasury Bills, fixed deposit instruments, high-quality corporate commercial, and near cash holdings.
You don’t have to worry about market volatility as you would if you invested in stocks. These investment options are less risky, so they make an excellent choice for anyone looking to start saving or diversify their portfolio. A good example of such an instrument is the Standard Chartered SC Shilingi Fund.
SC Shilingi Funds is ideal for anyone looking for an investment that aligns with their short-term financial goals. With your side hustle, a small business, or a desire to save every day, this type of Unit Trust Fund will complement your efforts and help you develop a savings culture.
Keeping your money in an SC Shilingi Fund account makes perfect sense for any milestone you want to achieve in the next two years. You are not stuck waiting for the stock market to shift in your favor with it.
You can also access your money at any given time without the hassle of extra paperwork or what the returns could be. You are investing in a large pool of funds with professional fund managers where the risk of losing your investment is low. How cool is that?
Well, there is a lot of life to live now and before you retire, which is why it is important to remember that investing as low as 1,000 shillings in SC Shilingi Fund can help you afford the life you want.
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