The goal of investing is to replace your work income with passive income from your investments once you retire. What is the purpose of your investments? Is it to retire early or to have a dream holiday? Maybe it is to start saving for your children’s education.
Once you have identified what your future needs are, you can structure your assets to achieve this in calculated way that takes into account your investment timeframe, your comfort with different types of investments, and your current life stage.
Some of the investment options available to you fall into the following broad asset classes:
– Managed funds
Within these broad categories there are more options available to you. Reaching your ultimate goals will depend on the amount you have to invest, how long you are willing to invest, and risks you are willing to take.