Reader Qustion: I’m 18 years old and want to learn how to invest my money

December 10, 2014

Hi John! I am very much happy reading this email from my Inbox the other day. I’ve always been open of how much I take age as human’s greatest advantage. And reading your question make me feel so kilig. You are 18 and you feel that excitement (hopefully) to learn more about investing your money.

I made my first ever investment at 17 when I started my own event business. No money involved, yes, but through hard work and the belief that I have a God-given talent of being an emcee I became the youngest professional emcee to date.

At 20, I made my first investment on my portfolio income. It was through FAMI and I made tons of blog posts on this since then. It was a brave move since I don’t know anything about investing. I even don’t have any back up money then and I just lost my job.

Fortunately, 10 months from now my investments are doing good. My FAMI is good as well as my event business.

To answer your inquiry based on my mentioned investing story I believe there are three things that you could easily do to get started.

1. Earn. How will you invest if you don’t have any money to spend too? If you are still a student then maybe you should focus first on studying. But if you are very eager to start earning and investing I suggest having income-generating sidelines. Find online jobs and gigs that will not ruin your studies. Proper time management could help with this one. You can sell to your school or have a part time work in a fast food. The idea is that you need to secure your means first before investing.

2. Do your homework. The risk I took a year ago is not something that I want to let people be inspired of. I know it turned out better but still if I can go back I won’t invest in a rush and prepare more. I paid my opening balance on the month of January but was just able to pay for my monthly top up on the month of April!!! I was 2 months delayed because I just got a new work and I need time to adjust with a much lower salary.

3. Expand Your Financial Knowledge. Read books and/or follow financial blogs that could give you vital information on how it is to become an investor. There are so many products out there that you can try so it is very important to select one that will benefit you for long term. Remember that investment is not just about the bank and stock. Opening a business is a form of investment so is getting a real estate property for others to rent. You need to be open for more choices but selective enough on what to  invest.

Clariza Glino

Izza of SavingsPinay promotes financial literacy for the young and young at heart by providing insights and tips on budgeting, saving, investing and online entrepreneurship. Aside from this blog she also writes at www.izzaglinofull.com, a beauty and lifestyle blog for frugal Pinays and manages, www.izzagevents.com, a wedding and event business since 2011. For inquiries, topic suggestions or future collaborations email her at izza@savingspinay.ph