Young Investors (<30) Thread

Not sure if I should know this or not but what does NPO stand for?

I think its a great idea to educate kids about finances, whish I had better financial education when I was that age.

 

Well, it's been a while, though i'm glad to see many people contributing to this thread which I started out of curiousity and to find like-minded people.

It's motivating to see so many young guns achieve so much...some people are just insane it's not funny.

Another little update from where i'm out now...a couple months on.

I'm 24.

I was gifted a $600k Investment Property with a $175k mortgage on an Interest-Only Loan which i currently have in an offset arrangement.

I'm in the market for a second investment property (really my first...depending on which way you look at it...LOL) and have been looking around for the past month, firstly to understand the market, the suburbs and get an idea of how things operate in residential property. I'm looking for an apartment around the $350-$400k mark.

I've now boosted my share portfolio quite a lot......I still contribute monthly to my 5 managed funds (around $300 each). I used to have 4 but recently added the BlackRock Growth Fund. Total value is probably languishing around $40k (i estimate that my outlay is around $55k+....so no thanks to the market....hope it rebounds over the next year).

Another change is direct share ownership...a portfolio which started out with just BHP shares....has now grown to $25k, made up of financials and resources stocks and others such as HST, HVN. I'm gearing about $10k (taken from the excess equity on my home loan).

 

Not a bad little windfall...

 

what 5 funds do you have?

 

* Challenger China Fund
* Macquarie Small Companies Growth Trust
* Colonial First State Geared Australain
* BlackRock Growth
* BT Imputation

 

I agree with you, coopranos (back in Feb 2008). It's all about decisions. I think most members of this site have made a conscious decision to be wise with their money now and in the future. It may have just taken some members 5-50 years longer than others to take responsibility for their financial position ...

As I said, I'm 28, and therefore I could have easily acquired mountains of wealth by now had I made better decisions. I just wanted to know how these < 23 year olds started out and whether they received any help along the way (and were willing to admit it).

My original post gave no credit to anyone successful and under 23 (which was pretty stupid on my part). If you've worked hard and made sound decisions - congratulations! That is a top effort. If you've had bucket loads of help, you are still admired by me (though not as much) because you were able to resist the new HSV

 

So, where are people now? 2 years on from the start of this thread....????

Have you reached the goals you set back a couple years ago?

 

lol...wow...funny looking back on this thread!

so yes i bought that car (and i love it).... maybe i was kinda lucky?? i avoided the crash

i hold very little in shares now....most is in cash, just because i dont have the time to properly sit down and work something out...

im in my last semester at uni, and its a very busy/stressful time for me as im applying for graduate jobs... which is just unbelievably competitive these days...i just had a 2nd interview with a mid tier firm yesterday and am just keeping my fingers crossed!

 

hey everyone. what a great thread. i am an uber n00b to investing but i am a great saver.

i am 25

I have 95k worth of cash. i have been looking for a PPOR since July 08 but it has been slim pickings. I am hoping that the withdrawl of the FHOG at the end of this year will pull more buyers out of the market and drag the prices down.

i am looking to get a one bedroom apartment in the lower north shore. ideally north sydney or artarmon but also open to cremorne or crows nest if the price is right.

once the property is acquired i plan to take a P&I loan. i am playing around with the numbers to optimise. that is, how much money to put into the loan repayments vs how much to put into the MF vs how much to keep as a buffer (which will probably be important if taking margin loans which i am toying with).

maybe buy an IP with an IO loan in 2014 by liquidating the MFs. not sure where i would buy the IP but that can be decided closer to the date.

right now researching managed funds and property prices / rental yields (trying to find fair price using Navra's Rental Reality as a guide)

Before I hit 30 (or beyond) I am willing to invest aggressively while I have relatively few responsibilities. I don't plan on settling down and having kids til mid 30s so I still have time on my side.

i don't have set goals yet aside from going as hard as possible, if I lose, I lose. Money does not belong to me. It is a force onto itself.

I just hope I have the courage to follow through

Oh sorry, I do have one goal. By the time I am settling down, I would like to be able to comfortably make significant donations to charity like the WSPA and Amnesty. A very vague goal I know, because what is significant and what is comfortable?

 

WOW I just found this thread and as an oldie (40) all I can say is you guys rock! What you have all achieved is amazing.

I don't think it is a "penis" competition I think it is inspiring to read about what others have done, you all make me want to go and buy another house.

Keep it up you champs

 

Hi Bella, Chris and others

Just read this to see what under 30s think and am very impressed. I'm just over 50 but retired before I was 50 (all my own work, no inheritances and also no fancy job, just living within my means, saving at least 10% of salary from day 1 of work, etc). Able to do this because I sat down and worked out what I wanted to do when in my 30s. My one wish is that I had been able to learn more about investing when I was younger - really only started about 10 years ago, mainly through seminars/conferences run by reputable organisations like ASX, Australian Investors Association etc.

Get some good books and read them - there are a lot around.

My basic advice, save 10% of your after tax income, take advantage of the super co-contribution, salary sacrifice into super later and educate yourself. Don't become a victim of poor advice.

 

Sounds like a very "Richest Man in Babylon"-ish, style of wealth generation. A method that has worked for millennia.



Congrats on your early retirement. I hope to join your club one day in the not too distant future.

 

Hi All,

I just found this thread and want to say congrats to all the young investors out there (well all investors actually!). It is so refreshing to see other young people not leave their life to circumstance and to take control of what you want to do and where you want to go in life.
I personally don't believe life is meant to be controlled by our work and finances and although I don't believe money brings happiness - it can certainly help to do some great things in life.

I'm 25 now

[*]I have 3 investment properties now worth over 1.3mil,

[*]have been investing in shares since 17 and have done very well with a 45k portfolio

[*]I have recently started (last 12 months) options trading and am earning an extra 3-4k per month with a 10k trading bank being very conservative

I was fortunate to get a leg up from my parents with my first property, they gave me 20k to help with my first deposit, after that I got some great education, read lots and lots of books (thank god for Robert Kiyosaki!), asked lots of questions and found great mentors, did the right deals and have learnt the wonders of leveraging!
I bought the right property and added value in renovations and made 70k in equity in 6 months and have done two more great deals since.

--------------------------------------------------------------------------
My 1 year goals are:
Purchase another 3 IP
Earn 50k in options trading income
Build my share portfolio by another 30k
Head to Europe for 4 weeks with my soon to be wife.
Start internet business

3 year goals:
continue my investing - purchasing 3-4 properties per annum
increase options trading to earning 10k per month
Increase share portfolio to 150k
Start business teaching young people to invest and to get ahead in life

5 year goals
Financially free! - this means 150k PA for me, I am on track to do this now.
(I won't retire, I love what I do too much and would get very bored)
take a year off and spend a year overseas in other cultures - Japan, UK, Italy

Congrats again to everyone on this thread. You are truly unique!

Look forward to hearing more from everyone.

 

what do you earn, $250k a year?

 

Do you mean $150,000pa in passive income, or does this include you continuing to work and trade etc?

 

ToddP is just insane - do share your secrets.

 

secret = lie about net worth on internet forums to feel better about working a dead end 9-5 and living with parents

 

Why would anyone do that greygoose?

I'm the same age as todd, and I didn't lie in my answer to the thread.

I'll be the first to admit that the networth has come off slightly with the Perth property market softening. I've been using the lull to steadily add to my share holdings and collecting pretty good divs now, nothing earth shattering - but I could probably buy a new LCD TV every quarter if I didn't reinvest them.

Its not active trading, and I don't put much effort into it now that it's set up and running. My tenants are all pretty low maintenance - wish I could say the same about the PM!!

We had this brought up already in the thread, it's not a p_ss_ng comp, so why would anyone lie??

Just my thoughts

Chris

 

he is saying he is making 3-4k each month with a 10k trading bank. If this is tru why doesn't he sell a house for around 400k, quit his day job and make 120k a month trading?? or even do this while he continues the job he loves so much.
he is saying he has somehow gotten approved and is currently servicing loans on property up to 1.3 mil with equity of 90k (+ maybe a bit extra from his second property) plus a fairly small share portfolio (even with rental income this will be a hefty monthly payment). and he believes that he is somehow going to purchase 3 more IP's in the next year, with things the way they are. and he's 25.

if he is telling the truth he is my hero and please teach me. but i just dont buy it