Thanks to the miracle of compound interest and the wide range of opportunities available today, anyone can be a successful investor if they make the right choices.

“Compound interest” refers to the potential for your money to grow faster as you earn interest on your interest. It explains why $1,000 invested at a rate of 8% pa after tax can grow to $47,000 over 50 years. No wonder Albert Einstein described compound interest as one of the greatest human discoveries.

But there are important choices before you start. What do you want to achieve? What’s your timeframe? Are your goals long term, like retirement, or more immediate, like home renovation or a holiday?

These choices help determine the investments to consider, the risk you might take and whether strategies like gearing (borrowing to invest) suit you.

For example, shares are suited to longer-term investors. What allocation to shares would match your goals? How will you decide? And what about property? Again it depends on your needs. Property markets follow cycles with significant booms and the occasional bust. Should you consider property or other investments?

Determining the right balance of investments is not easy. An ipac financial adviser can help you understand the options, avoid costly mistakes and make smart choices.

Make an enquiry or see an adviser now, or use the menu on-screen to explore your investment options further.