Throughout our lives, we’re always told that we should plan for the future.

We’re told to have a rainy day fund or to put money aside for when we retire. Those with financially savvy friends and family members may have even been told to invest, for the future. But how? With so many different options out there it can be difficult to know what to invest in or even how to go about it. We’ve put together a savvy girl’s guide to help you through the minefield of investment opportunities.

What Can You Afford?

The first thing you need to consider is how much you can afford to invest. This will help you decide which investment opportunities are right for you. Not everyone has a small fortune to put into new property or to invest in the stock market. You need to be realistic as to what you can afford. Start a savings account that is used solely for investment opportunities. Put as much (or as little) as you can in there each month. When you’re happy with what you’ve saved up, then you can look at the different options. Always keep the savings fund topped up so that you can spread your investments and create a diverse portfolio. More on that later!

What to Invest In?

You should now have a good idea of how much money you can afford to invest. If you’ve got a large sum, then it’s likely you’ll want to put it towards a large investment; like property. There are plenty of other options for those with a small or medium amount to invest, however. Here are just a few:

• Invest in a Business – Us career women know a thing or two about business! You don’t need an enormous amount to help a startup get off the ground, and the returns can be huge.
• Precious Metals – You can start off with a low investment amount and work your way up with precious metals. There are many ways you can invest in silver and gold, depending on how much you have saved.
• Stock Market – This traditional investment option is a popular one, but you’re going to need to know what you’re doing. Alternatively, hire a financial advisor to help you along the way.
• Luxury Goods – Artwork, collectibles, fine wines, even cigars. There’s a market for pretty much anything out there. As long as you brush up on your knowledge of your chosen niche, this is a good option for those with a medium-high amount to invest.

Create a Diverse Portfolio

You know the saying, “Don’t put all of your eggs in one basket?” Well, that certainly applies to investments. You should diversify your portfolio of investment options, to ensure your funds are spread out. This means looking into a range of traditional opportunities (bonds, stocks, etc.) and alternative opportunities (precious metals, luxury goods, etc.). If the stock market suddenly becomes vulnerable you could lose your money in that area. At least you’ve got alternative streams of income with a diverse portfolio.

Remember, investments can be risky and it’s important to know what you’re doing before handing over money. Research and study the different areas as much as you can. Then, make yourself a savvy and diverse portfolio of investments.