LIFE appreciates. The definition of this statement in layman terms: an increase in the value of an asset over time — your life is an asset, it appreciates over time. Take charge of your financial future, take charge of your life.

Long ago at the first stages of my professional career, a friend gave me this advice, ‘Pay yourself first.’…’What?!’ Here’s my interpretation of what that means.

It is payday and your bill payments are due. Your natural instinct is of course to get them all paid: rent, utilities, grocery, transportation, and then perhaps entertainment… if there’s enough, and the list goes on. But wait… what about savings? Pay yourself first. With proper budgeting this can be achieved.

Before any bills are paid, set aside a minimum amount that will be your savings for that week/month… leave it alone then move on to the monumental task of paying the bills. Leave the savings alone… don’t touch it, put it in a bank where you have minimum access to it (no ATM card); or even better if you are paid electronically, instruct the bank or your workplace to move it to a separate account.

For saving, there’s always a beginning. Even the smallest denomination dollar is saving… be sure to continue to build on it, adding on that first dollar, it will increase. Keep in mind, however, that the value of the Jamaican dollar will decrease, and as such, leaving the savings in a low-risk savings account could be considered counterproductive in maximising your wealth, and therefore your life appreciation.

Be innovative, take a risk. Strike a balance between maintaining your standard of living and contribute to your savings and your financial security. This is the first step towards ‘Life appreciates.’

Take a look at the concept of appreciating your life. Life involves taking a risk from time to time. Here’s one for you, INVEST. Take a percentage of that savings that is in that out of reach bank account and invest. Practise ‘performing profitable behaviour’ and maximise your income.

So, you’re absolutely brand new to investing, get the lay of the land first. There are investment opportunities everywhere, such as investing in real estate, oil, information technology, etc. Left to your own devices these opportunities are phenomenal and will become overwhelming; the wise choice is to seek the advice from highly trained professionals, who will give you the best advice suited to your tolerance level.

To keep it simple, an SSL Advisor will communicate the best stocks and/bonds available on the market. Stocks are defined as a type of security that signifies ownership in a company and represents a claim on part of the company’s earnings. Bonds are debt investments issued, where an investor loans a company or country an amount at a variable or fixed interest rate for a specified period of time.

Depending on your risk assessment, which may range from conservative to aggressive, we can build a diversified portfolio suited to your needs… watch it appreciate. Risk assessment is the identification, evaluation, and estimation of the levels of tolerance involved in a situation. A conservative investor’s tolerance level may be low and will choose to invest in ‘safe’ instruments with low returns. A moderate investor seeks to strike a balance, and may accept modest risk to seek higher long term returns. An aggressive investor believes in maximising long term returns and is willing to accept substantial risk.

At SSL, personalised service exists, no matter how small (or large) the amount you’ve identified for investing. Build an investment portfolio — the portfolio is made with the expectation of earning a return on your investment with direct correlation to your risk tolerance. As an example, an investment portfolio compiled for a moderate investor, the investment spread may involve 70 per cent stocks and 30 per cent bonds with the investment time spanning at least three years.

Participate in the growth of your portfolio, listen to the advice from your advisor, measure your risk-cost-loss equation, and keep focused on your goals. As your initial investment starts to appreciate, determine the balance of stocks versus bonds.

Regularly invest a portion of your pay cheque, get comfortable, and make investing a habit, so you can reap the compounding benefits of growth. Pay yourself first, so that as you get older, and you begin to slow down the fast pace of your working life, those monies that you paid yourself are there, available for you to relax and enjoy. Participate in the management of your life, clearly articulate your goals, achieve them…appreciate your life. Those investments that you’ve made and watched so carefully would have appreciated, and you will be able to enjoy and appreciate your life.

“Life appreciates…pursue excellence…perform profitable behavior…” – SSL Culture.

Sandrene Weichenberger is an office manager at Stocks & Securities Ltd.