Investing to Build Wealth — Managing Wealth

Managing Wealth

Wealth through life’s stages

Our financial needs change over time, as we move through the stages of life. Investment strategies and priorities at age 25 are different than at age 65.

Think about your current life stage, what are your priorities? What would you like your money to do for you?

In your 20’s, you are just starting out, and may be:

  • Setting savings goals
  • Paying attention to how you spend, and identify ways to save
  • Creating a savings plan
  • Starting an automatic savings program and retirement account
  • Making higher risk investments, with larger long-term reward potential
  • Purchasing a car
  • Purchasing a first home

Your 30’s and 40’s are prime earning years, and you may be:

  • Taking full advantage of employer-sponsored retirement plans
  • Adjusting investment allocations to begin to decrease risk
  • Purchasing a bigger home
  • Accumulating wealth
  • Saving for children’s college education(s)
  • Preparing an estate plan

In your 50’s and 60’s you are planning for retirement, and may be:

  • Adjusting your investment plan to eliminate risk and preserve wealth
  • Estate planning
  • Managing your investments carefully
  • Preparing to retire and enjoy what you have worked so hard to earn

Consider hiring a professional

If managing your wealth yourself is overwhelming, consider hiring an expert financial planner to help. Be sure to find someone who shares your investment philosophy. Interview a few different financial professionals before you hire anyone, and find out whether they are fee-based or commission-based, and exactly how you will be charged.

Good financial planners will offer to:

  • Assess your financial situation by looking at past tax returns, current income, assets, and liabilities.
  • Identify and understand your financial needs and goals.
  • Develop a financial plan that is tailored for you.
  • Explain the pros and cons of various options and investment instruments.
  • Advise you in identifying other financial professionals such as investment brokers, lawyers, and accountants.
  • Review your plan with you periodically to make sure it is up-to-date.

This site is for education purposes. The material provided on this site is not intended to provide legal, investment, or financial advice or to indicate the availability or suitability of any Capital One product or service to your unique circumstances. For specific advice about your unique circumstances, you may wish to consult a qualified professional.