7 Things I Did to Get Started Investing in My 20s!

Starting to invest in your 20s can feel like diving into the unknown. That’s exactly how I felt when I first considered putting my money to work. I wasn’t sure which direction to take or if I was making the right moves, but I quickly learned that getting started is the most important step. 🚀

Here are the 7 things I did to get started investing in my 20s:

1. Define Your Investment Goals ✨

The first step I took was to get clear on my investment goals. For me, I wanted to focus on long-term growth—like saving for retirement. Having long-term goals helped me stay focused and not get distracted by short-term market fluctuations. Furthermore, if you have a long-term horizon, you can reap the greatest benefits, thanks to the power of compounding.

2. Understand Your Risk Tolerance 🔍

Once I knew my goals, I had to figure out how much risk I was comfortable taking. Personally, I’m okay with some ups and downs in the market because I know my long-term goals will balance them out. But this might be different for you—it’s important to understand what works for your comfort level. Rule of thumb: If you find yourself constantly checking your portfolio throughout the day, it may be a sign that you’re taking on more risk than you’re comfortable with.

3. Budgeting 💰

Before I started investing, I made sure I had a solid budget in place. I needed to have my essential expenses covered and a 3-6 months of emergency fund ready. Once that was done, I figured out how much I could invest regularly—whether it was every month or weekly. Having a budget in place gave me peace of mind because I knew I wasn’t overextending myself financially.

4. Research 💼

I spent a lot of time researching different types of investments—stocks, bonds, and ETFs. It’s important to learn about the different types and how they work so you can decide which ones fit your goals and risk tolerance. I personally like low-cost ETFs! I will share more in my next post, so follow me for more!

5. Choosing the Right Broker 📊

Finding the right platform to invest in was crucial. Ideally, you would want to find a broker that has the lowest fees as possible. I personally chose Syfe because it offers unlimited free trades for the first 3 months upon joining and two free trades per month from the 4th month onwards.

6. Start Small and Let the Compound Effect Do Its Thing! 💡

When I first began investing, I didn’t have a lot of money to put in and I also wasn’t confident in myself to put money in the markets. But starting small helped me gain that confidence and learn along the way. Even in a short period of time, I’ve already seen my investments grow, and the returns have started generating additional growth. The key is to stay consistent and give your investments time to do their work.

7. Avoid Emotional Decisions 🧘‍♂️

One of the biggest lessons I’ve learned is to not let emotions drive my investment decisions. The market will have its ups and downs, but panic-selling during a downturn isn’t the best approach. I stuck to my plan and kept my long-term goals in mind, understanding that the market will recover and grow over time.

Investing in my 20s has taught me that the hardest part is simply getting started. But once I took that first step, everything else began to fall into place. It’s not about being perfect or knowing all the answers right away—it’s about being patient, consistent, and letting the compound effect do its thing. Looking back now, I’m glad I didn’t wait. If there’s one thing I’ve learned, it’s that starting early can make all the difference, even with small amounts. So, if you’re on the fence, just start—you’ll thank yourself later. 🌟

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