So this $1,000 “parcel” was saved from a couple of different sources, mainly eBay, a bit from Gumtree and then some market research and left over money from Frugal February/Financial Fast Challenge/Money Minimalism Challenge. Plus I have managed to maintain a few money saving tips from doing this financial challenge.
Now that I have a good selection of Australian shares in my portfolio, I decided I would now add some International share exposure. However as I am not a stockbroker and investing internationally requires a specialist level of knowledge, I am using an ETF (Exchange Traded Fund), to gain some further diversification into International shares.
An Exchange Trade Fund, is kind of like a managed fund, but traded on the stock market like a share is. There are ongoing fees, but they tend to be a lot cheaper than managed funds, however you do have to pay brokerage to buy and sell these shares/ETFs. However for me, and my High Growth risk profile, by diversifying my portfolio, I am helping reduce the investment risk to my portfolio, so that it is not so reliant on the Australian share market all the time, but still invested for my long term goals.
I will be doing a video on this shortly, so make sure that you are subscribed to my YouTube channel. In the meantime, here is a snap shot of where the portfolio is currently invested.
Canna Campbell is the founder and director of SASS Financial Services, a boutique financial planning firm. She is Channel 9’s exclusive ‘money expert’, founder of financial media platform SugarMamma.TV and best selling author of The $1000 Project and Mindful Money.