Everybody’s different. We all start from different starting points, financially speaking. Some of us were born into privilege, others less so. There are also a variety of capabilities, educational histories, personal and family debt, and many other factors. We’re not all born equal in monetary terms, but that doesn’t mean there’s not a good path forward for just about all of us, if we’re willing to take the journey. I’m going to lay out three different financial strategies that are important to have worked out by the time you’re 30: short term trading skill (binary options through Banc de Binary), debt elimination and savings automation, and long term investments in several forms.
- Short Term Trading Skill. Day trading used to be the realm of only those who could be physically present on a trading floor. The old days of futures trading used to involve traders making fast-paced trades in New York, to take advantage of price fluctuations in stock and commodities prices before the traders in Chicago heard about the changes. There were many variations on this strategy. Today, because of the speed of communication, every trader everywhere is more or less on the same page. Binary options trading hearkens back to these earlier days, offering traders the opportunity to make speculations on the future values of commodities, stocks, currencies, and the like. Anticipate the changes, and get dividends in proportion to the amount which prices changed in the chosen direction. Binary trading is risky, but not in the same way stock market trades are risky. Even if the market collapses, binary options remain a stable market, meaning this is a good skill for anyone who also wishes to invest in traditional stock models.
- Debt Elimination and Saving Strategy. Savings is the best single financial behavior an adult can practice. Debt accumulation is the worst. It’s very important that you stop taking on debt in your thirties, if you have not already done so. There are exceptions: school debt, business debt, a mortgage, anything that is paying for you to enter a better standard of living or employment. Other than that, save aggressively, and pay off debt even more aggressively. This is the foundation upon which all other financial behaviors will be built.
- Long Term Investments in Several Forms. Not everyone must invest. And not everyone must invest in the same way. But those who wish to have financial stability in a future where personal health and income aren’t a sure thing must prepare through savings and investment. Invest in long term retirement (check out this review of Betterment to understand contemporary resources) with an IRA and/or 401(k). Invest in housing stability by buying your own home, hopefully paying it off in full well before you enter retirement. Invest in educational and business ventures that will allow you to build wealth and satisfaction with living. Invest in your health with good habits of diet and exercise.
These aren’t the only things you might do to be financially healthy in your thirties, but if you did these and only these, you’d still be doing a lot better than many people.
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