Camille Van Vyve
14 Feb 2024
Your financial checklist for 2024
Time to make those New Year's resolutions! As the stock market just wrapped up the year with an incredible +17%, here's a concise list of actions to enhance your financial well-being in 2024.
1. Start investing
If you've never taken the plunge due to lack of time, knowledge, or just procrastination, now is the time to act. Given the current inflation rate, delaying your move erodes your purchasing power each year on a low-yield savings account. Remember, in investing, one golden rule prevails: the sooner, the better! The longer your investment horizon, the more you benefit from the compounding effect, which has an exponential impact on your savings in the long run.
2. Already an investor? Audit your portfolio
Good news if you already have an investment portfolio. But are you sure it's delivering respectable performance, at least comparable to the market? Easyvest offers a free audit of your existing portfolio based on risk level, fees, and past performance. We compare these parameters to a comparable Easyvest portfolio to assess if your manager is truly delivering on promises. In 2023, 90% of audits we conducted concluded that Belgian managers were underperforming compared to the market...
3. Don't overlook stocks
"Stocks are too risky!" While they carry risk, it's mitigated when exposure is sufficiently diversified. At Easyvest, diversification is taken to the maximum, with our portfolios invested, among other things, in a global equity tracker that mirrors 99% of the entire investable market. With an average long-term return of 7% per year, the global stock market is very difficult to beat. Not to mention that 2023 offered investors a 17% return...
4. Invest regularly
Afraid of investing at the wrong time? Don't want to jump in when the market is down, nor when it's up because "it will eventually take a hit"? To avoid this mental torture, invest smaller amounts regularly! This technique of smoothing or "dollar-cost averaging" reduces the risk of volatility and, most importantly, the stress associated with timing. With Easyvest, you can preset the amount and frequency of your investments to invest rationally and disciplinedly without constant worry.
5. Think about your pension
Investing for your pension in the long term, but how much? With the Easyvest app, you can calculate your projected retirement income, set a more ambitious goal if this income seems insufficient, and open an investment plan to reach that goal. The app even suggests the monthly amount to invest to achieve it. A few clicks, and it's sorted!
6. Seek advice
This checklist is helpful, but despite that, you might not want to venture alone. That's understandable! At Easyvest, we blend a high level of digitalization with ultra-personalized service. A few minutes are enough to first run a simulation on our site and get acquainted with our approach. Then, schedule a meeting with one of our managers who will analyze your situation and provide the best possible recommendation.