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The DIY Investor by Andy Bell

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chapter 2

Setting your investment objectives

It is impossible to invest effectively without a clear understanding of your investment objectives or goals. Once you have clarity on your investment objectives, making investment decisions becomes a lot easier.

For many people, putting away as much as they can afford is their investment objective. Saying ‘I will save as much as I can’ is certainly better than doing nothing, but it is like going for a drive without having decided on your final destination. You will have a far greater chance of getting where you want to if you know where you are going from the start.

Creating a realistic set of investment objectives can be difficult, so at first allow yourself to be as specific or as vague as you ...

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