We exist to make investment easier.
There are lots of ways we can invest our hard earned savings, buts it’s not clear which investments will best help us to meet our financial goals. Often people have savings accounts and property but there are many other ways to invest, including: peer to peer lending and managed funds. Or similarly, what is better: renting vs buying property? Don’t miss out on the best opportunities merely since they are too hard to analyse. The investments need to match our circumstances.
With investment calculator you can automatically analyse a wide range of investment decisions and compare them side by side quantitatively. No longer do you need to build complex manual intensive spreadsheets. Our software creates in seconds, a set of concise metrics and model (table that forecasts monthly values over the life of the investment) to help you see the difference between each investment option. For example, which of the following is likely to give the best return after 5 years:
Savings account at 3.1% p.a.
Peer to peer lending at 8.6% p.a. reinvested into the savings account
Managed fund with 0.9% fee whose last 5 years yield earnings of 11.1% annual effective return
Property purchased for $500k, with 10% deposit mortgage at 4% p.a., $10k buying costs, 5% selling costs and 6% p.a. property growth
And then how do we minimise tax?
There are many ways people talk about investing, our view is the following:
Investing is giving up capital (usually cash) for a period of time in the hopes that it will pay income and/or increase in value.
Investing is long term (think years). If you want to make money in the short term, accept that this is a lot of hard work, and you’re often competing against giants (e.g. stock market speculators). For better or worse, finance in this sense is a zero sum game.
In the long term however, it’s less about competing as you are largely betting on economic growth (which is normally a good bet in most developed countries).
There are many ways to invest, but the best investment needs to match your circumstances. It’s about finding a balance between various factors including:
Growth - increase in value of asset.
Cash-flow - how much cash comes and goes into your account(s).
Income - how much did you earn in a given period, which may or may not be cash.
The questions need to link back to our current and desired lifestyle and goals. Then we need to go about trying to answer them from our own research and calculations e.g.:
How much money should I spend on expenses?
How should I invest my savings?
How should I invest my monthly surplus income?
Should I rent or buy?
How do I minimise tax?
Should I buy a solar or battery system for my home?
Please email us at: firstname.lastname@example.org we'd love to hear from you!