Procrastinating Investor. That’s me!

Procrastinating Investor. That’s me!

Listen to Ruth from The Happy Saver

If you would prefer to listen to me read this blog post, please click on the play button.

 

I will keep it brief this week I promise!

Time is money.

Three months ago I had a Term Deposit end and the money was deposited back into my ‘high interest’ bank account. Interest rates for savers are shockingly low and my money has been lazing around in that account earning stuff all. I had good intentions to immediately do something about it but found all manner of ways to procrastinate: holidays, visitors, gardening, running, school stuff, drinking wine…

But it is 5.30am on a Tuesday morning and I have woken up with clear intentions. Coffee and investing.

Before 6am I am going to organise two things:

  1. Buy more Smartshares on a regular basis
  2. Set up a new term deposit

If you have not read my blogs on Smartshares and how to buy them, you can find them here:

Buying shares in 27 minutes...

Mr Happy Saver’s Index Fund (SmartShares) Update

I had decided ages ago that although I already buy a small amount of Smartshares each month and while I will continue with this, I wanted to up my investment quite a lot. After being involved with them for some time now I’m confident in how they are performing for me and I want to invest more heavily. But The Wise Mary Holm does repeatedly offer the suggestion to stagger investing.

To explain:

If I bought $20,000 of FNZ Smartshares today the share price is $2.08. I would receive 9,615 shares.

Back in September the share price was $2.34. I would have received 8,547.

Quite a difference.

Who knows when it is going to go up or down so by investing smaller amounts steadily over the long run you average out the highs and lows. Some months my money buys more shares and sometimes less.

As I’m already an investor it is a quick process to buy more shares:

  1. I jumped on www.smartshares.co.nz
  2. Clicked Invest
  3. Clicked Apply Online

I did have to stop and have a giggle at the photo of the slick looking investor working on his laptop in a flash office. If only they could have seen me in my slippers with my hair standing on end while gulping coffee:

SmartShares website

I had my CSN number (this is the common shareholder number that you will receive when you buy shares for the first time and is unique to you), my bank details and my drivers licence handy as these were all required. It took me five minutes to invest a lump sum of $1,000 into my existing FNZ Fund (NZ Top 50 Fund). If you have read my other posts on Smartshares you may remember that this won’t be processed until the end of December. Sigh. But at least it is set up and good to go. And they won’t draw the money out of my account until then either.

Finally I have put a reminder on my phone to do this exact process next month on the 20th and the month after that and so on until either I’m happy with the amount there or I run out of money to invest! I’m hoping for the former.

Next I jumped on www.interest.co.nz and searched for their term deposit rates. A quick scan of their list told me that all the rates are terribly low and that TSB were offering a ‘good’ rate of 3.65% for 13 months. That will do me. I emailed them my request and am awaiting a call back once they start work. Done!

Why bother to do a Term Deposit when my money could work harder for me elsewhere?  Habit, ease of getting it out if I need it quickly, better than having it in my bank account are my answers.

All finished now!

That was not too hard now was it Ruth, why did I not do that months ago?

Note to self: Next time stop procrastinating and get on with it!

And what about YOU… What are YOU putting off until tomorrow that you could be doing today?

Happy Saving!

Ruth

 

The Happy Saver podcast recommendations

Podcast of the week!

I listened to an excellent podcast this week that made me think of a dozen different people I know who are wanting to/trying to/planning to start their own ‘thing’. Listen to this and you will feel truly motivated. I promise!

www.madfientist.com

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