Chris Linkas Head of European Credit Group is responsible for optimistic principal investments in the UK and Europe region has a fresh insight for youth to invest young in financial instruments and capitalize on the long-term compound growth of investments established at younger ages. The principal benefits of investing at a young age revolve around the time factor in compounding interest. The value of long-term low-risk investments at a young age provides benefits of compound interest that delivers proven returns the longer the investment is compounding.
Investing to generate large long-term returns over 30 to 40 year period is an established and sound approach. Most young potential investors believe that they will invest later in life at a more stable point in their life and career may be in their 30’s and 40’s. They think this will give them an opportunity to invest more and make higher returns at a later stage in their life. Contrarily, that, in turn, can be less productive than them investing a small amount early and allowing the compound interest to multiply the return on that investment from a younger age.
Chris Linkas brings a new insight into the conversation by giving proven facts on the difference between an investment opportunity at a younger age over investment opportunities when you are older and more stable in your financial life and career. In fact, a $10,000 investment made at 20 years of age will produce $70,000 at 60 years in compound returns, however, at 40 years old that same $10,000 investment yields only a $26,000 return by the age of 60. This simple example explains the difference between successful investments at a young age over the same investment at a later age in the returns delivered at retirement. Chris Linkas has provided fresh insight for youth to invest while they’re young and gain the benefits of compounding interest over the life of their career and have an opportunity to enjoy their retirement with the financial resources they need.