First Person: The 6 Best Investments You Can Make in Life

Here are the most important investments you can make in life. These selections are based on my personal experiences and my observations of successful, happy and prosperous people.

Your Partner. Choose your wife or husband wisely and then nurture the relationship. Invest time and effort and you will reap a rich long-term reward. Sometimes if you make the wrong investment you have to cut your losses and start again but the same principles apply. If you are fortunate one of the outcomes of your investment will be wonderful children and a happy family life. If you look after your partner and family then you will have someone who loves you when you are old and wrinkly.

Your Education and Career. Time, effort and money spent on your education and career development will pay strong dividends as this is the main source of income for most of us. We live in an economy which dictates the need for lifelong learning. You have to keep learning new skills if you are to move up the ladder. We can all improve our communication, time management and people management skills so read self-help books and go on the courses you need to keep up to date.

Your Health. If your health fails then nothing else really matters, yet we often take good health for granted. Get regular medical check-ups. Keep your weight down and your fitness up. Be aware of the risks that your lifestyle involves and develop a plan to improve your health and fitness.

Your Home. Try to buy the home you live in. Rent is dead money. Once you have bought your home then maintain it and improve it. Try to pay down your mortgage reasonably quickly so that you have equity in the bricks and mortar around you. Your home should be a place you love and an investment for the future.

Your Pension. Put small amounts away from early in your career so as to give your pension funds time to grow. Remember to diversify your pension investments and balance risk with long-term growth.

Your Stocks and Shares. Keep some money in cash deposits so that you can cope with the ups and downs of life, but try to invest a little every year in good quality stocks and mutual funds. Look to diversify into different sectors and geographies. Go for good long-term growth stocks. Sell the poor performers and put more money into the stars, but never have more that 15% of your money in any one investment.

If you focus on these six investments then your increase your chances of a long, happy and fulfilling life. What more can anyone ask?

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