With interest rates beginning to ease and the cost of living still putting pressure on household budgets, many Australians are wondering what to do with their savings. Is now the right time to invest? And if so, where?
A lot of our clients are asking these exact questions. Some are feeling cautious after a few unpredictable years, while others are keen to make the most of improving economic conditions. Whether you’re just starting to build wealth or looking for smarter ways to grow what you’ve already saved, it’s important to understand your investment options and how they fit into today’s financial climate.
Let’s explore your options for investing in 2025.
Property
Property is one of the most popular investment choices in Australia. It’s tangible, often seen as a long-term asset, and can generate both rental income and capital growth. However, getting into the property market can be costly and complex. There are upfront expenses like stamp duty and legal fees, as well as ongoing costs such as maintenance, insurance and property management. It can be a solid option for some, but it’s not always suitable for those who want liquidity or lower risk.
Shares
Shares offer the potential for strong growth, and you don’t need a large amount of money to get started. Investing in the share market gives you access to a wide range of companies and industries, and if you hold onto your shares long enough, you may benefit from dividends as well as capital gains. However, the share market can be volatile. Prices can rise and fall quickly, and it’s important to have a plan in place and a clear understanding of your risk tolerance before jumping in.
Managed Funds and ETFs
Managed funds and exchange-traded funds (ETFs) are popular with those who want to invest in shares or other assets without choosing individual investments themselves. They offer diversification and are managed by professionals, which can take some of the pressure off. These options come with fees, and like shares, their value can fluctuate. They’re often a good middle ground between direct investing and passive saving.
Term Investments
If you’re looking for a reliable option, a term investment might be worth considering. At APS, our term investments offer a fixed return over a set period so you know exactly what you’re going to earn and when you’ll get it. Many of our members choose term investments as a way to keep part of their savings secure while still earning a competitive return. They’re a great fit for those who value certainty and want to avoid the ups and downs of the share market. You can choose the term that suits you, and when it matures, you’ll have the option to reinvest or access your funds.
What’s the right investment strategy for you?
The best investment strategy depends on your goals, your timeline and your comfort with risk. For some, it might be a mix of property, shares and term investments. For others, it could be about starting small and building up gradually.
Whatever stage you’re at, the key is to understand your options and make informed choices that align with your needs. At APS, we’re here to help you explore what’s available and find the right balance for your situation. Whether you’re interested in term investments or want to chat about broader financial planning, our friendly team is always happy to help.
Get in touch today to learn more about how we can support your investment goals.
Written by APS Senior Financial Advisor, Paul Hatzigeorgiadis.
Paul has over 25 years of experience in the financial services sector. Over Paul’s history, he has provided advice to an extensive range of clients from wealth accumulators to pre and post retirees advising them on Wealth Creation, Cash Flow Management, maximising Centrelink benefits in Retirement, Personal Insurances, Debt minimisation strategies and Superannuation. Paul is married with a 12-year-old daughter and enjoys spending time with family and friends. Whether it’s assisting clients to meet their short-term goals or working with them over a longer term, Paul enjoys helping guide his clients with their financial future.