Generating wealth: taking the first steps

Why investing from an early age is beneficial.

Article updated: 24 July 2019 11:00am Author: Tracy Zhao

I had my first savings account when I was 14 and started to deposit my ‘red envelope’ money into it. As a native Chinese born in the early 80s, I was taught to save but not invest. By 18, I was sitting on a small fortune. Had I invested it into the financial markets instead of allowing inflation to chip away at my purchasing power in the savings account, I could have gained more. The reason I wasn’t taught about investing was that it was deemed to be risky and speculative. Though this is not entirely incorrect, looking back, as an 18 year-old, time was on my side and I could afford to be adventurous on the long road to future wealth.

News comes to light that the first batches of the beneficiaries of Child Trust Funds (CTF) are approaching 18. We’ve been campaigning for the awareness of CTFs and teaching children to save and I couldn’t stop wondering what they would do with this small windfall. Now a financial professional, I want to shout out loud: let it be their first investment contribution and kick start the snowball of wealth.

The following investments focus on long term compounding gain and are professionally managed, a good first step to grow wealth for an 18 year old.

CFP SDL UK Buffettology Fund seeks to deliver a return superior to the performance of the UK stock markets over the long term. They plan to do this by principally investing in UK equities with strong operating franchises and experienced management teams, applying the methodology of Business Perspective Investing.

Polar Capital Technology Trust aims to maximise capital growth for their shareholders through investing in a diversified portfolio of technology companies around the world. This includes areas as diverse as information, media, communications, environmental, healthcare and renewable energy, as well as the more obvious applications such as computing and associated industries.

TC Multi Manager Adventurous Fund aims to provide capital growth and is suitable for investors that prefer to have exposure to developed, developing and frontier stock markets, as well as specific sectors, and those that have an appetite for high risk returns. It comprises of other funds that invest in a mix of equities, bonds, commodities and alternatives, which are used to diversify how much risk the manager takes to achieve returns. Investors should be aware that the fund is a part of our in-house ready-made ISA arrangements.

All information given including prices, yields and our opinion is correct at the time of publication. Our opinions on investments can change at any time and for our latest view please go to To understand how our Investment research team arrive at their views please read our Investment Research Policy.

Tracy Zhao

Investment Research Analyst & Trainee Investment Manager

Tracy has a master’s degree in Financial Analysis & Fund Management, and a background in financial services and auditing. She supports our Platinum 120 preferred range of funds and works closely with our fund managers, undertaking fund research, analysis and MI reporting.

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