Investor Journeys—Rhoville NatividadInvestor Journeys—Rhoville Natividad

We chatted to Rhoville about the ups and downs of his investing journey, and how it’s changed his habits with money.

Why did you start investing?

I enjoyed playing games so much, that I would often purchase “items” or “heroes” from their online stores. After doing this for a while, and jumping from one game to another, I realised that what I was buying was just temporary, and wouldn’t benefit me in the long term. All that time, instead of putting my money into the games, I should have invested it or at least put the money into something more worthwhile.

Tell us about your first investment!

I actually started with Forex (not the best thing to start). I was lucky at the beginning because I was earning returns, but then all my gains started to diminish. I then experimented with cryptocurrency and individual shares. Bitcoin was on the rise at the time. I bought it when it was around the $12,000 mark. The first few months were fun—until it wasn’t. I started losing a lot of money.

One of my best trades was with Apple. I forgot how much I invested that night, but when I woke up the next day, I gained almost $3000! It was the night when Warren Buffet invested a big amount in Apple. Again, it was luck and I sold too early. All I was thinking was that I wanted to get even with my losses (I’m still at a loss now). When I started, there wasn’t a process or a plan. I just put money on things I thought would make a profit.

I really learnt about investing when I joined a group of like-minded people investing in the Philippine Stock Exchange. I also learnt a lot from watching YouTube videos of people talking about how they trade on the market. Now, every time I invest, I have a game plan!

What would you do differently, if anything?

When I recall what I did back then, I feel like I should’ve planned my investments properly, and not based my trades on emotions and hunches. I also should’ve used my own money, rather than using credit cards or anything like that.

When I started investing, I thought that I was going to make money straight away and be rich. I couldn’t have been more wrong. It takes patience and time to be an effective investor.

What do you like about having an investment?

I feel excited that my spare money is growing, and I feel like I’m becoming a responsible adult! Investing helps the New Zealand economy—especially if you’re investing in the local market.

There’s also something about investing that will change a person’s perspective on money. For me, it was about how to best manage my money and allocate my salary to the things that really mattered—like paying off debt before buying new things and being part of a trend.

Has investing helped you become better with money?

Investing has made me more responsible with my money! I now track my expenses and allocate my fortnightly salary based on my long-term plans—which is to pay my debt off. I make sure that I adjust my budget as well, and have contingency funds so I won’t rely on borrowing money from my credit card (which I now want to cancel). If I want to buy something, I make sure that I save and think about the purchase first.

I treat my investments like I’d treat a debt that I need to pay. That way, I’m obligated to pay for it from my fortnightly salary.

What tips would you give to everyday New Zealanders who think you need loads of money to invest?

I thought that to be able to start investing, you need to have heaps of money. But there are platforms such as Sharesies that will help you start investing from as little as you want. If you’re just starting, you can choose low to medium risks funds—they often earn interest rates higher than savings accounts. If you’re confident, have invested before, or know that you’re in it for the long term, you can even try buying shares in companies!

Even if you’re on a minimum wage, more often than not you can find a way to at least save $5 per payday. You can put this in your Portfolio and treat it as paying your future self. Even if you think you don’t earn enough, you can look at spending better. It can be something as simple as sacrificing one cup of coffee per week. As some say, “little can be huge”.

What is the best piece of advice you’ve given (or been given) about investing?

1. Pay off your debt before you start investing

2. Have an emergency fund that you can take money out of at any time (investments are not an emergency fund!)

3. Diversify your Portfolio—don’t put all your eggs in one basket

4. Explore multiple passive income streams

5. Let your money work for you in the long run, not the other way around! 😊