Page last updated: 05 October 2020

Mary Holm’s introductory guide to investing

Investing in financial products like shares, bonds, funds and KiwiSaver are all ways to grow your wealth. Regularly putting a little money aside today can reap rewards later in life.

But there are myths about investing that stop many people from taking part. They imagine investors as flash young risk-takers with money to burn. They remember times past when some investments did fail.

Investing isn’t risk-free. In fact, if there’s one single truth, it’s that no investment is risk-free. That’s why the proverb "Don’t put all your eggs in one basket" is especially true in investing.

As for the untruths about investing – the myths that may be stopping you or someone you know from taking part – there’s no one better to dispel them than Mary Holm, who's been demystifying personal finance for Kiwis for several decades, in books, columns and on the radio.

In this booklet written by Mary for the FMA, she sets the record straight on eight common myths about investing. It’s a quick guide for anyone who’s thinking about or already dabbling in investing – and wants to know more.

Download the Hits and Myths Guidebook

MaryHolmInvestorGuideBanner

Myths Guide

Investing Myth #1: ‘I am not an investor’
Myth #1: ‘I am not an investor’ If you’ve ever earned interest in a bank account, you are an investor. I define 'investing' as setting aside mon
Investing Myth #2: 'KiwiSaver isn’t a real investment'
Myth #2: 'KiwiSaver isn’t a real investment' Thousands of New Zealanders have stumbled into KiwiSaver, by being auto-enrolled when they got a new jo
Investing Myth #3: 'Investing is just too risky'
Myth #3: 'Investing is just too risky' There are investments available at all risk levels. The safest investments are government bonds and Kiwi Bonds,
Investing Myth #4: 'I'm not rich enough to invest'
Myth #4: 'I'm not rich enough to invest' Anyone can be an investor, even if you don’t have much money to spare. Careful investing is a way to build
Investing Myth #5: 'Real investors play the share market'
Myth #5: 'Real investors play the share market'. It’s probably true that people who tend to talk about their investments are more likely to be regul
Investing Myth #6: 'Investing is too difficult and time-consuming'
Myth #6: 'Investing is too difficult and time-consuming'. The language of investing can seem difficult. There are many options. And all the rules abou
Investing Myth #7: 'I’m too old to start investing now'
Myth #7: 'I’m too old to start investing now'. While it’s great to start investing when you’re young it’s never too late to start!
Investing Myth #8: 'Getting advice is too expensive'
Myth #8: 'Getting advice is too expensive' - Advice can be particularly helpful when your situation is changing. You can often get free financial adv