Kate Campbell from How to Money – Investing Started Young

kate campbell

Thanks to Kate Campbell for this week’s wealth building strategy. For those of us over 30 (or 40), there is absolutely no use crying over spilt milk. But for any young readers, you have the Most powerful investing strategy in investing returns available to you…lots and lots of time!

Each week, I have asked a finance blogger or podcaster to share their personal wealth building strategies. I am hoping these will be useful to compare lots of different strategies and perspectives to provide ideas and insight in your own investing journey.

Name/ Online identity:

Kate Campbell – Editor and Host of How To Money


How To Money Australia

“9 to 5” profession:

Kate Campbell is a podcast Host & Personal Finance Educator & Juris Doctor Student (Aussie doc: postgraduate law course, I had to clarify!)

I currently work at Rask Australia, an Aussie start-up providing investment research and financial education resources, in a marketing and education role.

It’s the perfect role for me, as I’m passionate about improving the financial literacy of other Australians. I also host The Australian Finance Podcast and the How To Money podcast, which is a lot of fun.

Aussie Doc: I’ve listed this as one of the best finance podcasts. It’s ideal if you don’t know where to start with learning about investing.

Side Hustles:

At the moment all my hobbies and side projects are costing me money, but I’m actually super okay with that!

What are your investing goals?

My main goal is to become financially independent and always look after myself. I am also working to develop my confidence with researching and investing in individual shares (which is most definitely a work in progress)!

What is your investing time frame? How far along are you?

I started investing in 2017 with a managed fund and a few shares here and there, as I tested out the waters and started learning all there is to know about personal finances.

Investing will definitely be a lifelong journey for me, but I’d love to be well on my way to financial independence over the next two decades!

What the most powerful wealth building tool available to you?

I’d have to say at the moment it’s time. Being in my 20s I’ve got the chance to take advantage of getting my finances sorted early, learning at much as I can and letting compound interest do the heavy lifting over the next few decades.

What wealth building habits are you utilising to reach your goals?

The most important thing that’s helped me get to where I am today is by focusing strongly on my education. Not only has that helped me forge my own career path, but spending time to understand my personal finances has opened up the world of investing to me.

The second wealth building habit that I’ve been using is automating and simplifying my financial plan as much as possible. This includes automatic transfers of money into different accounts when I get paid, setting up regular contribution plans on my investments and scheduling calendar events to review my financial plan each month.

What is your strategy to achieve this?

Over the last few years I’ve set up a number of accounts to enact my financial plan, which I reset on a yearly basis and review on a monthly basis. This includes use of ETFs, shares, managed funds, Super and cash. I make sure that I’m able to pay myself first and invest each month, so that I’m looking after my financial future.

How long have you been using this strategy?

I’ve been developing my strategy over the last five years, and it’s definitely still a work in progress! Over the last two years I’ve refined my investment strategy as much as possible, to give me time to focus on other areas of my life.

What makes your strategy suit your personal situation?

I’m so grateful that I’m young and have plenty of time to let things play out. As long as I focus on getting the big things right now, like diversification, low fees, automated investments and knowledge, I don’t have to worry about the small things like coffee.

I don’t believe you ever stop learning on your personal finance journey, but you start to work out what goals are essential to your peace of mind (like having an emergency fund), and when you’ve done enough.

I’ve also learnt that progress for the sake of progress isn’t a constructive approach, and it’s beneficial to fully understand the motivations behind your goal and what the end result will look like to more effectively achieve it.

Where do you stand on the great property vs shares debate? Why?

I was hoping to go travelling in 2020, so my main focus was saving up for that and the thought of saving up a house deposit hadn’t even crossed my mind! That being said, 2020 did lead me to learning more about property and I wouldn’t mind purchasing a place in the next few years.

Property and shares are not mutually exclusive though, you can invest in both (and in a well-diversified portfolio that’s probably a good idea).

I will mention that there’re other ways to invest in property besides buying a physical house. REITs (real estate investment trusts) and certain ETFs are a simple way to get exposure to the Australian and international real estate and infrastructure.

Where do you stand on investing for capital growth vs income?  Why?

My focus at this stage is definitely capital growth. Sure, getting a dividend is a nice bonus, but over the next 40 years I want to maximise my money’s ability to compound.

I think there’s definitely a time for both approaches, and it’s all about knowing your own goals, risk profile and time frame.

Do you have any financial regrets?

Hmm…I don’t really regret all the mistakes I made at the start of my investment journey as I learnt from them, and it helped me to improve my own knowledge and confidence. I’m so lucky that I learned about investing when I only had a small amount of money, because it meant any losses were bearable, and I was able to learn and move forward from them.

To see all the wealth building strategies shared with Aussie doc freedom, check out the Ultimate Step by Step guide to Wealth building, with wealth building strategies.

Aussie Doc Freedom is not a financial adviser and does need offer any advise.  Information on this website is purely a description of my experiences and learning.  Please check with your independent financial adviser or accountant before making any changes.

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