This archive report was first published on 5 June 2020.
Kenya's Business Leaders Share Secrets to Wealth Creation in Your 30s ¶
As you enter your 30s, it's essential to develop a stable financial foundation to create wealth. Kenya's business leaders share their expertise on how to wisely handle cash during this critical decade.
According to Kenneth Kaniu, CEO of Britam Asset Managers (BAAM), paying yourself is crucial in your 30s. 'You must always put something aside that will go towards savings or even better investments,' he advises. This discipline can be nurtured by working with a qualified financial advisor.
Florence Nyokabi, head of HR at Standard Chartered Bank, emphasizes the importance of lifestyle investment. 'Every financial decision you make after hitting your thirties should primary be informed by the kind of lifestyle you want to live now and in your later years,' she says. This determination should form the basis of your investment plan and journey henceforth.
Samuel Gichohi, Business Development Manager at NIC Securities Limited, advises using the money you raise as capital for generating wealth-creating assets. 'I have seen many people try to start to invest when they retire only to realize that investment doesn’t bear fruits overnight. It takes time, consistency, and resilience,' he says.
Erin Baehr, author of Growing Up and Saving Up, recommends diversifying and rebalancing your investments. 'In your thirties, you can now take on more financial risks. These risks should be well calculated and not taken just for the sake of it,' she advises.
Personal finance expert Waceke Nduati-Omanga emphasizes the importance of having an insurance program covering you. 'The insurance package you have at work may not comprehensively cover everything you need,' she says. 'Look into life insurance and be clear on what you need to have protected, then evaluate your options.'
James Njenga, a Nairobi-based money coach, advises paying off bad debts. 'Your objective is to enter your forties without a host of debts such as a HELB loan dating way back to your twenties,' he says. To find favor with your bank, you must maintain a reputable credit score by keeping away from default.
Mr. Njenga also recommends curbing financial wastage. 'Put a stop to impulse buying and start following a budget,' he advises. Kenya's business leaders emphasize the importance of developing a stable financial foundation to create wealth in your 30s.
