How to become a millionaire by investing? (Mid-30s)

How do I Become a Millionaire?

Not everyone have the luxury of living in a big white mansion with inheritance money.  Not many have jumped on the BitCoin train and made multiple folds of earnings from a very small capital. Some of us actually worked hard in school, obtain a good degree, got a fantastic job BUT still not even close to being a millionaire. Where did it all go wrong? Anyone in their mid 30s with a comfortable level savings, controlled finance and steady stream of passive investment can still become a millionaire.  

How do I invest for growth? Is it too late to take a little risk? If you are still not saving in your mid 30s, then you are taking an enormous risk. Or perhaps you may be investing on a business which could potentially grow. Regardless of the circumstances, to retire as a comfortable millionaire is not how you earn but how you save and invest.

This article is focus on the investment and not how to save. For savings please refer to this article. Make sure you have enough emergency funds before considering investments in stocks and shares.

Three Key Steps.

There are three key reasons why you have stumbled into this article today. First reason, you are clearly unhappy that your savings bank account is paying a very low interest. Second reason, you cannot understand how your friends and colleagues are boasting on how well they are doing in their investment and have no clue how to mimic them. Third reason, how much should be saved and invested to achieve the reasonable goals for my current age.

To be totally honest being in your mid 30’s is probably the best time to plan for the future retirement. All the parties, travel plans, toys and gadget days are perhaps done and dusted. The greatest tool we have left is time. Between the age of 35 to 65 years you have 30 golden years to compound interest from start to a millionaire. The risk you take at this age is simply low and probably have sufficient funds and savings for a good portfolio. Finally the rate of success is probably highest too.

Case Study.

$20,000 starter savings, you would need three key conditions to retire as a millionaire in 30 years.

  • Dividends reinvested for further growth
  • Minimal 8% growth every year with reinvested dividends of 3%
  • Annual annuities of $3,000.00 (yearly top up)

Case #1 - Minimal requirement to How to Become a Millionaire club.

To begin our case study, we would like to assume you have at least USD20,000 in savings (this must be different to your emergency savings fundswhich you do not need for any near future requirement (i.e. Mortgage, school fees or a shopping spree). This is crucial because a long term commitment is required for compounding growth.

Case #2 - Yearly Increment from $3,000 to $5,000 gives you another half a million!

By increasing the savings contributed a year to $5,000, you increase the final figure by almost half million dollars more than case 1! Keeping the time, growth and dividends exactly the same.

Case #3 - Yearly Increment from $3,000 to $7,000 gives you another $850,000!

By increasing the savings contributed a year to $7,000, you increase the final figure by almost another million dollars! Keeping the time, growth and dividends exactly the same.

Case #4 - Yearly Increment from $10,000 reduces your retirement by 8 years!

By increasing the savings contributed a year to $10,000, you can actually save 8 years of your life and retire younger with one million dollars.

3 Rules for creating an automatic investment portfolio.

My Guidelines below guides on how to deploy a 100% equity portfolio to help gain the required yearly growth. I have always recommended index trackers with at least the first $10,000 for any portfolio. Creating your own investment portfolio by hand picking individual shares or stocks are generally riskier. Please do understand the risk before investing your money. It takes plenty of work and requires at least 30 hours spare time a month to research  and follow these guidelines shown below. Please do refer to this page for more basic ground rule.

Rule 1 of ‘How to become a millionaire’ club

Firstly, lets identify reliable non-cyclical shares with increasing dividends for longevity including dividend reinvestment plans. This 30% plus the 15% cash will help to reduce the impact for any financial correction. For tips on how to survive a major financial crash please read this blog.

Tip#1 identify companies which will still be striving when you retire or when your grandchildren starts going to university or work. (i.e. probably Disney, Starbucks, Microsoft, etc)

Tip #2 Identify good non-cyclical shares by going for a weekend shopping with the family. Remember to bring a note pad and to identify all the companies in your groceries shopping. You would most likely find 8-10 common companies which you do not realised are own by the same companies. (Dieago, Unilever, P&G, Heinz, Pamolive/Colgate, Coke, Pepsi, etc).

Tip#3 These non-cyclical shares can be invested on a  regular basis. Make sure you get a free app on your phone with alerts which would track your favourite ones. 

Rule 2 of ‘How to become a millionaire’ club

Identify good growth shares to help boost the growth (DOH!). Many growth shares have poor dividends or no dividends at all. Please remember to always buy growth shares during a market financial correction.

Growth shares are fairly tricky. If all of us have a crystal ball, then the stock market would be non existence. Between 2012-2017 the chances of identifying a growth stock was whole lot easier compared to 2002 to 2007. Simply because there was more data analysis platform for non-professional personal investor. Also the global growth are more synchronise in the later era.

Tip#3 Stick to your day trade. If you work for the oil and gas, gamer, logistics consultant, bio technologist, doctor, insurance advisor; look into your fields and study the strength and weakness of your field and try to pick out the cream of the crop stock. This way it will give you more superior confidence since you potentially have better inside information.

Tip#4 Never follow someone else’s recommendation. Always do your own research and make sure you invest based on your own decision and not someone else’s recommendation. 

Tip#5 never be afraid to look into emerging markets. Emerging market poised more risk than the FTSE, EU, NASDAQ. If you are genuinely looking for growth perhaps study and research into China, India, Latin America, South Africa.

Tip#6 Never house all your eggs into one basket. Never just focus on Technology stocks as it is the trend. Never just buy bio stocks or Oil and Gas stocks. Diversify Diversify Diversify.

Rule 3 of ‘How to become a millionaire’ club

Risky shares of 15% is not lot but good enough to create room for good growth (or drop too). If carefully selected, a higher risk shares could increase multiple folds in value

Tip#7 Always have a minimal of 15% cash available when required. No one can anticipate a market correction or financial crash. Having spare cash set aside of at least 15% it gives a good advantage to capitalised on this opportunity.

Tip#8 Cash can be used as emergency fund if needed rather than selling shares.

Tip#9 Save Save Save. Never assume financial stocks investment requires a one off capital. It requires regular savings to help grow and gather momentum of the growth.

Final Words

Being in 30s is anyone’s golden years for getting their finances right to ensure sufficient time for wealth to grow. How do I become a millionaire by investing in from my 30s? Simply by saving and investing your surplus cash to generate more wealth as shown in the case studies. Always be prepared to save no matter what. Investment helps money to generate more money passively without interrupting your day job. 


Dr Alex Koh
Founder and CEO of
Family Finance Made Simple

Copyright © *2018* *MooMooCoo*, All rights reserved.

Our mailing address is:


1 thought on “How to become a millionaire by investing? (Mid-30s)”

  1. Pingback: How much time should I be spending on my Financial Investment? –

Leave a Comment

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

%d bloggers like this: