As a long-term investor, I tend to believe that investors will support themselves if they start buying stocks sooner rather than later.

So is there an age beyond which I think it’s no longer worth bothering with?

Maximum employ of available opportunities

I don’t think so. For example, someone who has He hasn’t invested a penny yet until he turns 50 they could still amass a sizeable pension pot by the time they reach the retirement age of 67 (which is expected to rise to 68, even though life expectancy has fallen compared to pre-pandemic).

However, such a person would do well to consider how to earn as much as possible from the remaining investment period.

For example, imagine they make the maximum annual contribution to their Stocks and Shares ISA, which is £20,000. pounds.

Please note that tax treatment depends on each client’s individual situation and may change in the future. The content of this article is for informational purposes only. It is not intended to be and does not constitute any form of tax advice. Readers are responsible for conducting their own due diligence and obtaining professional advice before making any investment decisions.

Moreover, they claim that they save PLN 1,000 every month. pounds into a Self-Invested Personal Pension (SIPP). This amount would be increased, thanks to tax relief, to £1,250 (for a basic rate taxpayer; higher and additional rate taxpayers could get even more tax relief).

Therefore, the investor would invest PLN 35,000 annually. pounds in stocks and shares. Going from 50 to 67 years would allow you to invest PLN 595,000. pounds.

You are trying to employ the stock market to your advantage

But this amount does not benefit from stock investments yet. If you just put the money into a Cash ISA instead, £20,000 a year will add up in the same way. Additionally, it has the potential to earn bank interest with very little, if any, risk.

Instead, the idea would be to start buying shares with the goal of holding them for a longer period of time in the hope that some capital gains and dividends might occur. This may not be the case, of course: stocks can fall as well as rise in value, and dividends are never guaranteed.

However, even at age 50, the retirement window is long enough that a diversified portfolio of carefully selected stocks should be sufficient to weather a variety of stock market conditions – hopefully some good ones as well.

Let’s assume that the total amount invested grows by 7% per year (we call this compounding). Starting at 50 with nothing and investing as described above, your pension pot should be worth around £1,079,408 by the age of 67.

So is it worth starting to buy shares after 50? I would say yes!

Choosing the right stocks matters

None of us have a crystal ball, but the key to this approach is to buy and hold high-quality stocks.

I think investors should consider one of them FTSE100 asset manager M&G (LSE: MNG), with a dividend yield of 6.6%.

The company intends to escalate its dividend per share every year. This has been the case for recent years, although there is no guarantee that this trend will be maintained in the long term.

The company operates in a market with high customer demand. I expect it will stay that way. And its forceful brand, gigantic customer base and in-depth knowledge of financial markets provide a competitive advantage.

I think its international scope is helpful, although it also adds complexity and cost.

One risk is that a market crash could cause policyholders to withdraw funds, negatively impacting profits. However, from a long-term perspective, I like the company’s prospects.