I embarked on my first investment journey with Wahed in November 2021. Wahed Invest is a robo-advisor focused on Sharia-compliant investing, making it an intriguing option for Muslims who wish to follow tenets such as avoiding investments in vices like alcohol or gambling and not profiting from usury. Launched in 2015, Wahed claims to be the world’s first automated Islamic investment platform and has grown stronger over the years.
It wasn’t a whim that led me to invest; Wahed kept popping up on my Twitter feed for months from an account named ‘Xavier Naxa’. One day, I said to myself, “To hell with it! If it keeps popping up, that means it’s a sign to do something about it.” During that time, I had been thinking about starting my investment journey because I always wanted to earn more money but didn’t have the courage to start. Finally, it happened, but not as I had imagined. In the first few days, even weeks, I kept looking at the graph multiple times a day. It was not healthy! I couldn’t stop until I had anxieties looking over the graph. That became a sign for me to stop obsessing over it and not look at all. And that’s what I did for the next few months. I would only check when ‘Xavier Naxa’ tweeted about it, which I found extremely helpful and healthy.
However my initial enthusiasm for Wahed Invest led me to make a significant mistake, one that I hope others can learn from. Don’t be like me—heed this advice to avoid the pitfalls of early investing.
In 2022, just a few months into my investment journey with Wahed, I got carried away with excitement. Instead of sticking with one portfolio, I signed up for two. My greed led me to this decision, but I didn’t consider the consequences.
Five months in, I found myself managing two portfolios. The fees associated with maintaining both began to accumulate, and I was losing money. Eventually, I had to close one portfolio and withdraw my investments at a loss. This experience was traumatizing, and seeing my investments in the negatives for months made me stop investing in Wahed for almost a year.
Despite my hiatus, Wahed saw a significant rise in 2023 and continued to perform well into 2024. Unfortunately, because I hadn’t topped up my investments for a year, my returns were not as substantial as those who consistently invested every month, even during the downturn.
My journey with Wahed taught me several valuable lessons:
Stay Consistent: Consistent investments, even during downturns, can lead to significant gains when the market recovers.
Avoid Greed: Stick to one portfolio or strategy until you have enough experience and understanding to diversify wisely.
Be Patient: Investing is a long-term commitment. There will be ups and downs, but patience and perseverance are key.
Wahed is currently performing well, and I hope the market dips so I can top up my investments. However, I’ve learned to live with my choices and the consequences that follow. My advice to fellow investors is to stay strong-willed and know your limits. Learn from my experience as a novice investor: perseverance and strong will are essential in this industry.
If you’re interested in starting your investment journey with Wahed, use my referral code – IMASAH1 or wahed to earn RM10 on your first investment. Follow me for more stories and insights about investing, reading, cooking, and whatever else I’m currently passionate about.
