Liverpool veteran Jamie Carragher believes the club are on the right track with regards to their transfer policy.
The Reds have made a conscious effort to invest in youth, with Kenny Dalglish and director of football Damien Comolli working together to build a squad capable of challenging for years.
"The club now has a policy of focusing attention on young players and I think that's the right way for clubs to go," the versatile defender told the official Liverpool website.
"You want to develop a team and have players at the club for a long time. I think that approach will really benefit us.
"Things don't always work out, but it's much easier to move on a younger player who still has a decent sell-on value than someone in their 30s."
Jordan Henderson is a prime example of the club's appetite to bring young players to Anfield, with the reported £20 million transfer bringing the England international to Merseyside.
His move from Sunderland is one that sits well with the vice-captain, and Carragher is confident Henderson can go on to become a top signing for the Reds. "Jordan is a great signing. I know one of the coaches at Sunderland who rates Jordan very highly.
"He had a great season with Sunderland and we're fortunate to have got him. I think he will add real energy to our midfield."