When you consider investing, it’s worth understanding that this is a big step. Cash savings through traditional means currently give very low interest rates, so turning to the markets can potentially give you a much better return. But there is also considerably more risk since markets can go up and down. There are also certain factors to take into account before committing to a new strategy, such as ensuring that you have safeguards in place.
By leaving your money in a savings account, you could lose out as your returns are unlikely to keep pace with inflation. You’re much more likely to see growth if you are willing to take some risks, but it’s essential that you’re comfortable with these risks. You are only ready to become an investor if you can face the fact that there are no guarantees.
(The value of pensions and investments and the income they produce can go down as well as up and you may not get back the full amount you originally invested.)
Your financial adviser will help you through the main considerations:
Financial goals
Do you have a particular reason for investing? You may be looking to simply grow your money or you may want a regular income from it. Having figures in mind will help your planning and give you a clearer idea of the amount of risk you can cope with to reach your goals.
Time Frame
You also need a clear idea of when you wish to achieve your goals, which will inform the kind of rates of return you’re looking for from your investments.
From this you can see how realistic your goals are. Bear in mind such concerns as age and health when looking at short-term versus medium- and long-term goals.
Attitude to Risk
This is crucial, as if you end up with a strategy that’s so risky that it fills you with worry, then high risk probably isn’t for you. Our financial advisers are well-versed on the financial landscape throughout the UK. We will carefully assess your attitude to risk and this will inform our exploration of the marketplace. You can therefore be confident that we will look to match your investments to the level of risk you are comfortable with.
Realistic Investment Sums
Carefully assess all your outgoings to arrive at an understanding of how much spare cash you can comfortably invest, and think in terms of longer-term propositions.
How Wealth Design can help:
Independence: As we are Independent Financial Advisers, you can have peace of mind, knowing that we are not tied to particular partners or providers. We take time to research the whole of the vast market to find you the best products and options within the changing investment landscape.
Review: Ongoing financial advice regarding your portfolio is essential. Your financial objectives may change over the years due to changes in your lifestyle or circumstances. Therefore, the review process with your financial adviser is an aspect of our service that is prioritised to ensure that your portfolio continues to meet your lifestyle and investment objectives.
Choice: You can choose either a Standard or Enhanced service for the management of your investments, dependent upon your own preferred level of involvement. Our financial advisers are happy to engage you in your financial affairs to the degree you feel comfortable with.