Guide to Investing | Jameson Financial

Guide to Investing

With interest rates so low, Investing is another option that can make your money work harder. If you are new to investing, here are some of the questions you may ask yourself.

How long should I invest for?

Your longer terms investment goals might be better achieved by investing your money over a longer term. This is because your money can be invested in funds that have the potential to grow at a higher rate than inflation so that you can have the opportunity to generate a higher return

Are there options for all investor types?

Everyone has different attitudes to risk and every investment has some degree of risk. Lower risk investment aim to protect your initial investment from large falls in value but the potential for large gains is lower than if you choose a higher risk investment. So before investing you should understand the level of risk you are comfortable with.

What is diversification?

By spreading your money across a wide range of different  types of investment  assets, known as diversifying, you are not relying on the performance of investments. So diversification can help give a smoother return over the long term.

Is it only for large investors?

If you have built up a large sum of money you might consider investing in one go for the long term. This could be ideal if you want potentially higher returns than a deposit account and are comfortable that your money could go up and down in value. Alternatively if you want, you can invest or save regularly. By staggering your investment when markets are low you will get more shares for your money and when they rise you will get fewer shares.