Starting a New Investment
There are many things to think about when thinking about a new investment. One of the starting points is your reason/motivation to make an investment. What is it? Listed below are some of the common reasons for investing to fund a future plan;
Short term - 0-5 years
Payment of a tax bill
New vehicle purchase
Medium term – 5-10 years
Long term – 10 years plus
Additional retirement provision outside of a pension
Passing money on to beneficiaries
Care in old age
Each of these scenarios require very different investment considerations. Some of the scenarios point to a requirement to accumulate your money to best effect, over a certain period of time. This is known as capital growth. Other scenarios follow on from the accumulation period. For example, a person who has accumulated a lump sum of £100,000 at age 60, to produce some extra income in retirement, will have differing objectives for this money from age 60 onwards. Whilst it is always advisable for the capital to continue growing in any scenario (in order that your money can keep up with prevailing inflation) the main objective from age 60, in this scenario, will be to produce income for the person to spend in their retirement. This gives rise to a new set of investment considerations.
Every reason for making an investment is unique to the person making the investment. We often get asked what we offer. The answer to that question is that we do not offer standardised solutions. This is also the reason why we do not advertise specific products and services on our website. We seek to take account of each individual client’s situation and our advice reflects this. To help you organise your own thoughts and requirements, we have listed many of the common questions we receive in the Investment FAQ section. We encourage you to visit this and then contact us to discuss requirements if you feel we can help you.