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Is investing too testing? It’s time to weigh up the pro’s and cons

For many people the idea of investing can seem like an alien concept – the vast array of different terminology and information involved can be enough to trouble even the most erudite of minds.

Clayton Holmes Naisbitt believes that helping you understand your investments doesn’t need to give you a cacophonous headache; with access to consultants who deal in this area on a regular basis, our collective experience could help you on the way to realising your investment ambitions.

Why should I invest?
It can be disheartening to hear friends talking about their investment gains while money you have safely stored away in a savings account doesn’t make you a particularly profitable (or discussion worthy) return, but before you take the decision to begin your investment journey, ask yourself a vital question: how would you feel if your investment were to drop in value?

Investments can fluctuate and it’s important to recognise that the performance of a fund in the past isn’t necessarily an indicator of strong performance in the future. The potential scenario that you may end up losing money should be a major contributing factor in your decision to invest or not.

Where should I invest?
There are many types of investments available and choosing the right one for you is paramount to you achieving your financial “denouement” – this could be a shorter term investment to pay for a world cruise for example, or a longer term investment to help you pay for your child’s university studies. Whatever your reasons, the right choice is vital.

To spread the risk, a fund could be an ideal place to start. Unit trusts and OIEC’S (Open-Ended Investment Companies) are examples of this. Your investment can be shared out amongst different companies in the fund, thus reducing the chances of you losing money and increasing the potential for a profit.

It’s extremely important that you weigh up both the pros and cons of investment; the risk factor involved is not something everyone is comfortable with, so it’s imperative that you understand from the outset what your options are.

How could we help you?
Obviously, a blog can only give you a limited perspective on Investments, but Clayton Holmes Naisbitt takes pride in giving quality holistic and independent advice. If you would like to speak to a consultant for further information, please do not hesitate to contact our office on 0113 3878240.