Publication date : 05/07/2017
Share the post "4 questions to ask before investing"
Boss just given you a bonus? Family been generous for your birthday? Your numbers came up on the Euromillion? However you came by your windfall, you have to decide what to do with it. Spend? Save? Bit of both?
Well, if you do want to invest a lump sum, however large or small, there are four crucial questions you need to ask first.
1 / What is the purpose of my investment?
Do you want to save to buy a property, plan for retirement, book the holiday of a lifetime, put money aside for a rainy day, start a business or give a gift to your children? Your savings objective(s) will determine the best way to invest your money.
2 / What risk am I willing to take?
Do you absolutely need to get back at least the amount you put in? Are you willing to accept a greater temporary loss if it can ultimately bring you higher gains? Or do you want to protect your capital at all costs, even if that means you don’t stand to make huge profits? Your accepted level of risk will determine your earning potential.
3 / How long do I want to invest my money for?
Do you want to reap rewards in 5 years? 10 years ? Would you be happy if your children saw the benefits instead of you? Your investment horizon is fundamental to determining the composition of your investment portfolio.
4 / Who do I trust?
Your bank can help you open a simple savings account but if you’re looking for new sources of investment that offer higher earnings prospects, you’ll neeed to contact an independent advisor who can guide you through your options. Or, come and discover Birdee – try out any of our portfolios for free!
Birdee can help you answer all these important issues with a simple online questionnaire. We use your answers to recommend a portfolio perfectly suited to your needs.
⏱️In this fast, techno-revolution quick communication culture we live in, are you struggling to be patient? Investm… https://t.co/gCzSxvB0UZ
Feeling drawn to fresh notebooks and tantalizingly sharpened pencils?✏️📚 Read on to press restart on yourself, rest… https://t.co/fAh5msQreb
🤖🤔Not sure what a robo-advisor actually is? Take a breath, Birdee’s got your back !🙌
Birdee gives you clear and sim… https://t.co/PopiGTl1uJ
Love it or hate it, money is unavoidable part of modern life, it can also be a source of stress, exclusion, stigma… https://t.co/gVkS0UdN6D