Investment and Funds

Saving money to invest in a future purpose is a satisfying experience. There are a myriad of investment options that are available, each with an opportunity to earn returns that beat inflation. It is important to think about the various types of investments and how they are a good fit with your financial goals overall and your level of tolerance for risk.

Funds and investments

A fund is a collective investment in which your and the other investors’ money is pooled and then placed in a variety assets. This spreads the risk since you don’t have to rely on the performance of only one asset type. For example, a UK Equity Fund will consist of shares from several British companies.

But, you can also find funds that offer a variety of kinds of assets or specific sectors. There’s a fund for any investor, regardless of what their level of expertise and investment timeline, or level of risk tolerance.

Bond funds are a well-known choice of investment. They are a mix of IOUs, or debt, usually from governments or companies. They can be less volatile than stocks. However, they could be affected by changes in interest rates and the credit rating of the issuer.