Whether you’re saving for a specific goal, or looking to boost your income, it’s important to get your money working. But deciding how and where to invest can be a daunting task.
Investing is about buying assets (either shares in companies, or property) and hoping they will increase in value over time. This can be done in a number of ways, including focusing on ‘value investing’, which aims to buy shares in undervalued companies or those with high growth potential; or by seeking out dividend-paying stocks that will provide regular income. It’s also possible to generate a regular return by purchasing shares in real estate investment trusts (REITs), which are collections of shares from income-producing commercial and residential properties.
The Best Investment Strategies in the UK: Insights from Financial Experts
The best investment strategies in the UK are a tax-efficient savings account, such as an Individual Savings Account (ISA), or a Stocks and Shares ISA or Lifetime ISA. These allow you to invest up to PS20,000 a year tax-free.
For those who prefer a more hands-off approach, low-cost index funds or exchange-traded funds are often the cheapest way to gain exposure to the market. These funds track a particular market, such as the FTSE 100, and can be a quick and easy way to achieve diversification.
For those aiming to grow their wealth over the long term, it may be worth considering a pension scheme. These can be a great way to boost your returns, as the government will add tax relief on top of whatever you put in yourself, subject to limits.
