Investing – especially for the first time – can seem daunting and confusing. Many also believe that investing is for a later time in life, when savings have grown and mortgages are on their way to being paid off. But, with wage growth in the UK remaining sluggish and disappointing interest rates on savings accounts, building up a diverse investment portfolio could offer much healthier returns and enable you to achieve your savings goals much faster.
With recent rises in UK inflation, many people have been forced to dip into their savings to help make ends meet. This is obviously reducing the amount they had hoped to have saved for the future. This monthly shortfall makes it difficult to plan ahead for your future financial goals no matter what stage in life you’re at.
It’s important to remember that investments are not risk-free and you could get back less money than you originally invested. However, the potential gains can be much greater than leaving your money in
a low-interest savings account.