Using ISAs, we are able to maximise our wealth by allowing our money to grow tax-free. In this post we talk about how you can use LISAs and S&S ISAs to do this.
Investing is one of the best things to do with your money. However, there are a lot of mistakes that investors make all the time. Thinking long-term, controlling your emotions and not investing based on what other people say are steps to become a better investor and not lose money in the stock market.
Dollar cost averaging is where you invest your money at set intervals over a period. Advantages include; taking the emotion out of investing, no market timing issues, and we are able to ‘set it and forget it’. However, the main drawback is that lump sum investing beats dollar cost averaging, in terms of returns, 66% of the time.
Inflation is decreasing the value of your money each year. Hence, instead of saving your money in a current account earning minimal interest, start investing to beat inflation!
Pay debt or Star Investing? Mathematically, it is best to do whatever produces the higher return. However, paying debt is likely to be the better option because of the financial and mental strain it causes.
Investing mistakes are common. There are a number of mistakes investors make, including: speculating, not understanding the company, not taking into account fees, buying/selling on emotion, and trying to time the market. Avoid these mistakes!
Whilst investing isn’t for everyone, there are several fundamental reasons why you should be invested in the market, primarily to offset inflation and grow your wealth
Before you start investing there are a number of factors to consider. It’s important not to overlook these, so you can make the best investment decisions possible for yourself, no matter what point of life you are at.