For most people with a lump sum to invest, they are looking to make real long-term growth by investing in shares, property, commodities, bonds and cash. Shares, property, commodities and bonds have a very strong track record and while their value can go down as well as up, they have consistently outperformed traditional alternatives such as deposit accounts.
There are 3 main criteria for people to consider when looking at investing:
- ACCESS: Do you require access to this money during the investment term? The majority of investments have a recommended minimum 5+ years investment term but can be as short as 3.5 years. Do you have access to sufficient funds to cover any unforeseen expenses while this money is invested?
- SECURITY: Do you require your money to be 100% Capital Secure at maturity? i.e if you invest €10,000 today, do you require a minimum of €10,000 back at maturity? If the answer is ‘YES’ then an investment with 100% Capital Security at maturity is suitable for you. If the answer is ’NO’ then a Non Capital Secure investment is suitable but this will depend on the level of risk that you are willing to take: RISK v’s REWARD
- GROWTH: What potential growth/return do you expect to get from your investment? The more aggressive your investment is, the bigger your potential return could be? Conversely, the more capital secure your investment is, your potential return will be smaller. However, with a 100% capital secure investment, you have the peace of mind in knowing that you will at least receive your initial investment back.
5 Areas To Invest In:
- Shares/Equities
- Property ( commercial/residential )
- Bonds ( government/private)
- Commodities ( gold, silver, gas, oil, electricity, water etc..)
- -Cash ( deposits )
Your investment can be diversified into a fund/s comprising of all 5 areas or just 1 or 2 specific areas, depending on your level of investment experience, your current investment portfolio, your attitude to investment and your investment timeframe.
Shares/Property/Bonds & Commodities can be invested by global/geographical location and by investing in multiple industries/sectors, giving your investment further diversification.
Please contact me if you wish to discuss and review your existing investment portfolio or if you are looking to invest for the first time.
