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5 great reasons to invest using funds

An investment fund pools together money from many people. Fund managers use that money to invest in a wide range of assets.

If you’re investing for the first time, or don’t want to manage your money yourself night and day, using funds is a solid option, because the fund manager does the investment selection and day-to-day management for you.

Here are five great reasons to invest using funds.

1. Chance of higher returns than your bank account

Irish-based funds generated an average 8.0% annual return over 5 years compared to 0.4% over 5 years from an average bank account*.

To learn more, watch our interview with Bonkers on how investing can be a great alternative to leaving your cash in the bank.

2. Diversification

Sometimes described as the only free lunch in the investment world, diversification means that your money is spread across multiple assets.  Funds are a simple way to achieve this.

This reduces your risk of losses by limiting your exposure to any single underperforming asset. It gives your money multiple opportunities to grow, and smooths your returns over time.

3. Wide choice of investment opportunities

Several thousand professionally managed investment funds are available to Irish investors through Moneycube.

This gives you a wide range of choices to suit the kind of risk level you are comfortable taking, and you can move funds periodically – for example, you can move the money into lower-risk funds towards the end of your investment timeframe.

4. Easy to add to, change, or withdraw your funds anytime

You can monitor your funds online anytime, and for most people, there’s no notice period or charges for withdrawing your money.

In Ireland, investments are often held via a life assurance policy.  When you invest using a life assurance policy, you can usually buy, sell, and add to your account without triggering a tax charge.

5. Advice is on hand

You don’t need to be a financial expert to invest.  We help you choose a course that suits your financial needs and risk appetite, supported by a Qualified Financial Advisor.

* Source: Rubicon Investment Consulting, Central Bank of Ireland.


Read on: Moneycube investment blog