We all want to build up our money – the hard bit is figuring out how you’re going to do it. At Moneycube, we see three main kinds of investor.
Read our profiles below, figure out where you fit and get some ideas on how you might get your money working better for you.
The uncertain saver
Your savings are in cash alone. The ups and downs of risk-based investments are not for you.
Now, cash is an essential part of anyone’s savings, but it carries its own uncertainties. Inflation is chipping away at its value, while the banks pay you almost no interest. When all your money is in the bank, it’s hard to avoid the feeling that you are missing opportunities to let it grow.
For the uncertain saver, taking the plunge and placing a portion of your savings in a professionally managed investment fund is the natural next step.
The smart player
You know that over time, taking some measured risk offers the best prospect to grow your money. But being an investor doesn’t mean you want to pore over spreadsheets every evening. It’s about putting your money in the right place at the start, and letting it get on with the job.
Your motto is click, pick, quick.
Some people call this a ‘set-and-forget’ approach. In reality, you should never truly forget about your money. But once you’ve set your savings plan, you can simply monitor it every now and again – ideally online – rather than needing to manage it constantly.
For click, pick, quick investors, good value fees are a major consideration. There will be some cost for well-managed investments, but ensuring you are not over-paying is important to generate satisfactory returns.
For this group, multi-asset funds are a strong option. These funds are professionally managed according to certain instructions. So picking one that suits your requirements offers a good route to click and pick.
The DIY pro investor
Lastly, there’s the DIY pro. You spend your time trying to understand the ins and outs of every financial product, in order to maximise your financial position. For these self-directed investors there are now a couple of platforms in the Irish market which let you manage your own money very closely.
The DIY pro’s challenge is achieving a balance. That means not becoming too concentrated on a single asset class, or taking excessive risks for the returns on offer. You’ll also want to avoid paying crazy trading fees, and devoting every hour to managing your money.
Where do you fit?
If these savers sound like you, Moneycube can help you organise your money in a way that suits your needs.
Get started with Moneycube today.