Where do you put your trust?
Sunday 19 March 1995
Not only is there a rapidly growing number of funds, both unit and investment trusts, to choose from. There is also the tricky task of selecting an appropriate savings vehicle, one whose performance won't immediately dive once an investment has been made.
As those who risked money in Mexico last year know, it is not always possible to predict what will happen to a country's economy.
This supplement on unit and investment trusts gives some pointers as to what these funds can be used for, including paying for children's education needs, mortgages and preparing for retirement.
It also explains the differences between investment vehicles and how charges are levied on the funds.
A few points worth remembering:
q Although tax-saving considerations can be important, they are not always the most vital element of an investment decision. Personal equity plans are useful, but they should not form the only part of most people's balanced portfolios.
q Investing in a unit or investment trust is not like placing one's money in a bank or building society. It carries an element of risk.
q Spread, and minimise, that risk by selecting not just one fund but several, not just around the world but in British equities too.
q Not everyone's needs or their willingness to accept risks are the same. Headline growth rates can sometimes be deceptive, with all companies vying to give their - sometimes selective - versions of how well their funds are doing.
There are many specialist magazines providing more sober assessments. But if in any doubt, contact an independent financial specialist.
q An equity-based investment will not always deliver scintillating results, even with the best fund manager. Be prepared to take a long-term view - at least five years, more if possible.
And finally, invest wisely.
- 3 Alton Towers crash: Four seriously injured and 16 guests trapped as Smiler ride carriages collide
- 4 Ann Summers survey reveals the UK's favourite sex position
Man on naked bike ride gets ejected after becoming aroused
Caitlyn Jenner's mother Ester thought her daughter, formerly known as Bruce Jenner, had transitioned for money
Charles Kennedy 1959-2015: A gifted, compassionate politician whose career was cut short by the 'demon drink' - latest news
Alton Towers crash: Four seriously injured and 16 guests trapped as Smiler ride carriages collide
Charles Kennedy dead: A guy once asked the Lib Dem leader who his favourite Muppet was and his letter response was wonderful
Thousands of teenage girls enduring debilitating illnesses after routine school cancer vaccination
Migrants in Kos: Photos show real tragedy after Brits abroad complain of 'awkward' holidays
British tourists complain that impoverished boat migrants are making holidays 'awkward' in Kos
Michael Gove determined to scrap the Human Rights Act – even if Scotland retains it
Threat to scrap Human Rights Act could see UK follow Nazi example, warns UN official
Church of England 'one generation away from extinction' after dramatic loss of followers
iJobs Money & Business
£30000 - £35000 per annum: Recruitment Genius: The UK's fastest growing, multi...
£70000 - £90000 per annum: Recruitment Genius: A Financial Reporting Manager i...
£23000 - £25000 per annum: Recruitment Genius: They win lots of awards for the...
£13500 - £20000 per annum: Recruitment Genius: This nationwide enforcement com...