Investing doesn’t need to be complicated or expensive. It doesn’t even need to be very risky.

An investment ‘wrapper’ needs to have some investments inside it, most commonly an investment fund. There are thousands of funds and they come in all shapes and sizes. High risk, low risk and everything in between. You can get ‘ready made’ funds with lots of different things in them. Or funds focused in just one area. As an example you can get investment funds that just hold property, and those that just own the shares of businesses with ethical practices.

An investment portfolio generally means a collection of one or more funds that sit inside an investment ‘wrapper’. Probably the most common wrapper is a Stocks & Shares ISA (which grows tax free), closely followed by a General Investment Account (which doesn’t).

If you’ve got a bit extra every month, you’re expecting a big bonus from, work, or your lottery numbers have come in, you’ll probably want to invest some of that money.

Why would you invest money? Well, what else are you going to do with it? Spending it is one option. That’s great for today, not so good for the future.

You could also put it into a savings account. That’s perfect if you don’t have much put aside for emergencies but it’s unlikely to earn much more than 1% a year. That’s important because the cost of living (also called ‘inflation’) normally goes up more than that. In other words, the cost of a loaf of bread (or bowl of olives for that matter) goes up more than 1% a year. So if you keep your money in a savings account, you can buy less with it every year.

You invest to make your money grow more than the cost of living. By taking a little bit of risk, you’ve got a good chance of that happening in most years but you won’t earn much more. If you take a lot of risk, you are likely to make more money long term, but in the short term you might not, and you could even lose money for several years in a row. You can learn more about this here. Don’t worry, we recommend the right approach for you.

If you like to make ethical, and socially responsible decisions in life, you might want to invest your money in a way that reflects that too.

With this service, we can help set up a new investment wrapper that does what you need, and recommend the funds that you have inside it. Bear in mind, if you haven’t already built up some savings for emergencies, or don’t have a plan to repay any short-term debt, we’ll probably suggest that you use your money to do that first.

Once we’ve read through the background information you send through, we will invite you to book a short phone/online video session to talk through our advice and to check you feel comfortable with the wrapper and risk level we suggest. If you have any ethical or religious investment considerations we’ll talk those through too. When you’re ready to go ahead, we will explain what to do next. Often you can arrange it online in just a few minutes. Sometimes we will send you a form to sign and return by email. We make it as easy as possible.

Cost of our advice

It costs £200 to set up a new investment.

Important note

This service provides you with a regulated personal recommendation. You can read about the difference between financial guidance and regulated personal recommendations in our Service Terms.

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