Savings
Would you prefer to save monthly?
For those that don’t have a lump sum to invest, you can invest in an ISA and still benefit from the discounts.
The graph below shows that a regular investment can soon mount up and over the long term can grow to a sizeable sum.
This example shows how much your investment would be worth if you invest in a fund with no initial charge, with an annual management charge of 1.5% and assuming that fund grows by 6% per annum.
Important: These figures are for illustration purposes only. The growth rate is not guaranteed and you may get back less than you invested.
There are other benefits of regular investment too
Every investor knows to buy low and sell high but timing the market correctly is something that even the most experienced investor struggles to do. With a regular investment, you no longer have this worry, due to what is known as ‘pound cost averaging’. Pound cost averaging is where the effect of changes in market prices on the value of your investment are effectively smoothed out.