Understanding investment
If you pay tax and can afford to leave your money for five years or longer, it's worth considering a stocks and shares ISA, which is one of the simplest investment products around. If you are already investing in one of these then you can already consider yourself an investor!
One thing to remember is that investments are heavily regulated so it's always best to get help from an independent financial adviser who will guide you through the potential returns, the risks involved, fees and the tax side of things.
Top tips
- If you have money that you do not need to touch until you are over 50, you may want to consider a pension instead of an ISA. For many people, pension saving is the most tax efficient way to save and invest.
- Over the longer term you are likely to get a better return for your money with a stocks and shares ISA than with a deposit-based bank account. However, the return is not guaranteed.