Saving and investing - introduction
Planning for the future involves saving and/or investing but you may want to also consider life insurance and protection policies.
- Saving means putting away your money for short-term needs, to afford things like holidays or weddings, or for a rainy day. If you are saving for the short term you will want to get access to your money at short notice, earn some interest and keep your money safe.
- Investing usually means saving for the longer term, so that you can grow your money and be able to afford something in the future, for example your retirement, or your children's education. Most investments involve an element of risk, but over the long term they also tend to give you better growth than savings or deposit accounts.
Get information on:
- Clear your debts or start saving?
- How much do you need to save or invest?
- Comparing savings and investments
- Fees and charges
- Understanding risk
- Compensation and guarantee schemes
- Getting financial advice
Choosing products:
- Savings and deposit accounts are best suited to saving for the short to medium-term
- Investments such as unit-linked funds, shares or property offer potentially higher returns than savings over the long term, but these plans usually involve some capital risk and the risk of poor returns.
- Lower risk options include tracker bonds, state saving schemes and savings accounts.