Regular Savings
Whether you’re looking to buy your next car, home or put aside money for your children’s education, investing in a regular savings account might be the best option for you. With very little monetary commitment needed and a relatively low level of risk, a regular savings plan offers you flexibility, choice and reduced volatility.
Funds invested in a regular savings account are immediately accessible should you require them. Therefore, they are a guaranteed source of income if you are confronted with unforeseen, unexpected circumstances. The most common savings vehicle is a bank savings account, though you can invest in a regular savings plan offered by an approved provider (some providers we work with include, but are not limited to, Zurich, AVIVA and Standard Life).
When it comes to regular savings plans, many clients are not fully aware of the diverse opportunities available on the market, and they choose, instead, to open a bank savings account without exploring rates, investment opportunities and growth potential. Here at MPFS, we do all that work for you! We will help you assess your financial needs and preferences in order to get the most out of your money. You can rely on us to provide you with impartial financial advice tailored to own individual goals. With our help, you can watch your money grow day by day knowing you are one step closer to achieving the dream you set out for yourself at the start!
We use a strategy called euro cost averaging to allow your savings to be sheltered from sudden market movements and shifts. Euro cost averaging is essentially the concept of saving a little bit, on a monthly basis. During volatile times, this investment strategy can help ensure that your savings are not massively affected by downturns in the economy or poor market performance. It also averages the cost of buying into an investment.
If you were to invest a lump sum of money, you would be heavily exposed to falling markets. By investing regularly, you are allowing yourself to automatically capitalise on emerging opportunities. Think about it like this: if you invest when the market is on the rise, you will evidently be buying less units due to the higher price. However, when markets fall again you will be able to exploit the reduced price by purchasing more units through regular savings. The additional units now in your fund will prove profitable once the price starts rising again, in a ‘bullish’ or booming market. Overall, it encompasses a smoothing process designed to minimise risk and exposure.
