Investment advice
What do I need to look for when seeking investment advice?
You must ensure that your attitude to investment risk has been properly determined by an independent financial adviser or investment specialist as part of any pensions advice or investment advice. Do the recommendations made reflect the risk(s) you are prepared to make?
Risk analysis includes:-
- Your attitude towards investment risk
- Your age and time horizon for holding investments
- Requirements for income and capital growth
- The composition of your existing investment portfolio
- Your current financial situation and future expectations – i.e. your financial plan
- Your tax status, residency and any tax help that you need
- Your need for an emergency fund
Ask your investment specialist or financial planner to analyse your existing investments to see how well they have performed in the past and the charges you have incurred in the timescale. They should do this regularly anyway and report back to you if your funds are good, bad or indifferent.
Your investment specialist should explain to you how their investment firm will deal with your investments when going forward. What is their investment philosophy? Is it active, passive, or both? You should understand both sides of the argument before making a decision on how to invest.
In particular, you should ask how the ongoing investment management is handled. Will you be advised to move funds as markets change?
Also, you or your investment specialist should make sure the correct tax wrapper to match your requirements is utilised.
Your investment specialist should also undertake a thorough review of your current financial situation and future expectations at least annually.
Any questions on investment advice?
Please call us on 01582 839280 if you have any other questions or Email us.
