Before investing in an investment trust, you must first consider how much risk you’re willing to take. Should your investment lose value, will you be able to handle this loss?
You’ll also need to consider how long you plan to invest for. In most cases, the longer you’re willing to invest your money for, the better returns you’ll see. If you’re looking for quick returns, an investment trust might not be a suitable choice for you.
What are the alternatives to investment trusts?
If you don’t want to take the risk of investing, you may want to consider opening a savings account instead. Fixed rate bonds, for example, allow you to lock your money away for a set amount of time, and the competitive interest rate is fixed, so you’ll know exactly what your return will be.
If you want to quickly and easily open a fixed rate bond, register for a Raisin UK Account and apply today.
