Any good independent IFA will tell you that there’s never a ‘one size fits all’ investment strategy. The way you plan your savings and investments depends on several factors, and it’s only after finding out about your current situation and understanding what you want from your financial future, that an advisor can put a relevant plan together for you.

Considering your needs

The first thing to do is think about your financial requirements. This includes not only your current levels of income and spending, but the money you will need in the future. And this future planning is both about having the cashflow to maintain the lifestyle you want, and preparing for other costs, such as care. In fact, one of the first questions you might be asked is whether there are other ways of meeting your requirements, apart from standard market investments.

There is also likely to be a conversation about emergency funds – do you have any? How can you build them up? Perhaps you have too much cash in the bank and that money could be working harder for you elsewhere. The job of a financial planner is to look solely at your status and needs and give you relevant advice that reflects your short, medium and long-term requirements.

Your investment philosophy

Part of putting your personal investment strategy together is to find out what you are interested in and comfortable with. This includes finding out what level of risk you are most comfortable with. All investment presents a risk – you might want your pension to be a lower-risk investment but an ISA to be higher risk, for example. By understanding how you feel, your financial adviser can look at funds that are most suitable for you. This also applies to types of funds – for example, at Switchfoot Wealth, we recommend sustainable funds as the default option, because they make long-term financial sense, but you may choose to invest in funds that support other industries.

Spreading the load

It’s generally good practice to make sure that investments are diversified enough to protect the investor and their money. Of course, this depends on the overall wealth of each client and their respective needs, but the aim is to protect the money, and to put it in places where it will grow – depending on the markets, of course.

If you are looking for reputable independent financial advice, or would like to review your current investment strategies, Switchfoot Wealth can help. Contact us today to make an appointment.

For Professional Fiduciaries. Not aimed at retail clients.