https://highmark-funds.com/2020/11/10/personal-finance-forum/
Investing can provide an excellent way to grow your money and meet your long-term financial goals. It can also be done in conjunction with the assistance of professional advisers, helping to balance the need for primary protection and growth potential with your financial situation and confidence in the risk.
Investment funds pool your savings and those of other investors. A fund manager can purchase, hold and even sell investments on your behalf. Most funds comprise various assets, which lowers the risk of investment. However, some are more focused than others, for instance funds that concentrate on commodities or property. Multi-asset funds could hold a mix of different types of assets, like shares and bonds.
Some funds are geared towards particular regions or segments like emerging markets or green investment. They also have a variety of investment goals, for instance, targeting specific growth levels or reducing risk that is not systemically controlled. Others have a more general investment objective, for instance, low-cost investing.
The length of your investment period and your approach to risk will determine the kind of unit trusts, OEICs, and investment trusts that you choose. For example, younger investors are typically more comfortable taking greater risk and are likely to choose funds with a larger proportion of equities. On the other hand, those approaching retirement or have obligations to their families might want to choose the risk at a lower level and pick a fund that has more bonds.
