The truth is, you are never too young to start investing and receiving advice. For young adults who may have had savings built up for them through childhood (such as in Junior ISAs), it is important that they are aware of the funds and that legally, from age 18, they become responsible for this money and any decisions around it. For many parents, and children as young adults, this can be a daunting prospect. This is where engaging with a financial adviser who can provide education on investing and risk can prove invaluable. Typically, these meetings are held in conjunction with parents to encourage all sides to talk about the money and what the hopes and aspirations are for it.

The power of starting earlier
The chart below highlights the value of starting to invest today, rather than delaying the process. In the example, both people are investing £1,000 per year, with the first person (blue line) starting at age 25, and the second (orange line) starting at age 35. Both investors are contributing over a 30 year period which equates to a total of £30,000. As such, the first investor stops contributing at 55, and the second at 65. The end result is the first investor is £45,000 better off, with a final pot worth £120,000 at age 65, compared to the second investor who has a final total of £75,000 at age 65. This is the magic of compounding!

Investing is complex, whether you are a young investor or someone with experience. With tens of thousands of investments available to choose from, ranging in cost, style, and performance, it is natural that most individuals would be uncertain on which investments to choose and how the investment should be held, i.e. ISAs, Pensions, or other tax wrappers. With all this choice, along with wider factors to consider such as changes in global politics and personal circumstances, it often leads to investors making emotional decisions.

Our role is to remove this uncertainty and emotion by using our investment philosophy to construct a risk-appropriate portfolio within tax optimised products, including ISAs and pensions. Our team of highly trained and skilled financial advisers are armed with our proven approach and years of knowledge to help you achieve your life goals. We’ll take the time to sit with you and look at where you are now, and where you want to be and help you pave the way to achieve it.

Haven’t met our team yet? Come and learn a bit more about us and get in touch to see how we can help you.