Get your goals by investing comfortably

Lots of us have financial goals for the future. You may want to buy a house, be planning a wedding or a once in a lifetime trip, or thinking about your legacy. 

You might also be thinking about something else completely. Almost a quarter of all Brits say that financial freedom and lifestyle flexibility is one of their biggest financial goals.¹

Long-term goals can feel daunting. They can also change as your priorities evolve. Whatever your goals, investing can play an important role in helping you get them.

Helping you stay ahead of inflation

While it’s sensible to keep some of your money handy in cash savings, inflation can eat away at the value of your money. 

Essentially, if your savings aren’t growing at the same rate as prices are rising, your money will become worth less over time.

Investing aims to grow your money faster than inflation. One way it can do this is through compounding.

Compounding can accelerate growth

Compounding is what happens when you earn interest on the original amount you invest and also on the growth of that investment too. In simple terms, it’s a snowball effect where reinvesting the returns on your investments can help them grow even more.

Compounding rewards a consistent, patient and long-term approach to growing your money to help you reach your goals. This means the longer you give compounding interest to work its magic, the more you’ll see the effect accelerate. 

Diversification can defend against ups and downs

As the saying goes, you shouldn't put all your eggs in one basket. This is particularly true when it comes to investing, because individual investments will naturally rise and fall in value over time.

So, spreading your money across a variety of different things will help protect you from dips and bumps when they come along, and can help keep your overall portfolio on an upwards trajectory. This is called diversification. 

Invest in your comfort zone

At Alliance Witan, we want to make investing easier for you.  We’re focused on targeting steady, long-term growth through a broad but highly selective range of investment opportunities that have the best potential to deliver returns for you.

We aim to keep the process as smooth as possible by limiting risk and avoiding volatility. And we have a 59-year track record of increasing dividends every year, so we can help you with long-term growth and generating a regular income too.

The bottom line

Investing using a diversified portfolio that takes advantage of long-term compounding can give your money the opportunity to grow faster than cash savings and help you get your goals. Whatever they may look like. 

1. Study surveyed 2,000 UK adults from 2-7th October

This is a financial promotion that has been approved for issue to UK Retail Clients, by Towers Watson Investment Management Limited (TWIM), authorised and regulated by the Financial Conduct Authority, (FRN 446740). Please refer to the KID and any other relevant documentation before making any final investment decisions. TWIM is the Alternative Investment Fund Manager (AIFM) for Alliance Witan PLC. TWIM is part of Willis Towers Watson.

Alliance Witan PLC is listed on the London Stock Exchange and is registered in Scotland No SC1731. Registered office, Flour Mill Dundee, 34 Commercial Street, Dundee, DD1 3EJ. Alliance Witan PLC gives no financial or investment advice. © Copyright Alliance Witan PLC. Tel: 01382 938320.

This information is for informational purposes only and should not be considered investment advice. The views expressed are the opinion of TWIM and are not intended as a forecast, a guarantee of future results, investment recommendations or an offer to buy or sell any securities. The views expressed were current as of end (month year) and are subject to change. 

Past performance is not indicative of future results. A company’s fundamentals or earnings growth is no guarantee that its share price will increase. You should not assume that any investment is or will be profitable. Tax treatment depends on the individual circumstances of each investor and may be subject to change in the future. Information contained herein has been obtained from sources believed to be reliable but not guaranteed.