Investing implies a preoccupation with capital growth (by buying an asset), while saving implies a concern for accumulating wealth (by lending your money to someone).

In the former category, the field is wide open with opportunities from the stock market to coins and antiques, while the savings field is now enormous, comprising a rapidly growing range of services from banks, building societies, insurance companies, pension funds and so on. Saving implies preserving your capital, while investing implies taking a risk with it to gain an attractive reward.

There are many, many ways of using your money for financial purposes, but the first decision you have to make is whether to put emphasis on capital or on income. If you have a steady job, with a secure future and pension, you may be less concerned to bring in extra income, which can be realised whenever you need it.

In this respect, it is important to remember that tying your money up in long-term plans (even including National Savings) or in property or fringe investments can be costly if you want to sell before the end of the allotted investment period or if you have to sell when the market for that particular investment is poor.

Indeed, before you buy anything for investment, you should find out exactly how you can sell it again when you want to, and what the financial implications are if you do (like commissions or penalty clauses for early encashment). If, however, you have high income requirements, like a growing family or a large house, you will need to think about obtaining the best deal for a good return, though with less emphasis on capital growth.

The options in 2016 are very wide, and in this website we outline all of them. Before you enter any commitment, you should always remember to think through your own financial requirements.

Normally, saving money means keeping it readily accessible and this may be attractive to you But if you invest it, remember also that there is usually a risk-reward connection': the higher the reward, the greater the risk. If you cannot afford to lose the money, do not be tempted to part with it

This website is an independent marketing website which acts as an introducer to 'whole of market' companies who offer specialist Independent Financial Advice.
Each company is authorised and regulated by the Financial Services Authority. We are not authorised to give advice and we are not liable for any financial advice provided by, or obtained through a third party.
The information published on this website is for information purposes only. This site has been approved for compliance purposes by a Firm of Independent Financial Advisors who are authorised and regulated by the Financial Services Authority (FSA).
CCMG - 2013

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