So you took advice off the nice friendly Financial Adviser, and three years on you now have less money than you started with. Where did it go wrong? To be truthful it all went wrong about 2001. I had been a financial adviser for about ten years. Up until 2001 you could invest in just about any equity base investment and turn a sizable profit within five years. Since 2010 that has not been the case. In the long term equity investment will still knock the socks off deposit, and is far less fraught than property investment, however to get the best from your investment it needs to be managed.
Maybe you thought it was. I do not mean a managed fund, as this is just normally management within a sector or group. And I do not mean by a Bank. I wish I could comment on this one further but legal action prevents me from doing so. And I do not mean managed by your friendly adviser, as he will only look at your investments now and again. And I do not mean the company your investment vehicle is with. I know that it says that they manage your Investment Bond, yes they do. But not the choice of the individual investments within it. So it is actually up to you to manage the individual investments. So now you have your answer to the question. Your investments are performing poorly because you are managing them, or not as the case turns out.
Most investment vehicles allow for changes of funds free of charge. Some vehicles are open to any investment choice, so a great deal can be done to ensure that your investments perform well. However in reality once a fund choice has been made that is the way it will stay for many years. Quite often right up to encashment, then returning a very poor rate.
However there is a solution. Most Investors do not realise that their investments can be managed on a daily basis. A very select few Financial Brokers are able to offer In House Portfolio Management. This ensures that your individual investments are being monitored. And if need be, changes can be made. The volatility that we have seen over the last few years can then be used to your advantage, rather than your loss. Portfolio Management costs, but it is an added value service so it pays for itself, normally many times over.
If you have an offshore investment that lacks performance. Inquire about Personal Portfolio Management. It may be the difference between a comfortable retirement or having less money than you started with. Which would you rather?