Top 10 Frequently Asked Investing Questions

Posted by: Swindells FP, on April 16, 2015.

We’re always being asked questions, which is great. There are a number of questions that seem to crop up again and again, so we decided to compile the top 10 most frequently asked investing questions

Q 1.  Can I have high returns with low risk?

A: NO and don’t believe anyone that says otherwise!!

Q 2. How much income will my investment portfolio produce?

A: Focusing exclusively on income and ignoring an investments potential for growth as well, commonly leads to poor choices. Additionally, it can be considerably more tax efficient to receive regular “withdrawals” of both income and capital.

Q 3. What is the total cost of this investment?

A: If you’re dealing with a Private Bank, Stockbroker or a fund that seeks to actively buy and sell the “best” investments, quite probably an awful lot more each year than you imagine, in excess of 2.5% per annum.

Q 4. Isn’t stock market investing just like betting on the horses?

A: It might be if you decided to only invest in a handful of companies, but if you invest across Global stock markets your investments will never just disappear without trace or value.

Q 5. Shouldn’t I just concentrate my investments in the UK?

A: Only if you and your adviser know with absolute certainty that UK listed investments will outperform overseas investments consistently in the future, which is highly unlikely.

Q 6. Should I bother using my ISA allowance?

A: If, by reducing your tax liability, and without increasing costs, we can increase your investment return, why wouldn’t you want to do this?

Q 7. Investing is uncertain, shall I wait until the economy or world politics looks more certain?

A: Usually, this is a sure-fire way of buying investments at the very worst time i.e. at their highest valuation.

Q 8. How can I get a guaranteed 5% per annum investment return? 

A: You can’t, unless you are prepared to believe someone has a magical crystal ball or you are prepared to pay sky high costs for some unnecessary guarantees.

Q 9. Property investing is safer and property always increases in value doesn’t it?

A: Is it? What about the cost of repairs/renewals, tenants defaulting, increasing regulatory landlord costs etc. Have a look at Nationwide House Price Index data, in many parts of the UK it is quite common to actually lose money when investing in property.

Q 10. Shouldn’t I invest in property and not in an investment portfolio? 

A: If you want to flexibly fund your future lifestyle, will you be able to sell the kitchen or one of the bedrooms of your buy-to-let property to go on that once in a lifetime holiday? Take a look at Property v Pension Portfolio.

If you have a question that has not been answered here call us on 01825 76 33 66 or send us an email via the Contact Us page


Enter your email

Get free investment, pensions and wealth management news and advice.

* indicates required

*We will never share your details with any third party.


Client Stories

Book a consultation

Your Name (required)

Email (required)

Phone Number


Employment Status


What you would like to talk about?


Enter exactly what you see above

Enter your email to receive free relevant news and updates.

* indicates required

*We will never share your details with any third party.

Latest… View all

Putting the current stock market decline in context

There’s no doubt hyperbolic headlines depicting the recent falls on the world’s financial markets are potentially anxiety-inducing. With the FTSE 100 Index falling to its lowest level since April 2017, the effect of the headlines is to promote a sense of uneasiness; we’re here to remind you that this shouldn’t be the case. Instead of […]

Read more →

Inheritance Tax is an avoidable tax

It is often said that Inheritance Tax is an avoidable tax, but many of us somehow fail to avoid it. Why is this? In our experience, clients’ failure to plan effectively is a result of the following perceived problems: Speed – How often will the thought of having to survive 7 years from the date […]

Read more →

What went wrong with the forecasts?

Reading the tea leaves Investors at year-end are inclined to reflect on the 12 months gone and muse on what the coming year might bring. Aware of this appetite for speculation, themedia tends to feed it with forecasts. These articles can be fun to read, but are even more so a year later. In January […]

Read more →

What should investors make of bitcoin mania?

Bitcoin and other cryptocurrencies are receiving intense media coverage, prompting many investors to wonder whether these new types of electronic money deserve a place in their portfolios. Cryptocurrencies such as bitcoin emerged only in the past decade. Unlike traditional money, no paper notes or metal coins are involved. No central bank issues the currency, and […]

Read more →