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What is an investment?

Making your money work harder for you

You may have heard people say that investing can ‘make your money work harder for you’, and this is a useful way to think about it.

Investments are a way to store wealth. They can also provide the potential for profit or income.

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There are many different types of investment available, including buy-to-let properties and stocks and shares. Investing money in these types of assets has many advantages over holding all of your savings in a bank account.

Contrary to what many believe, you do not need a large lump sum to start investing. However you will need to be aware that unlike cash which is secure, investments carry additional risks as they can fall as well as rise in value.

This guide is to help you find out more about the opportunities you have to invest in the financial markets, and how to get started.

Next: Why do people invest?