What’s the difference between passive and active investing? Is one approach better than the other or can you combine the two? Passive investing Passive investing is where you put your money into a fund that tracks a stock market index, such as the FTSE 100. Typically known as ‘trackers’, these funds hold shares in all …
Investing is when you acquire something you think will increase in value or will pay you a regular income. The things you invest in are known as ‘assets’. Typically these are shares in companies. Other types of assets include property, bonds, gold, cryptocurrency, art and other collectibles. Investors use their cash (and sometimes their time …
Want to invest, but don’t know where to start? Well here’s the simplest way to become an investor and what’s more it can be done in four easy steps: Select a platform Choose a low cost index tracker fund Set up your automatic monthly payments into the fund And just leave it to grow Select …
There’s three ways to make money from stocks and shares: Invest for growth Invest for income And invest for bargains The approach you choose depends on why you are investing and your investment timeline. I’ll explain more in a minute, but first let’s take a more detailed look at the three approaches: Investing for growth …
Owning shares in a company means you own a part of that company. As a shareholder you could benefit from dividend payments and experience a growth (or a loss) in the value of your shares. This sketchnote explains how to buy shares and become an investor. Private companies Vs public companies Before we begin, it’s …
