https://highmark-funds.com/2021/07/08/generated-post/
Investing can provide an excellent way to grow your money and achieve long-term financial goals. It is also possible to accomplish this with the help of a professional advisor, who will help you to balance your financial situation and comfort level with risk in order to allow for growth potential and the protection of your principal.
Investment funds pool your savings and those of other investors. A fund manager can buy, hold and then sell investments on your behalf. Most funds consist of various assets, which reduces the risk of investing. Certain funds are more specific, such as those that concentrate on property or commodities. Multi-asset fund can contain a mix of different types of assets, such as shares and bonds.
Some funds are geared towards particular regions or segments, for instance, emerging markets or green investment. Many also have a range of investment goals that are specific, for instance, targeting certain levels of growth or reducing risk that is not systemically controlled. Others have a more general objective, for instance, low-cost investing.
Your investment period and your approach to risk will determine the kind of unit trusts, OEICs, and investment trusts that you choose. For instance, investors who are younger tend to be more comfortable with more risk and are more likely to choose funds with more equity-based investments. For those who are nearing retirement or have family obligations might want to choose an easier risk and choose a fund with a higher percentage of bonds.