Even though there have been some great games and a few upsets, you have to admit that the soccer world cup is not half as exciting without Ireland in it. Hopefully the boys in green will qualify next time. If your dream is to follow the team to the next World Cup, you could set up a savings plan to build a fund that could help pay for travel, accommodation and spending money for Qatar 2022!
A good broker will start with getting you to take a risk profile questionnaire, which will gauge your attitude to risk. You can then be matched to a fund that is aligned with the level of risk you want to take (and are able to take given your financial situation). The higher the risk, the higher the potential return, and obviously the opposite applies.
Savings or Investments
People tend to save into a regular savings or deposit accounts, but the rate of interest on these is generally very low and if inflation is higher than your interest rate, then you are effectively losing money. On the plus side, savings accounts tend to be secure.
Life company investment products generally offer better returns as the funds offered aim to grow your savings. I should point out that there are fees and charges associated with them – for a start, a government levy of 1% applies to all life companies’ savings and investment premiums, and don’t forget exit tax applied to growth on a life company’s savings and investment plans. The current exit tax rate is 41%.
At Clear Financial we can help you choose a fund that is suitable to you in terms of risk and return.
Fiachra is determined to make it to Qatar 2022. He fills out a risk profile questionnaire and it turns out he is a medium-to-high risk investor. He commences a savings policy with Zurich Life at €200 per month in the Prisma 5 Fund. We assume a growth rate of 4.4%, an Annual Management Charge of 1.25% and a net allocation of 100% after the 1% Government levy. Fiachra is projected to have a savings balance of after tax* in 4 years’ time which means he’d have enough money to pay for his flights, accommodation and spending money!
Source: Zurich Life
Marcus is a Certified Financial Planner® (CFP) and Qualified Financial Advisor (QFA) with over 10 years’ experience in Financial Services. He received a B.Sc. (Hons) in Applied Mathematics from Maynooth University in 2007 and completed the QFA in 2009. Marcus went on to obtain the diploma in Retirement Planning Advice (RPA) in 2013. In 2017, Marcus received a 1st Class Honours in the Graduate Diploma in Financial Planning and passed the CFP® (Certified Financial Planner) exam. He has gained valuable experience in New Ireland Assurance and Zurich Life. Marcus joined Clear Financial in July 2017.
Warning: The value of your investment may go down as well as up. You may get back less than you invest.
MB Planning Ltd. T/A Clear Financial is regulated by the Central Bank of Ireland.