Expert view: How to focus on growing your money during uncertainty

With over a quarter of us ending 2020 financially better off1, we spoke to Joe Wiggins – Head of Portfolio Management at Aberdeen Standard Investments – to find out about ways you could get more from your money during periods of uncertainty.

If there’s one good thing to come off the back of 2020, it’s that many of us have found ourselves with more money stored away in our savings accounts1.

Savings are a vital part of your financial plans. Having a pot of emergency cash on hand is a fundamental first step towards achieving financial security. Ideally, you want enough money saved to cover your essential outgoings – plus extra for any unexpected expenses. And maybe a little bit more to cover short-term needs – like planning those holidays we’ll eventually be able to get back to enjoying.

What financial path to take next?

If you feel you’ve started 2021 with your savings in check, that’s great news.

Your next focus in your journey towards financial security could be to boost your long-term savings.

If you don’t think you’ll need access to your money for at least five years and are prepared to take some risks with your money, investing could be an option for you in potentially achieving stronger returns.

Even with all that happened in 2020?

There were a lot of headlines last year about markets losing billions of pounds a day when coronavirus first hit globally. But in reality, uncertainty across stock markets is nothing out of the ordinary.

This is where Aberdeen Standard Investments’ expert, Joe Wiggins, comes in.

For Joe, as an investment manager, 2020 was a year spent practising what he has always preached. With over 16 years’ experience, he knows a thing or two about investing during uncertain times.

For him, the message is clear – investing is all about your long-term goals. He told us, ‘Investing means having the patience and resilience to withstand the challenging periods of performance that are, unfortunately, an inevitable feature of investing.’

It’s understandable the big headlines last year might have put you off the thought of investing. But, as Joe explained, ‘We have since witnessed an unprecedented market recovery in terms of magnitude and speed. The problem with most of the news and information that we read or hear, that we think impacts investments, is that the vast majority of it is entirely meaningless over the long term. ‘Quite simply, we don’t know what is going to happen tomorrow. Sensible investment planning is about making sure that you build a portfolio that is resilient to a range of different scenarios and able to meet your objectives over the long run.’

Growing your money doesn’t need to be complicated

With 2020 behind us, you may be at a point where you think investing could be the next step for growing your money. But you’re not entirely sure what comes next – especially, as Joe states, when it comes to building a financial plan for your long-term goals. ‘It has been an incredibly difficult period for a host of reasons,’ he concludes. ‘It is important to have a plan and make sure you review it on a regular basis to ensure it remains appropriate for your situation.’

That’s why Mail Finance have teamed up with Skipton Building Society. Not only do Skipton have over 30 years’ experience of helping people to plan their investments, they also have first-hand experience with Joe – he oversees some of the funds that have been developed for Skipton’s customers.

Skipton want to support you in your journey towards building a stronger financial future. One of their expert advisers will take time to understand what it is you want to achieve with your money and your feelings in general towards investing. It’s all about what’s right for you. There’s no obligation to act on their personalised advice – you can take all the time you need to assess your next steps.