Investments & Savings

The value of pensions and investments and the income they produce can fall as well as rise. You may get back less than you invested.

Tax treatment varies according to individual circumstances and is subject to change.

Tax Planning is not regulated by the Financial Conduct Authority.

Investors do not pay any personal tax on income or gains, but ISAs do pay unrecoverable tax on income from stocks and shares received by the ISA managers.

There is still no sign that interest rates will rise significantly in the near future, and will likely remain at historically low levels for the foreseeable future. To talk to a local financial adviser for financial planning in Tamworth, financial planning in Lichfield or the Sutton Coldfield area and throughout the Midlands contact us to see how we can help you with savings and investments that are not available on the high street.

We pride ourselves on giving local financial advice and our advisers live in the areas close to our clients making visits to your home or workplace easy. For business and corporate clients looking for financial planning in Tamworth, financial planning in Sutton Coldfield or financial planning in Lichfield please give our Client Liaison team a call.

The benefits of working with a financial adviser is that they will discuss your financial goals and give you advice on an appropriate way to invest which can reduce the amount of tax paid by investing in tax-free products such as ISAs (see below).

Our Advisers use all their experience and knowhow to maximise your return on the funds you invest via Four Oaks Financial Services and through our practice our clients also have access to the expertise of a Chartered Financial Planner and Fellow of the Personal Finance Society.

Let us show you how our financial advice and financial management skills can help your savings and investments grow.

Investments and savings can become an important part of your retirement planning in addition to pensions. To see how we can advise you on your pension take a look at our pensions advice page.

Investment Planning – The Basics

Savings and investments is about balancing the risks you are comfortable with alongside the potential rewards. As a general rule, the higher the risk, the bigger the potential rewards – but also the potential losses. When we start working with you we will find out your attitude to financial risk. We refer to this as a client’s risk profile. Whatever your investment objectives for the long-term, we always recommend that our clients set aside short-term savings of at least three months take-home income to meet emergencies and the unexpected expenses that life throws at us! This should be held where you can access your money easily.

Your investment goals and attitude to risk are personal and will probably change over time, particularly as you near retirement. You may find you need to review your approach to investing as time goes on. Depending upon our clients’ individual needs we will meet on a regular basis to review how their investments are performing and recommend when changes need to be made. Gone are the days when you can leave your savings and investments untouched and unmanaged year after year – if you want your savings and investments to grow you need to get financial advice and we encourage our clients to learn a little about the products they are investing in. Here is some basic information to help you understand more about the types of investments and savings that are available.

Basic Savings

Banks and building societies are normally safe homes for your money where you can usually expect to get back the money you’ve saved £1 for £1. In return for that security, your money may not grow very much and inflation could even reduce the value of your savings.

Tax Free Savings – ISAs

You can put a certain amount of cash into an Individual Savings Account (ISA) each tax year. You don’t have to pay personal income tax or capital gains tax on any interest your cash savings earn in an ISA making this a very tax efficient way of saving. ISAs do attract unrecoverable tax on income from stocks and shares received by the ISA managers and your Financial Adviser will explain this in more detail, but for you as an individual with an ISA you don’t pay any tax on the interest that is generated for you by the ISA.

For the tax year 2017/2018 the tax free ISA allowances are £20,000 or £4,128 for Junior ISA. You have until 5th April 2018 to use these allowances. Otherwise you lose them. You cannot carry these allowances over into another tax year. If you are unsure whether you have used your allowances for this year or not, speak to one of the Four Oaks Advisers, who specialise in giving expert local financial advice to our clients in the Sutton Coldfield, Tamworth and Lichfield area and throughout the Midlands.

Other Investments

If you have money that you can save for the longer term, say five to 10 years, you might want to think about investing in different types of assets. An asset is something that you own like cash, a share in a company or property. Here are some examples of different assets:

  • Corporate and government bonds – these are ‘loans’ to the government or companies that pay you interest in return. Government bonds are also referred to as gilts
  • Investment bonds – these are products from life assurance companies which invest your money in other funds and assets to provide you with returns over the medium to long- term
  • Open-ended investment companies (OEICs) – these also invest your money in other funds and assets to provide a return
  • Stocks and shares ISA – here your money may be invested in funds which invest across several assets including stocks and shares. This type of ISA also has tax benefits in that you don’t pay any personal income tax or capital gains tax on any profit you may make
  • National Savings & Investments – these are a range of savings and investments that are backed by the Treasury, which promises to guarantee your capital
  • Property – this may involve investing in residential properties or a holiday home to rent out
  • Shares – direct investment in individual companies. Here you take a stake in the company and if it does well you may get a dividend, which is a share in the profits. The value of your share may rise or fall depending on many things including how well the company has performed

Why not put our Advisers to the test and see what they could achieve for you by making your savings and investments work harder. Contact us to book a no obligation meeting with one of our financial advisers.

Our Financial Advisers provide savings and investments advice as part of our holistic approach to financial planning for Tamworth, financial planning for Lichfield and financial planning for Sutton Coldfield based individuals and businesses.