Hey all, seeing as I’ve not played many games since Maddison was born it’s been hard to really contribute on here. So I’ve decided to do a post about money instead because I’m a shallow husk of a person and that’s all I can really talk about 😢
In all seriousness though, as we make our way out of what has been a really tough time for most people I felt like this might be a good time to offer some advice or at least my experience when it comes to securing financial freedom.
There are so many ways to do this and I could go in for pages and pages but today I want to share what I’ve done for Maddison since her birth. I’m a fan of the low and slow investment method and I’ve been using a company called Wealth Simple for almost 5 years now. When Maddison was born I set her up a JISA for stocks and shares, Wealth Simple do the investing on my behalf.
Essentially any money you put in goes into the big pot of everyone’s money and they invest it into a diversified portfolio for you based on a little questionnaire you take when you register about your level of risk.
They manage the first £5k free and then it’s a 1% fee each year for any monies after that.
The picture below is of Maddison’s account I started when she was born, I put in £500 to start, £50 each month and then £100 for Xmas and her birthday. You can see over the last 19 months her account has grown by 12.7%, which in simple terms is about a 9% return each year. You won’t find that in the bank. For some perspective if her account continues to grow at 9% and I continue to put in £50 a month her account will be worth £29,000 when she is 18. This is a speculative figure of course but imagine
being able to hand over £30k to your kid at 18 to help them along their way.
I have my own account too (as well as a lot of other investments on other platforms) but I use wealth simple for my pension fund as I don’t intend to touch it, it’s growing at 9.5% a year.
If you are coming to the big FG meet up, why not use wealth simple to
save up for it? £10 a month in there over 10 months and you could have £109 rather than just £100.
Obviously with any investments there is risk but the longer you invest for the smoother the edges become and the better the returns. For reference I’ve been ‘investing’ in my long term plan for over a decade now (on Vanguard platform first, now wealth simple) and even the lows of the last recession and COVID haven’t stumped my growth.
Here is my link to wealth simple, if you register with it we both get some more cash managed for free!
Wealth Simple