Investing money can seem like an easy feat when starting out, but with the wide range of investment options available, each of which harbouring a different level of risk, it can become quite challenging to choose one which is best for you. Many people now use an investment platform to manage their portfolio, so here is a quick guide to choosing one for your SIPP or ISA.
Type of Investment
Given the range of investment options available, you will need to ensure you know what type of investment you will be making before you choose a platform. Those looking to invest for their pension through funds or shares, for example, will want a platform which allows you to buy these investments.
Investment management is undertaken through accessing the portal online, and you can see exactly where your money has been invested and how the investments themselves are performing.
Features and Usability
Another important consideration when choosing an investment platform is its ease of use. Different platforms are suited to different levels of experience as well as different investment requirements, so be sure to check the interface and research the features it offers.
Since you will be managing your investment portfolio on a regular basis, it is important that the features are not over complex for your needs and that you understand their function in relation to your investment. The platform should also be easy to navigate, and display the entirety of your portfolio under one interface.
Your Budget/Their Fees
One of the final and most important considerations when choosing a platform is the price which is charged for using it and your investment budget. Once again, different platforms will cater to different budgets, so it may be worth doing some research to see who the platform you are interested in is geared towards.
Companies like Bestinvest will provide their own investment platform to help you manage your investments. Many simply charge a yearly fee for the service, but you should still check that the amount will not significantly affect your ability to profit from your investments.
Choosing an investment platform need not be a difficult task, and if you bear these considerations in mind you can’t go far wrong. Make sure it covers all your needs, though, and do plenty of research and shopping around to find the best one for you.