Making your investment choices
If you decide to pick your own investments, there are a few things you should think about.
Spreading your investments
Also known as 'diversification', this means investing in a mix of different things, like stocks and shares (equities), bonds and property. Most experts agree that this is a sensible approach to take as by being invested in a mix of investment types, the impact of one performing badly is likely to be mitigated by the performance of others. In other words, your eggs aren't all in one basket.
An adviser can help you pick a mix of investments that's right for you.
Picking investments that match how you feel about risk
The more risk you're comfortable taking, the bigger returns you could get - and the more you could lose.
Lower-risk investments may give you a bit more security and peace of mind, but that will generally mean lower returns too. Unfortunately, there's no such thing as a low-risk way to high returns.
You'll need to decide how much risk you're comfortable taking with your investments. And keep an eye on them to make sure they maintain that level of risk.
The value of all investments can go down as well as up, and you may get back less than you paid in.
Watching your investments
If you choose your own investments, you'll need to keep a close eye on them to make sure they stay on track to meet your financial goals.
If you're not confident doing this, you should speak to a financial adviser.