You don’t need to study investing extensively. At UpToMore, you automatically follow a smart strategy. Curious about the basics of investing? You’ll find them here
In the long term, investing usually yields more than saving. While money in your savings account slowly loses value due to inflation, your wealth often grows more than inflation through investing.
Stock prices fluctuate, especially in the short term. Your returns may be disappointing. But if you invest globally in stocks and stay invested long enough, history shows that you can expect an average of about 8% per year.
There are two ways to invest: actively or passively. With active investing, you choose yourself – or with a wealth manager or your bank – which stocks or funds to buy and when. The goal is to achieve a higher return than the market average, for example by selecting promising companies. With passive investing, you follow the general trend of the markets you invest in. For example, you invest in ETFs, which contain a fixed selection of stocks from hundreds of companies.
Research shows that passive investing almost always yields more in the long term. This is partly due to lower costs. That’s why at UpToMore, we choose a passive strategy.
You can invest in all sorts of things: stocks, bonds, real estate, or derivative products like ETFs. Many passive investors choose ETFs. An ETF (Exchange Traded Fund) is an investment fund that follows, for example, hundreds of companies from a stock index, usually at low costs.
With UpToMore, you don’t have to compare hundreds of ETFs yourself. You automatically invest in a selection of cost-efficient ETFs with a globally diversified portfolio of stocks in sustainable companies.
Investing without any risk is not possible. But you can limit the risk while increasing your chance of returns. You do this with three golden rules:
This is exactly how you invest with the UpToMore Fund: you invest via ETFs in a globally diversified portfolio of stocks, and you can automatically invest every month. This way, you build wealth responsibly, with as little risk as possible.
Many people think that investing is about timing. That you have to wait for the so-called perfect moment, when the stock market is at its lowest point and will shoot up afterwards. But timing the market is very difficult: the future is simply unpredictable.
Fortunately, you can also invest successfully without wondering whether the stock market is high or low now. The most important thing is: start as soon as possible and invest regularly. This approach is called dollar cost averaging (DCA). With this, you spread your risk, buy at average prices, and benefit from the snowball effect of returns on returns.
Sustainable investing is easier than ever. In Europe, providers must show how sustainable their investment products are.
Research shows that sustainable investing does not yield lower returns. So you can invest responsibly without losing out financially.
Through UpToMore, you invest in ETFs that invest in companies with environmental or social characteristics. These are the so-called light green funds, which comply with Article 8 of the SFDR.
You can invest yourself through a broker or bank, or outsource it to a wealth manager or bank. Doing it yourself requires time and knowledge and increases the risk of emotional choices, such as joining a hype or selling in panic. If you invest through a wealth manager, your own effort is usually limited.
Costs differ per provider. If you invest passively, those costs are often lower. Research shows that passively managed investment funds often yield a better return than actively managed funds. With UpToMore, you invest in a passively managed investment fund at extremely low costs.
You can always contact us via chat. We’re happy to help!