What about investing?
With your daily spending, emergency funding and more immediate saving needs addressed, it could be worth investing for the future – for where you’d like to be in five or 10 years, maybe even longer. Investing should very much be used for your long-term goals.
It has the potential to increase the value of your money over many years, even keeping it ahead of rising prices.
Take the MSCI All Countries World stock index as an example. It’s returned 58.3% over the last five years – as at 28 April 2023 – and 165.1% over 10 years (in sterling, with income reinvested)*. It’s always worth remembering, though, that past performance should not be taken as an indication of future performance.
Also, you should only consider investing any extra money you have over and above your other needs. The value of investments, and the income from them, can fall as well as rise and you may not get back what you put in.
* Source: Coutts, Refinitiv, May 2023