Investophobia: taking the fear out of investing video

WHAT would you do if you suddenly had £5,000 to spend? Book that dream holiday you’ve always wanted? Pay off a credit card bill? Get some work done on the house?

Or perhaps, like those in this short film https://vimeo.com/279666951/fbb3d8d34a, you’d blow it on a new Lambretta, a few months’ rent – or even costume jewellery!

But what about investing it? New research shows over half (53%) of Brits would never consider investing in stocks and shares, even though inflation reduces the value of secure cash savings.

In this new video from Scottish Friendly, financial journalist Simon Read takes the fear out of investing by explaining how you could make your money work for you.

The video was created in the wake of a survey of 2,000 British savers for Scottish Friendly by 3gem that shows:

Scotland

• Only 1 in 10 (12%) invest directly in stocks and shares.
• The fears and concerns people have when it comes to investing include fear of losing large amounts of money (42%) and also the fear of the unknown (39%).
• 1 in 3 (32%) of people state that they want providers to be clearer on charges, and a quarter (25%) want providers to talk about investing in a simpler way.

Calum Bennie, Scottish Friendly’s savings specialist, said: “If you’re lucky enough to come into a windfall then inevitably you might want to treat yourself by taking a holiday or going on a shopping spree but it could also be wise to think about investing some of the money.

“At the end of the day, regardless of whether you have a few thousand pounds to put away or if you have a small amount to save each month, it could be worth considering investing the money as this could be a smart way to potentially get the most bang for your buck.

“We’ve spoken to plenty of people who say they’re scared of investing but many may already have money held in stocks and shares through their pension and will be comfortable with that as a long-term investment.”

“If you don’t know where to start then you could for example, pick up the money section from a national newspaper or search online for more information.”

The value of investments can go down as well as up and the value of the original investment is not guaranteed.