Investment myths debunked

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Investment myths debunked

Over longer periods of time (five years or more), investments such as stocks, shares and funds have the potential to give you higher returns compared to cash savings. But the value of investments can fall as well as rise. Eligibility criteria, fees and charges apply.

Uncovering the truth behind investment myths

We want to set the record straight when it comes to reasons people avoid investing. Here are six myths surrounding investing. Consider them busted.

1. You need to watch your investments like a hawk

While we encourage you to take an active role in investing, we don’t expect you to spend your days watching it closely. That’s what our investment managers at our private bank, Coutts do for you.

Our investment managers use their expertise to invest your money wisely and responsibly.

2. You need lots of money to make investing worthwhile

You don’t need lots of money to invest. You can start small and build your investment up over time.

Open a NatWest Invest account from £50 and top up your investment at any time from just £10.

3. You need to take huge risks

Investing isn’t risk-free, but that doesn’t mean you need to take huge risks either. A basic principle of investing is to spread your investments around. Don’t put all your eggs in one basket.

Investing in funds helps reduce the risk of losing significantly if one single investment fails. It’s called diversification.

4.You can't easily access the money in your investments

There’s generally no fixed period you need to invest in an Stocks and Shares ISA or General Investment Account.

If you want to sell your investment, let us know and we’ll move the money back in to your online banking account.

5. You aren’t investing if all you have is a pension

Lots of pensions are investments, so if you have a pension, you may well already be investing.

Our personal pensions work in the same way as our other investments. The main difference with personal pensions is you can’t access your pension until you’re 55.

6. You have to pay big fees to invest

Investment fees vary and you should check the fees before you invest.

We do not charge an initial, also known as an 'upfront fee', when you invest with us. We charge fees for managing your investments totalling 0.55% these consist of a platform fee of 0.15% and a fund management fee of 0.40%.

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