Is Managed Investing Right For You?

Investing in the market can be time-consuming, and without the right guidance, you may not reach your investment goals. Managed investing allows you to hand over your portfolio to a professional, who can take care of the research and day-to-day operations of your investments for you. They can save you money, lower your risk, and boost your returns. However, it’s important to weigh up the pros and cons of managed investing, and decide whether it is worth it for you.

Managed investments are a type of financial investment where you give your money to a fund manager who then invests it for you in a variety of assets like cash, bonds and property. They can be highly diversified, which helps reduce your risks by spreading your investment across many different asset classes. They can also be tailored to your specific needs and risk tolerance. There are thousands of managed funds to choose from, and each has a different level of risk. Some are designed to beat the market by taking on more risk, while others are low-risk. You should always read a fund’s PDS (Product Disclosure Statement) to find out what it costs, how much return you can expect and the amount of risk involved.

When considering moving to managed investing, it is important to consider your current situation and how much you want to grow your portfolio. You should have a clear understanding of your personal goals, and a budget that you can allocate to your investment. Having an idea of your net worth will also help you determine whether or not managed investing is appropriate for you.

There are a number of reasons to move to managed investing, such as ease of use and access to a broader range of investments. Professional guidance can help you to achieve your financial goals, and the fees charged by wealth managers are often tax-deductible. Managed accounts are also regularly adjusted to keep your portfolio on track during market fluctuations through a process called rebalancing.

You may also be able to save on capital gains tax by purchasing managed investments via an SMSF, and through certain structures such as unit trusts (MCIV) and company-based regulated managed funds (CCIV). However, it is important to speak with your accountant before making this decision.

Managed investing is not for everyone, and the cost and minimum deposit requirements are significant. However, for those who are comfortable with the risk and can afford it, managed investing is a great way to take the guesswork out of managing your own portfolio. It gives you peace of mind knowing that a professional is managing your investment strategy, and can potentially save you money, lower your risk and boost your returns. Managed investing

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