The world of stocks and shares investing is notoriously risky ' but also notoriously lucrative. Sounds a little better than 2.14% interest on a 2-year bond, doesn't it?
If you get it right, there's potential to bring home the sort of profit that makes returns on savings accounts look like a handful of old coppers. Although picking such a short-term profit is fiendishly difficult.
And although it was once the preserve of the super-rich or professional trader, then those who had their own stock broker, now the stock market is at the finger tips of anyone with enough an internet connection and the spare cash to make investing worthwhile. For decades, many a wisened investor has sworn by the adage that shares always outperform savings in the long-run.
And the facts speak for themselves: UK shares managed to return an annual average of 7.2% between 19, compared to just 2% for cash accounts.
But investing in stocks and shares is always a gamble ' as many have found to their peril ' because the markets work in strange and often unpredictable ways.
For example, few would have forecast the FTSE 100 would be at roughly the same level now as it was a decade ago.
The key is to approach investing the correct way and with careful, informed judgement.
With this foundation, shares have the potential to earn you some of the juiciest returns that money can buy.