Beat Inflation

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When making financial investments, it's crucial for clients to understand all potential charges involved. At Link Independent, we emphasize transparency because your financial growth should be free from any hidden costs or surprises.

 

Be Aware of All Potential Charges

Investing comes with associated costs, and it's essential to be aware of these before committing your funds. Whether you're investing through a platform or directly into a specific fund, there can be different types of fees such as:

 

• Management Fees: These are typically charged by the fund managers for overseeing your investments.

• Entry/Exit Fees: Some platforms charge fees when you enter or exit an investment, which can erode your returns if not considered carefully.

• Performance Fees: In some cases, a percentage of the fund's gains is paid to the fund manager if your investment performs well.

By understanding these fees, you can ensure you're making an informed decision and that your investments are aligned with your financial goals.

 

Locked-In Investment Periods: Is This What You Want?

Some investments may come with a locked-in period, during which your funds are inaccessible. It's important to ask:

 

• Are you comfortable with the commitment to this period?

• Is there flexibility in your investment, or will withdrawing early incur penalties?

Lock-in periods are often associated with lower fees or higher potential returns, but they could also limit your liquidity in case of emergency. Make sure you're comfortable with these terms before proceeding, and always check whether additional charges apply.

 

Who is Being Paid These Charges?

Understanding where your money is going is just as important as knowing how much you're paying. Investment charges are typically split between:

 

• Fund Managers: For managing and making decisions on your investment portfolio.

• Platforms: For facilitating your investment transactions.

• Advisors: If you're using a financial advisor, a portion of the fees may be paid to them for their expertise.

At Link Independent, we believe transparency is key, and we provide clarity on where every penny of your investment is going.

 

Always Read the Small Print

It’s easy to overlook the fine details, but this is where crucial information often lies. You should not only review the small print on your investment platform but also the documentation for the individual funds you choose. Each fund may have its own specific terms, fees, and investment strategies that could significantly impact your returns over time.

 

A Smoother Ride with Link Independent

At Link Independent, we’re not reinventing the wheel—we’re just making the ride smoother. The charges from the investment managers are clear and simple:

 

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• Carefully selected funds: We help you find funds with transparent and appropriate charges that aim to grow your investments, not hinder them.

With Link Independent, you can rest assured that your financial journey is guided by clarity and honesty. Let us help you make informed decisions that align with your financial goals.

 

 

Investment Growth: The Impact of High Charges

 

When investing your hard-earned money, it’s essential to understand how fees can significantly impact the growth of your investment. At Link Independent, we believe that your money should be working for you, not being diminished by excessive fees. Unfortunately, in some cases, high adviser commissions can take a significant chunk out of your initial investment, slowing down your potential returns.

 

The Impact of High Adviser Commissions

Many advisers can charge up to 7% in initial commission. This fee can either be taken upfront or spread out over a defined period. To put this into perspective, if you were to invest £500,000, a 7% commission would see £35,000 deducted from your investment on day one, leaving you with just £465,000 to grow. This immediately reduces your starting capital and the potential returns you could generate over time.

 

Alternatively, some advisers choose to spread out their commission, typically over a period of years. While this might seem like a less painful option at first, it can still add up. Regular deductions every three months, for example, could result in even higher overall costs by the time the commission is fully paid. In fact, that 7% initial commission could increase to 10% or more due to compounding over the defined period.

 

The Hidden Impact of Surrender Periods

When commission is spread out in this way, the investment is often tied to a surrender period, typically lasting up to 10 years. During this time, withdrawing your funds or moving your investment may result in penalties or fees. This lack of flexibility can limit your ability to adapt your investment strategy or access your money in case of an emergency. Worse, you’re paying for it through higher overall charges, which ultimately hampers your investment growth.

 

A Simpler, Fairer Approach with Link Independent

At Link Independent, we take a different approach. Our focus is on maximizing the growth of your investment, not weighing it down with unnecessary charges. That’s why:

 

• No surrender periods: Your money remains yours to access, with no restrictions or penalties tied to how long you stay invested.

We believe that investment growth is crucial, and high fees should not stand in the way of your financial success. With our trusted partners clear and transparent fee structure, you can rest assured that your investment is focused on growing your wealth—not paying for high adviser commissions.