Stockmarkets can be unpredictable. They move frequently - and sometimes sharply - in both directions.
It is important to take a long term view (typically ten years or more) and remember your reasons for investing in the first place. Be prepared to view the occasional downturns simply as part of a long term investment strategy, and stay focused on your goal.
Our research shows that, historically the longer you stay invested, the smaller the likelihood you will lose money and the greater the chance you will make money. Of course, its worth remembering that past performance is not a guide to what might happen in the future and the value of your investments can go down as well as up.
The golden rule to investing is allowing your investments sufficient time to achieve their potential.
Figures assume investments are made each year as a lump sum, a hypothetical 6% gross annual return, which includes any reinvestment of income and dividends. Figures assume no initial charges on the investment, management charge is 1.5% for the first ten years and 1% thereafter. The final values do not take account of taxes or inflation. This hypothetical example is for illustrative purposes only and does not represent the performance of any security in an untaxed account. Investing in this manner does not ensure a profit or guarantee against loss.