Savings & Investments

Planning for Tomorrow: 7 Proven Tips for Long-Term Investing Success

Nick Charalambous13th Feb 2023 • 4 min read

Investing for the long term can feel like a big step, but it’s a great way to build wealth and ensure a secure financial future. However, if you’re new to the world of finance, it can be a bit overwhelming. In this blog post, we have compiled our seven tips that can help you get started with long-term investing. By following these tips, you’ll be well on your way to achieving financial success and security.

Start Early

The earlier you start investing, the more time your money has to grow. The power of compounding means that your investments will grow at an exponential rate over time, so the earlier you start, the more time you have to reap the benefits. As mentioned in our previous blog post, one of the most common financial mistakes is not having a budget. To calculate your own personal person, check out our Budget Calculator.

Create a Diversified Portfolio

One of the most important aspects of successful investing is diversification. By spreading your investments across different types of assets, you can reduce your risk and increase the likelihood of earning a steady return over the long term. To start making your money work for you, our Alpha savings and investment club creates diversification and consistency.

Set Realistic Expectations

Investing is not a get-rich-quick scheme. It takes time, patience, and a lot of discipline. Set realistic expectations for your investments, and be prepared for ups and downs along the way.

Financial Planning for long term investing

Make a Plan and Stick to It

Develop a long-term investment plan and stick to it. Don’t let short-term market fluctuations dictate your investment decisions. Stay focused on your goals and resist the urge to make impulsive trades.

Educate Yourself

Learning about different types of investments, market trends, and financial concepts can help you make informed investment decisions. Take advantage of online resources, books, and educational programs to improve your knowledge and understanding of the investment world. Visit our YouTube channel and watch our latest webinars on various financial topics.

Consider Professional Advice

Consulting with a financial advisor can help you make informed investment decisions, understand your options, and build a diversified portfolio that aligns with your goals and risk tolerance.

Monitor Your Investments Regularly

Regularly monitoring your investments can help you stay on track and make adjustments as needed. Review your portfolio at least once a year to ensure that your investments are still aligned with your goals and that you are on track to achieve your financial objectives.

Conclusion

Long-term investing can be a powerful tool for building wealth and securing your financial future. By following these seven tips, you can start your journey to financial independence with confidence. If you need help getting started, Alpha Wealth is here to help. Our experienced team of financial advisors can provide you with the guidance, advice, and support you need to achieve your investment goals. Contact us today to schedule a consultation and start building your financial future.

For more financial tips and advice, make sure to check out our recent blog posts using the links below.

Nick Charalambous

13th Feb 2023

Share this post

Discover more

Savings & Investments

Alpha Wealth Doubles Workforce and Welcomes Pat Lucey to Its Advisory Board

Nick Charalambous, Managing Director of Alpha Wealth, has announced plans to double the company’s workforce over the next 6 to 12 months, marking a major new chapter of growth for the Cork-based impartial financial advisory firm.

With 11 staff currently across its Cork and Dublin offices, Alpha Wealth plans to hire 10 to 11 new full-time team members. The expansion comes in response to increased client demand and strong business performance, and aims to broaden the firm’s reach while maintaining its commitment to personalised, impartial financial guidance.

This next phase of growth is also being supported by the appointment of Pat Lucey to Alpha Wealth’s newly established Advisory Board. A seasoned project professional and entrepreneur, Pat was co-founder and former CEO of Aspira, growing the company from an Irish firm into a global consultancy with over 280 staff. He was also the first Irish person elected to the Board of Directors of the global Project Management Institute (PMI).

“We are delighted to welcome Pat to our Advisory Board,” said Nick Charalambous, Managing Director of Alpha Wealth. “His expertise in strategic planning, digital transformation and governance will be pivotal as we continue to innovate and scale. Pat’s leadership and alignment with our client-first philosophy make him an ideal advisor as we chart our next chapter.”

Pat Lucey added, “I’m excited to join Alpha Wealth’s Advisory Board and look forward to collaborating with the team to develop innovative strategies that support clients in achieving their financial goals. Alpha Wealth’s commitment to putting clients at the heart of everything they do is very clear, and I hope my experience will add value as the firm continues to grow.”

The recruitment drive is already underway, with six new hires targeted by the end of this year and a further four expected in early 2025.

The roles will be spread across key functions, including financial advisory, tax, administration and graduate trainee positions, with some remote opportunities available for the right candidates. This latest growth phase reflects the firm’s continued upward trajectory, driven by demand from individuals, families, and businesses seeking clear, trustworthy financial advice.

Charalambous says Alpha Wealth’s success is rooted in the strength of its team and its clear mission. “Over the past decade, we’ve built a trusted, impartial advisory firm that empowers clients to take control of their financial futures. As we grow, we’re looking for dynamic and motivated professionals passionate about making a real difference and sharing our vision to simplify finance and help clients build secure financial futures.”

Founded with the goal of demystifying finance, Alpha Wealth provides savings, investing, retirement and protection advice, helping clients across Ireland take control of their financial lives and plan for the future with confidence. All advisors are Qualified Financial Advisors (QFAs), with several also holding the prestigious Certified Financial Planner™ (CFP®) designation—ensuring clients receive honest, expert, and unbiased guidance. The firm is regulated by the Central Bank of Ireland and currently manages more than €200 million in assets, serving over 3,000 satisfied clients nationwide.

Maximise your savings and make your money work harder for you

In Ireland, it has been revealed there is over €100 billion sitting in deposits across Ireland earning less than one percent – even when there is a wide range of saving and investment options available. It’s no secret that it can be challenging to decide where to put your hard-earned money to avoid it being eroded by inflation and sometimes you just don’t know who to go to or where to start.

To ensure your money is working at its fullest potential, check out these four essential savings strategies:

1. Segregate Your Savings by Time

Categorise your savings into short-term (next five years), medium-term (five years to retirement), and long-term (retirement and beyond) “pots.” This structure allows you to align your financial strategy with your timeline and risk comfort level.

For example, short-term savings should be in secure, low-risk deposit accounts.
Medium-term savings can include options like ETFs or diversified investment accounts with potential returns over 5% annually but may come with moderate risk.
Long-term savings, such as pensions, not only offer higher growth potential but also significant tax advantages.

2. Shop Around for the Best Rates

Once your savings are categorised, finding the best rate for each time period is crucial. While traditional Irish banks like AIB and Bank of Ireland offer low deposit rates, foreign online banks like Raisin, Trade Republic, and Bunq can provide more competitive interest rates of over 2% annually (before tax). Revolut’s entry into the Irish market has opened eyes to these options, demonstrating that better rates are achievable. For monthly savings, AIB and Bank of Ireland do offer rates as high as 3% (as of November 2024), but understanding the terms is essential to maintain those benefits over time.

3. Understand Fees, Charges, and Taxes

Hidden fees and tax implications can eat into your savings. For instance, while Revolut and N26 accounts may have additional fees, Trade Republic and Lightyear typically do not. When investing for the medium term (five years or more), fees set by brokers can vary widely. High management charges or contribution fees can erode your potential returns, so it’s important to choose wisely and compare offerings. Additionally, some accounts are taxed differently, so knowing the details is key to optimising your returns.

4. Seek Impartial Financial Advice

While it’s tempting to rely solely on personal research, getting impartial financial advice ensures a well-rounded perspective. Tied agents, such as those from AIB or Bank of Ireland who represent Irish Life or New Ireland Assurance, respectively, may only offer limited product choices. Independent financial advisors, on the other hand, can present a wider range of investment and savings products, ensuring you find the best fit for your goals. Consulting an independent advisor provides valuable insight into diverse options, helping you make informed decisions tailored to your financial needs.

Talk to Us

How to Save Money: 5 Tips to Maximise Your Savings

In today’s uncertain economy, getting the most out of your money is crucial. One of the easiest ways to improve your financial well-being is to ensure the interest on your savings outpaces the inflation rate. However, many of us need help figuring out where to begin – how much should we save and where should we put our money?

5 Tips to Maximise Your Savings

1. Get the Best Return on Savings

Look beyond Irish banks for better returns on your savings. Traditional options like the Credit Union, Post Office, or Irish banks are no longer the only choices. International institutions such as Revolut, Trade Republic, Raisin, and N26 offer competitive interest rates. Diversifying your savings across these alternatives can yield better returns and is a crucial strategy for maximising your savings potential.

2. Start Saving Early

Saving early is crucial to harness the benefits of compounding. Compounding means earning interest on your interest, accelerating wealth growth over time. The earlier you start, the more time your money has to grow, leading to significantly larger returns. Even small, regular contributions can grow substantially, providing a strong financial cushion for the future. Start early to maximise your investments and ensure a secure, prosperous financial future.

3. Save First, Spend Later

Warren Buffett advises saving before spending, meaning you should prioritise setting aside money before non-essential purchases. This approach builds a financial cushion, allowing you to invest in long-term opportunities without worrying about debt. Being smart with your money and planning ensures financial stability and reduces stress. Save a portion of your income first, then enjoy spending what’s left, knowing you’ve secured your future.

4. Ensure the return you are getting on your savings is higher than the rate of inflation

Basically, you want to ensure that the interest or returns you’re getting on your savings are higher than the inflation rate. If inflation erodes your money faster than it grows, you lose value. Aim for savings or investments that outpace inflation so your money retains its value over time and you don’t lose out.

5. Consider your financial goals: short, medium and long term

Setting short, medium, or long-term financial goals is essential to choosing the right place to save money. For short-term goals, an instant access savings account works well. For longer-term savings, consider options from insurance companies like Zurich or Aviva, which often offer better interest rates. Matching your financial goals with the appropriate institutions will help maximise your returns.

If you are seeking more advice on maximising your savings, book a financial review with Alpha Wealth today. Let our experts help you make the best choices for your financial goals.

Book a financial review