Stick your money under your mattress for a rainy day. Keep your notes into an envelope and keep going until its full. Investing is boring.
These are all common statements and attitudes. However by not investing you are losing money. It’s as simple as that. If you stuck the money under your mattress, you’re not going to magically find an extra £20 note has appeared there, as you wont in the envelope or draw you ‘save’ your money in.
If you invest that money, especially into something like shares, you will not find that your money is being eaten away. When we talk about money being eaten away or rotting, this is done so by a big thing called inflation. With inflation rising and at 2.3% in February, you need to get that money working for you instead of stagnating in your house. Investing in shares means you are benefitting from having your money sheltered from the effects of inflation as share prices rise in line with inflation (this isn’t an exact science but check out the price of a chocolate bar from today compared to 10 years ago and that with your FTSE 100 companies and you will notice a trend).
So the age old ‘sticking your money under the mattress’ isn’t benefitting anyone but the bed bugs of inflation eating away at it!