Saving some of your income is a good habit to get into.
However putting all your money in a bank account may be not a safe strategy over the long run.

Why your cash in the bank isn't really safe

Most savings accounts only offer interest of 1% to 3% per year so your balance will grow slowly if you rely on interest from the bank. If you put all your money in a savings account, it will take you longer to save up for your financial goals.

So where should I put my money?

Provided you don’t need the cash soon, your money can work harder for you if you invest it. Investing has the potential to earn higher returns than a saving account. It’s a great way to put your money to work.

For example, putting $25,000 in a savings account 7 years ago would be worth about $31,167 today compared to over $45,000 in shares.

Overall returns for asset classes for a 7 year period

Source: Vanguard. Overall returns for asset classes for a 7 year period from 01/07/2010 to 30/06/2017. Returns taken as constant for all years and amounts are not adjusted for inflation.

Stockspot makes investing easy and affordable

Stockspot is Australia's largest and most experienced online investment adviser. We were founded in 2013 with a mission to help more Australians access expert investment advice and portfolio management.

Your money is managed by experts and we look after everything for you. Whether you’re growing your wealth, saving for a home, a family or retirement, we help you do it with the right investment portfolio and guidance.

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Tailored plan that matches your goals

We develop a plan to match your financial goals and update it when your life changes. We also provide investment coaching to keep you on track.
How Stockspot works »

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Global portfolios with high quality returns

Our portfolios are based on Nobel Prize winning research. We have a built a strong performance track record delivering high quality returns.
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Low simple fees

Our low fees are all inclusive. No hidden extras in the small print. We won't surprise you with fees that eat into your returns.
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How to invest

Investing with Stockspot is easy. Tell us a bit about your investment timeframe and goals. We develop a personal investment strategy to help you get there. You can top up or withdraw at any time without paying any additional fees.