STEP 7
Invest and
Build Wealth
Use your stronger financial foundation to plan for longer-term growth, future opportunities and the life you want to build.
What is Step 7?
Invest and build wealth
Step 7 means considering how your money can support longer-term goals once your financial foundations are in place. This may include investments, pensions, property, business planning or other long-term wealth-building strategies.
Why it matters
Savings are important, but money held only in short-term savings may not always support longer-term goals.
Investing may help you work towards future growth, but it also involves risk and should be approached carefully.
What should you review?
Start by reviewing your emergency fund, savings goals, pensions, debts, protection, investment timeframe and attitude to risk. Before investing, it is important to understand whether the basics are already in place.
The payoff
A clear wealth-building plan can help you make more confident long-term decisions. It can give your money direction and help you plan for retirement, family goals, property, business opportunities or financial independence.
How to start investing and building wealth
Make Sure Your Foundations Are in Place
This may include having an emergency fund, protecting major debts, reviewing income and family protection, building your pension and setting savings goals for known future costs.
Be Clear on Your Goal
You may be investing to build long-term wealth, support retirement plans, prepare for family needs, create more financial flexibility, build assets outside your business or diversify beyond cash savings and property.
Understand Your Timeframe
Investing is generally more suitable for money you do not need in the short term.
Understand Investment Risk
Investments can rise and fall in value, and you may get back less than you invest.
Think About Pensions First
For many people, pensions can be one of the most important long-term wealth-building tools.
Consider Diversification
Building wealth should not depend on one single decision.
A balanced plan may include pensions, savings, investments, property, business assets and protection. The right mix depends on your goals, income, timeframe and attitude to risk.
Strengthen your wealth plan
Review your pension contributions
Your pension may be one of the most effective long-term planning tools available to you.
Keep short-term money separate
Money needed soon should usually remain separate from long-term investments.
Avoid investing without a goal
A clear goal helps shape the right timeframe, risk level and investment approach.
Understand your risk appetite
Do not choose an investment simply because it has the potential for higher returns. Higher potential returns usually come with higher risk.
Avoid putting everything in one place
Diversification can help reduce reliance on one investment, asset type or outcome.
Review existing investments
Old investments may no longer reflect your goals, risk appetite or financial position.
Consider property carefully
Investment property can form part of a wealth plan, but it also brings borrowing, maintenance, tax, vacancy and market risks.
Get advice before making major changes
Large investment, pension or property decisions can have long-term consequences. It is worth understanding the wider impact before acting.
Not sure what financial step to take next?
Hidden
Do Covermore charge a fee for financial advice?
Covermore provides no-fee financial advice consultations. We will explain how the process works clearly before you make any decision.
Do I need to know what service I need before contacting you?
No. Many clients come to us because they are not sure what they need. We can help you understand whether your next step relates to your mortgage, protection, pension, savings, investments or wider financial planning.
Can Covermore help if I already have policies or pensions in place?
Yes. We can review what you already have and help you understand whether it still suits your life, goals and current circumstances.
Do you only work with clients in Dublin?
Covermore is based in Dublin, but we work with clients nationwide.
Can you help business owners and company directors?
Yes. We work with business owners, sole traders, partnerships and company directors on pensions, protection, savings, investment planning and broader financial advice.