The Invesco FTSE All-World UCITS ETF could be all you need. It’s intended for a wide range of investors but particularly those who may not have the time or the skills to decide how much to invest in US companies, how much in German companies, and so on. Of course, you could always add other funds whenever you want to, and ETFs offer a variety of low-cost choices.
How to invest can be as important as where to invest
Putting everything you have to invest in the market at once could make you nervous. We get that. That’s why so many people are now using savings plans. Investing smaller amounts on a regular basis instead of a large lump sum that leaves you worrying about the market suddenly falling. By saving in regular intervals, you will automatically buy more units when the market is low and fewer when it’s high. The idea is that your average cost (the average per-unit buying price) will smooth out over time. It is often seen as a less volatile way to invest.
Deciding what to do with the income is also important. For example, the Invesco FTSE All-World UCITS ETF has a current yield of 1.5% per annum. That represents the dividends paid to the ETF over the past year from all the companies it holds, expressed as a percentage of the total fund value. Now, I can hear you say, “1.5% isn’t very much, so I might as well take it in cash.” Well, if you need the extra income, then go ahead and take it. But if you don’t, then that 1.5% accumulated over time can make a substantial difference to the total return from your investment.