The arrival of summer spells a time for many of us to start looking forward to a well-earned holiday. To make it a truly hassle-free affair, Martin Vaughan, senior partner at Clear Capital Management LLP, would recommend a good travel agent – and suggests his own job is not a million miles away.
We all have our different ideas of what makes a good holiday. For some, it’s a weekend at the seaside, for others trekking in Nepal and for others a family trip to Disneyland. Some prefer a cool climate, some enjoy basking in the blazing heat. It’s entirely down to individual preferences.
Yet most of us know that, whatever our idea of a perfect holiday, we are more likely to achieve it if we plan ahead. We may research locations, activities, hotels and villas on the internet, check availability of accommodation, book flights and time off work many months in advance of the actual trip. We generally know that we are more likely to get what we want if we do this. But it’s hard work, and there are countless decisions we have to make. For some, it becomes almost like planning a military campaign.
Then there’s the money! Can we actually afford our dream? Well, having learned the hard way, I’ve discovered that paying a travel agent to deliver your ideal break saves both time and money.
Using a travel agent has many advantages. Firstly, they are insured, and their ATOL certificate means if something goes wrong you can get some or all of your money back. They can also get good deals on hotels and flights. And, importantly, they will have had much more time and opportunity than you to thoroughly research hotels, airlines and all the rest.
I’m guessing you can see where I’m going with this!
Preparing an investment portfolio is complex, just like preparing a holiday. And just like your idea of a perfect holiday, an investment will typically have a specific ideal outcome attached to it. With so much resting on achieving that outcome - for example if your investment goal is to provide a retirement income - then it would make sense to invest in a portfolio that has been created and is managed by professionals.
Apart from having access to investments that you simply cannot get as an individual, the investment manager will have much more knowledge and experience and has the time and resources to complete much more research than an individual investor.
So, just as a travel agent can help you achieve your hassle-free holiday, a good investment manager will try to make your investment journey as hassle free as possible…hopefully allowing you to spend your retirement in permanent sunshine.