Discover all the benefits of using investment platforms and invest smarter.
In the finance world, investment platforms offer savvy investors a strategic edge. These platforms are designed to simplify an investor’s life by taking care of all the admin like tax certificates and statements and allowing them to easily monitor various investments. The result is a more efficient investment strategy and better returns. Some of the more well-known investment platforms in South Africa are offered by Glacier, Old Mutual, and Allan Gray, to name a few.
How an investment platform works
Think of an investment platform as an intermediary link that connects investors, financial advisors, and asset managers. It’s almost like an online mall where investors can access various investment funds or vehicles. These funds are then channelled into investments like retirement annuities, tax-free savings accounts or living annuities to help you achieve your investment goals.
The value of investment platforms isn’t only in the variety they offer but in the simplified access to local and international funds from different managers in one place. This makes investing more effortless and less admin-intensive. Working hand-in-hand with your financial advisor, you can tailor your portfolio from the platform’s curated collection. This means crafting a balanced investment strategy that aligns with your goals and risk appetite, all within one platform.
Investment platforms also offer solutions for the different stages of your journey, from wealth-building to transitioning into retirement. It’s versatile and adaptable, making it the perfect investment tool for any life stage. And because every fund on these platforms is thoroughly checked and vetted, investors can rest easy knowing the funds they’re investing in are compliant with the necessary risk management and reporting processes in place. Most investment platforms also offer solutions that match investors’ risk appetite, whether conservative or risky.
It is worth noting that an investment platform is not the same as an asset manager that manages your money for you or a financial advisor. The platform simply houses the different assets and underlying funds in a central place that is accessible to investors, asset managers, and financial advisors. The asset manager is still responsible for the fund’s performance, and the advisor is still responsible for the advice given to the investor.
Why invest in a platform rather than directly?
Investing through a platform is typically the more efficient route as it saves time and simplifies administration. And unlike direct investing, which can involve managing numerous access points and tracking various returns, an investment platform consolidates everything. It provides easy-to-use reporting tools, accessible interfaces, and a unified management approach.
Diversity is a fundamental aspect of investing. Knowing that you or your financial advisor has access to a range of funds and resources provides the confidence that your investment plan is tailored to your unique needs.
mCubed Group embraces this approach and helps guide you toward a financially secure and comfortable retirement. Members, clients, and participating employers of our retirement funds enjoy access to the best investment administration and advice, excellent service, and complete transparency for the best long-term results. Our fund-appointed FAIS-accredited financial advisors also help you to enjoy a safe, financially sound, stress-free, and prosperous retirement. Get in touch today and take charge of your financial future today!
