We’ve all been there before with the promises and plans to make sure we stick some money away at the end of each month. We know what happens… a few extra expenditures here and there means that the money disappears faster than we know.
Here at Wombat, we’ve created an automatic saving feature that allows you to take control of your savings.
We’ve tried to make it as easy as possible. With Wombat you can regularly and consistently invest a sum of money over time (also known as dollar-cost averaging, or pound-cost averaging). This means that you don’t have to worry if you’re buying at a high or low point of the market – you’ll tend to get an average, more real price.
As we’ve advised elsewhere, trying too hard to ‘time’ when you buy in the market (i.e. to buy low, sell high) is a strategy that leaves most investors with losses. There’s lots of evidence out there that reaffirms this, so we really do believe that long-term, regular investing is the best way forward.
Our functionality allows you to put money towards your investments. The best thing to do is to start small – pick an amount that you know you won’t miss in your bank account. Once you’ve gotten comfortable with it and know how much more you can invest, try slowly increasing the amount and see how that goes for you. Make sure you only invest what you can afford to lose.
"Do not save what is left after but save what is left after saving"
- Warren Buffett, American Investor
With the power of automation, you won’t have to worry about how much you are saving at the end of each month. By committing to saving and investing with Wombat, you’ll be able to take the first steps towards saving for your future.