Learn how to reinforce your income in uncertain times

Seven Principles of Investment - No.4: Short term is better than long term

In the past investors have often committed to long term investments – say 5-10 years, in return for higher returns. Many savings institutions regularly offer 3 and 5-year terms as well as the shorter versions. The theoretical benefit of the longer term is that the rate will be higher, in return for you locking up your money for this extended period. That’s true – to a point.

It is also possible, as demonstrated by the Avantis Wealth portfolio of investments, to receive ‘Rewarding Returns’ (see principle no 3) on short term investments of 12-36 months.

One thing is for sure in an uncertain world – knowing what is going to happen in one or two months is hard enough, do you really think you can be confident about investment decisions five to ten years ahead?

Short term investment allows you to reassess your own position and cash needs more frequently, not to mention keeping in touch with the market and adjusting your investment strategy to benefit to the max on an ongoing basis.

I’m a great believer that short term investments, typically 12-36 months, deliver greater certainty because, assuming all other elements are equal, there is less time for anything to go off course. Because of this, short term investments are inherently less risky, which is one key element of a careful approach to risk management.

Read about all 7 principles of investment by downloading our report. The report equips you with the knowledge of how to improve your chances of success and make the most of your investment portfolio.

More relevent Articles

Latest Insights

Retirement 2

How to build income and wealth for retirement: 2. How to create more retirement income

In this part of the series we examine the ways more income in retirement can be achieved

Retirement 4c

How to build income and wealth for retirement 4c: Ways to boost your retirement income by reducing your costs and outgoings

In this part of the series we examine if reducing outgoings could work to help build a pensionable income

Retirement 3a

How to build income and wealth for retirement 3a: Getting the best from different investment classes through shares

In this part of the series we examine if shares could work to help build a pensionable income

Current Investments

Register to Invest

All investments have all gone through a stringent 3-phase due-diligence process that is available for your evaluation and is available to qualified investors only
Qualified Investors Only


Investment decisions can be complicated. At Avantis, we are here to help you understand the investments that are presented to you. By understanding more about your investment goals, we can give access to opportunities that can achieve these goals.
+44 1273 447 299
Spaces, Mocatta House, Trafalgar Place, Brighton, BN1 4DU
I consent to be contacted via telephone and/or email and i consent to my data being stored by avantis wealth to comply with european gdpr regulation.

Register for Investment Access

All the details and downloadable documents are available through the investment portal.


Your capital is at risk. The value of your investment may go up as well as down. Past performance does not indicate future performance. There is no right for compensation in respect of poor investment performance and your investment is not covered by the UK FSCS. Avantis Wealth Ltd is not licensed or regulated by the Financial Conduct Authority and does not provide financial advice. The content of any promotion has not been approved by an authorised person within the meaning of the Financial Services and Markets Act 2000. Reliance on this promotion for the purpose of engaging in any investment activity may expose the investor to a significant risk of losing all of the capital invested. [Article 48(4) Financial Services and Markets Act 2000 (Financial Promotion) Order 2005] Please note that as a responsible company we require the self-certification of either a High Net Worth Investor or Sophisticated Investor statement prior to issuing any detailed information by way of an Investment Memorandum. Investors are not charged any fees when placing an investment through Avantis Wealth Ltd.