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How to Set Up Monthly Deposits to The Money Pouch

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How to Set Up Monthly Deposits to The Money Pouch

You can set up monthly deposits into your investment account with The Money Pouch.

This is very useful if you work in contract or commission work, for example you work in the energy industry on contract or you work in sales on commission or in IT on part time or contract work.

Most large insurance companies try to sell savers products which tied them into 15, 20 or 25 year contracts. Unfortunately, if you stop paying into these contracts, there can be consequences and if you cash in the policies you can lose 10% or more of your investment.

These types of retirement policies were set up in an age where people entered a career and had a job for life. This is rarely the case in the modern work force. On average people move jobs every few years and even change countries. You need a flexible plan that doesn't penalise you if you lose your job, change job or change location. The Money Pouch can provide a low cost solution for the modern worker.

The Big Insurance Companies' Solution - The Old Solution

  • Locked into contracts as long as 25 years
  • Exit penalties of 10% or more if you pull out before the end of the contract
  • If you miss a monthly payment, you need to make those monthly payments in future, so if you are out of work for a year, you will owe 12 months' extra premiums
  • High fees, you must pay the insurance companies fees, plus each fund fees, plus custodian fees, this can make fees as high as 4% per year
  • Some flexibility to increase/decrease payments, but there are many rules
  • Rules concerning top up amounts
  • Large choice of funds, but fees are high
  • Normally, the funds are never rebalanced or perhaps once per year, but normally you need to prompt your financial adviser

 

The Money Pouch Solution - The New Solution for the Modern Worker/Traveller

  • You can make monthly deposits into your savings account
  • You can increase or decrease the monthly deposits anytime you want
  • You can stop your deposits anytime you like
  • There is no fee to set up the account
  • You can withdraw money from your account anytime you like
  • Monthly deposits means your account will take advantage of Dollar Cost Averaging, so if the stock market falls during a month, you are picking extra stock up at a lower price
  • Dividends are automatically invested to increase your compounded growth over time
  • Your investment portfolio is automatically invested and automatically rebalanced monthly
  • ETFs are bought and sold on your behalf on auto pilot every month to increase risk adjusted returns
  • This frequent rebalancing allows your account higher protection during prolongued market downturns by moving to treasury ETFs, gold ETFs or cash
  • Low fees, less than 1% per year annual management fee, even lower fees for larger amounts
  • Cash in your investment at any time, no fee to exit
  • Total flexibility to increase/decrease payments, can top up at any time
  • Narrow choice of funds, only conservative, balanced or adventurous, but fees are very low and low cost ETFs used for diversification and liquidity

How to Set Up Recurring Monthly Deposits to The Money Pouch

You can see how to set up a recurring monthly deposit to The Money Pouch in the video below. 

For example, you could set up an recurring bank deposit instruction for 2,000 USD per month.

If you have any questions, please click here to contact us.

 




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