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What Happens if I Want to Stop Investing?

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Q – Hi, I want to know what happens if I decide not to invest anymore and want my money back?

A –  It depends on the kind of investment that you are holding. If you are managing your own investment or trading account with a broker you simply close your position and this will depend if your investment is in profit or loss. When you close your position you will either take profits or take a loss and then you can request your money from your broker. So you will get your initial investment plus profits less admin fees or your initial investment less losses less admin fees charged by the broker. That process usually takes 24-48 hours to have your money transferred into your bank account.

If you have an investment with an investment manager or fund manager you will have to contact them and request a withdrawal of your money which will involve completing forms to request your investment. Depending on the policy of the fund manager, a withdrawal usually takes a few weeks for them to transfer the money into your bank account less admin and management fees charged by the fund manager.

You should allow your investment to grow which normally takes a couple of years. This is where you will need to exercise patience. In most cases if you withdraw your money after a few months you will not make a return on your investment. The return that you will get on your investment is dependent on the skill and performance of the fund manager.  It’s also important to note that past performance is not indicative of future performance.



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