There's something putting the spring in the step of employees all over the country - and it's not the weather. It's bonus season. According to the Office for National Statistics, the average bonus received by an employee was £1,400 in 2012-13, and as the economy is improving, pay and bonuses are rising. For young investors or those putting away small amounts of money, getting a bonus could be a rare opportunity to do something a bit different with a lump sum investment, rather than drip-feeding into funds every month.
One idea to consider is buying a portfolio of exchange traded funds (ETFs), a super-cheap way to get exposure to stock markets all over the world. They are not suitable for a regular investor because they are traded as shares and therefore incur nasty platform dealing costs if you accumulate them gradually. The best way to buy them is with a one-off lump sum, and here we show you how to do it.
What is an ETF?