What to do with your savings: some tips before investing
19/05/2026
A core principle of financial education is that saving matters, however small the amount. Putting money aside each month helps build a sound and essential financial habit.
Once you’ve managed to save, what should you do with that money?
A useful starting point is to distinguish between savings you might need for a rainy day and money you’re unlikely to need in the short or medium term, and could therefore invest. The first category – your rainy-day fund – can be kept in an interest-bearing account or a fixed-term deposit. These banking products typically offer a fixed return and are covered by the Deposit Guarantee SchemeAbre en ventana nueva.
Bear in mind that money held in an account can generally be accessed whenever needed. Bank accounts provide immediate access to funds, while withdrawing money early from a fixed-term deposit will normally involve a cost.
You can find information on the products offered by banks on their websites and compare them using our calculatorAbre en ventana nueva.
What if I choose to invest?
The general rule for investment products is that the higher the risk, the higher the return.
Risk refers to the possibility that you may recover the capital you invest, or that you could lose some or all of the money invested. In investment funds, each product has its own risk profile.
Return is the money you gain from an investment. Some investments, like government debt, offer a fixed or guaranteed return. Others depend on how financial markets perform, such as equities or funds that invest in the stock market.
Here are some tips for saving and investing:
- Work out how much money you should keep as a financial buffer to cover day-to-day needs and any unexpected expenses.
- Decide how much you can invest, taking into account the return you’re seeking and the level of risk you’re prepared to take.
- Before choosing a product, make sure you understand what it is and how it works.
- Diversify your investment. In other words, don’t put all your eggs in one basket.
- The CNMV’s investor portalAbre en ventana nueva provides information and answers to many of the questions you may have.
