Investing your money should be accessible to everyone, and that is exactly the mission that Sapians has set for itself. Yet, many people face obstacles when they first start investing. Common concerns include not having enough savings, not earning enough income, not knowing where to begin, or feeling lost among the wide range of available options. Sapians aims to remove these barriers by offering investment solutions tailored to each individual’s needs, financial capacity, and stage of life.

Each Stage of Life Has Its Own Investment Needs

Investment goals change with age and circumstances. At 20, you might be focused on building initial savings, creating financial discipline, or funding personal projects. This is the perfect time to start contributing regularly to dynamic investments, which helps you learn consistent saving habits and reduces the risk of entering the market at an unfavorable time.

At 60, priorities often shift toward protecting wealth, transferring assets, and optimizing taxation. Every stage of life calls for a different approach and the right balance between risk and security. There is no return without risk, and dynamic investments always carry the possibility of capital loss.

Define Your Needs to Invest Wisely

Before you invest, you must define your objectives clearly. The Know Your Customer (KYC) questionnaire, which every investor completes before making any investment, determines your risk profile. You might fall into one of several categories such as conservative, balanced, or aggressive. Your risk profile will guide your investment choices, the level of risk you are comfortable taking, and the appropriate investment time horizon.

Once that is determined, ask yourself what your main financial goals are. Are you preparing for retirement, looking to reduce your taxes, seeking to generate additional income, or planning to pass on your wealth? Having clear goals helps ensure that every investment decision supports your overall financial plan.

Choosing the Right Investment Solution

After defining your needs, the next step is selecting the most suitable investment options. Below are some of the most common investment strategies for different stages of life and financial objectives.

Building Your Wealth

Building wealth is often the first step for new investors. Whether you are saving to buy your primary residence, launching a business, or simply developing the habit of monthly saving, the goal is to grow your assets gradually. For this purpose, flexible investment solutions that offer potentially higher returns can be particularly effective, though they also come with higher risk. There is no return without risk, and dynamic investments can result in capital loss.

The PEA

The Equity Savings Plan, also known as PEA, allows you to invest in French and international companies listed on the stock market under a favorable tax regime. Capital gains are exempt from income tax if funds are not withdrawn before a specified period.

There are two types of PEAs. The first is the bank PEA, which includes both a securities account and a cash account. The second is the insurance PEA, sometimes referred to as a capitalization PEA, which operates under an insurance contract and invests in eligible units of account.

The PEA involves a higher level of risk, but diversifying across multiple sectors and regions can help reduce that risk while enhancing potential returns.

Life Insurance

Life insurance is one of the most versatile tools for building wealth. It offers flexibility in both contributions and withdrawals. You can start with regular payments from as little as $50 or make a single payment when opening the policy. If you need access to your funds earlier than expected, partial or total withdrawals can typically be made within two weeks, and insurers must release the funds within a maximum of two months.

Life insurance also provides a wide range of investment choices. You can invest in guaranteed euro funds, which offer stability but limited returns, or in unit-linked funds, which allow you to invest in real estate, REITs, equity funds, or small and medium-sized enterprises. Withdrawals after eight years benefit from reduced taxation. As always, unit-linked investments involve a risk of capital loss.

FCPRs

Venture capital funds, or FCPRs, give investors access to small and mid-sized companies through specialized funds that support the real economy. These funds often provide tax advantages upon withdrawal and may generate higher long-term returns than traditional stock market funds. However, they also carry a higher risk of capital loss.

Generating Additional Income

Many investors aim to create a steady stream of income, whether to prepare for retirement or to improve daily living. To achieve this, focus on investments that distribute regular returns.

SCPIs

Real estate investment companies, or SCPIs, have become increasingly popular. They allow investors to participate in real estate markets without managing properties themselves. With an SCPI, you receive income from rents collected by the company without handling tenant issues or maintenance. Dividends are typically distributed monthly, quarterly, or annually, depending on the SCPI. Some investors also choose to subscribe using credit to increase their investment capacity.

FCPRs with Distribution

FCPRs that include income distribution options allow you to invest in real estate development projects while receiving regular payments. These funds often have a shorter investment period, usually starting from three years, which lets you benefit from potential returns without committing your capital for too long.

Investing Responsibly

Sustainable and ethical investing has become increasingly important. According to an AMF study, more than half of individual investors want their investment choices to reflect environmental and social considerations. Two major categories of responsible investments stand out: renewable energy projects and labelled funds.

Renewable energy investments fund projects related to solar or wind power, allowing investors to participate directly in the ecological transition. Some options also provide regular income distributions.

Labelled funds include SRI funds, which consider both financial performance and environmental, social, and governance factors, and the Recovery Label, which directs investments toward companies that support economic recovery following major financial crises.

Reducing Your Taxes

Smart tax management is an important part of wealth building. You can reduce your taxes by choosing the right investment solutions, lowering your taxable income, or optimizing capital gains. However, many products that focus solely on tax reduction perform poorly and can even cause losses that exceed the initial tax savings.

At Sapians, we prioritize funds that balance performance with tax efficiency. We believe that every investment should first aim for solid performance rather than focusing only on immediate tax benefits.

FCPIs

Innovation-focused mutual funds, or FCPIs, invest in companies developing new technologies or products. The FCPIs offered through Sapians have been carefully selected and provide a 25 percent reduction on income tax, along with the opportunity to support innovation and entrepreneurship.

The PER

The Retirement Savings Plan, known as PER, allows you to build a pension through a capitalization system while benefiting from tax deductions on contributions. Payments made to a PER are tax-deductible up to 10 percent of professional income from the previous year, with a maximum of $32,908. Unused deduction capacity can be carried forward for up to three years.

A PER can also be opened for a third party, such as a spouse or child. Withdrawals are taxed upon exit, but the plan remains a valuable long-term tool for building retirement income while reducing taxes today.

Preparing for Retirement

Preparing for retirement is one of the most common financial goals. Two key solutions stand out: the PER and the SCPI.

The PER helps you accumulate savings throughout your career that can later be withdrawn as a lump sum or converted into regular income. Funds remain locked until retirement, except under specific circumstances such as disability, death of a spouse, or purchasing a primary residence.

The SCPI is another strong option for retirement preparation. Investors can subscribe in bare ownership, meaning they defer income until a later date. The ownership division typically lasts between five and twenty years, depending on your investment horizon. Once the period ends, dividend payments begin automatically, providing consistent income with no fees due from the bare owner.