Why savings plans are preferred by low-risk investors Structure can be a useful tool. For many working adults, structure helps with prioritising important tasks when there are multiple “urgent” requests coming in simultaneously. Without a to-do list or timetable, it is easy to get sidetracked and neglect important long-term priorities. The same concept applies to regular savings plans offered by financial institutions such as endowment plans. These plans can seem attractive and are supposed to help you save for goals, such as paying off your housing deposits and saving up for your children’s university education. While we know these are our long-term priorities, many people often find themselves sidetracked from saving in the short term by unexpected discretionary expenses that might be hard to avoid. By being locked into a structure with financial disincentives for early termination, these endowment plans make you less likely to raid the coffers or fail