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  • FIRST POST
    • Chrism899
    • By Chrism899 12th Oct 16, 1:06 AM
    • 12Posts
    • 2Thanks
    Chrism899
    What to do with 10K?
    • #1
    • 12th Oct 16, 1:06 AM
    What to do with 10K? 12th Oct 16 at 1:06 AM
    Hi, brand new to this so I apologise if this is in the wrong place.

    So basically as the title suggests iv recently got a lump sum of 10k which I am looking to invest/save for the long term. I'm looking at sticking it away for say 10 years and hopefully make as much money as possible from it.

    Iv currently got a stocks and shares ISA which I only put 30 in a month and that's being left for 10 years (9 left).

    So basically my question is this, is it best to just stick the 10k into my stocks and shares isa and leave it be, or is there better options out there? iv tried getting my head around all these ISA's and Bonds etc but the majority of it goes straight over my head!

    Any advice on what you would do is greatly appreciated!
Page 1
    • Chrism899
    • By Chrism899 12th Oct 16, 11:43 AM
    • 12 Posts
    • 2 Thanks
    Chrism899
    • #2
    • 12th Oct 16, 11:43 AM
    • #2
    • 12th Oct 16, 11:43 AM
    Out of thousands of members, nobody can give me any advice on what to do with 10k?!?
    • steampowered
    • By steampowered 12th Oct 16, 11:45 AM
    • 522 Posts
    • 456 Thanks
    steampowered
    • #3
    • 12th Oct 16, 11:45 AM
    • #3
    • 12th Oct 16, 11:45 AM
    If you are saving it for the long term, I'd suggest sticking it in a sensible fund through a stocks and shares ISA and leave it be.

    Investing in stocks and shares obviously carries investment risk, but long term returns are far superior.

    Cash savings are useful for short-term investments as it avoids sudden peaks and troughs, but in the long term the value of cash gets eroded by inflation.
    • Chrism899
    • By Chrism899 12th Oct 16, 11:49 AM
    • 12 Posts
    • 2 Thanks
    Chrism899
    • #4
    • 12th Oct 16, 11:49 AM
    • #4
    • 12th Oct 16, 11:49 AM
    Cheers, the risk doesn't bother me too much, like I say I'd rather make as much as possible from it. It's free money so if worst comes to worst and I lost it all it's no really going to affect me.

    So do U think just putting it in my current S&S ISA is the best bet or set up a new one? I don't really understand all the rules on these ISA's so not sure of my options
    • badger09
    • By badger09 12th Oct 16, 1:10 PM
    • 4,266 Posts
    • 3,480 Thanks
    badger09
    • #5
    • 12th Oct 16, 1:10 PM
    • #5
    • 12th Oct 16, 1:10 PM
    The reason you've had so little response, is because you've given so little information

    We could come along and say:
    Pay off your debts
    Put it all in a pension
    Put it all in high interest current accounts
    Put it all in a S&S ISA
    Put it towards a deposit on a house/flat
    Pay off some of your mortgage
    Go travelling
    Go on a cruise
    etc etc

    Any/all of those suggestions could be great/ok/disastrous, depending on your current situation.

    So - help us out a little
    • ColdIron
    • By ColdIron 12th Oct 16, 1:17 PM
    • 2,550 Posts
    • 2,805 Thanks
    ColdIron
    • #6
    • 12th Oct 16, 1:17 PM
    • #6
    • 12th Oct 16, 1:17 PM
    So do U think just putting it in my current S&S ISA is the best bet or set up a new one?
    An ISA is just a wrapper or a description of the tax treatment of the investments contained within it. The main reason to open a new one would be if the old one was expensive to hold the specific investments contained within it. You probably mean should I change what I am invested in but you haven't told us what that is either, again a little more info would help a lot
    • Chrism899
    • By Chrism899 12th Oct 16, 1:18 PM
    • 12 Posts
    • 2 Thanks
    Chrism899
    • #7
    • 12th Oct 16, 1:18 PM
    • #7
    • 12th Oct 16, 1:18 PM
    The reason you've had so little response, is because you've given so little information

    We could come along and say:
    Pay off your debts
    Put it all in a pension
    Put it all in high interest current accounts
    Put it all in a S&S ISA
    Put it towards a deposit on a house/flat
    Pay off some of your mortgage
    Go travelling
    Go on a cruise
    etc etc

    Any/all of those suggestions could be great/ok/disastrous, depending on your current situation.

    So - help us out a little
    Originally posted by badger09
    Yeah fair enough, well I haven't got any debts to pay off, apart from the mortgage. So that rules out two of the options. My mortgage isn't that expensive and there's two of us paying it so I'm happy to leave that be.

    I'm looking at more of a long term investment, and unsure of what the best approach is. Say 10 year investment rather than 30/40 years

    I'm in the armed forces so pension isn't really an option.

    So is it better in a high interest current account or a S&S ISA?
    • Chrism899
    • By Chrism899 12th Oct 16, 1:42 PM
    • 12 Posts
    • 2 Thanks
    Chrism899
    • #8
    • 12th Oct 16, 1:42 PM
    • #8
    • 12th Oct 16, 1:42 PM
    An ISA is just a wrapper or a description of the tax treatment of the investments contained within it. The main reason to open a new one would be if the old one was expensive to hold the specific investments contained within it. You probably mean should I change what I am invested in but you haven't told us what that is either, again a little more info would help a lot
    Originally posted by ColdIron
    Yeh I see what your saying, the current one I have is with Scottish friendly and I pay in 30 a month. To be totally honest with you I have no idea what it gets invested in and don't even know if I can decide which areas to invest it in. I got a statement the other day (which I don't have on me now) which basically said that the money iv put in so far has doubled to this date, I think I need to re read the full documents when I get home and find out what it actually is.
    • badger09
    • By badger09 12th Oct 16, 2:35 PM
    • 4,266 Posts
    • 3,480 Thanks
    badger09
    • #9
    • 12th Oct 16, 2:35 PM
    • #9
    • 12th Oct 16, 2:35 PM
    Yeah fair enough, well I haven't got any debts to pay off, apart from the mortgage. So that rules out two of the options. My mortgage isn't that expensive and there's two of us paying it so I'm happy to leave that be.

    I'm looking at more of a long term investment, and unsure of what the best approach is. Say 10 year investment rather than 30/40 years

    I'm in the armed forces so pension isn't really an option.

    So is it better in a high interest current account or a S&S ISA?
    Originally posted by Chrism899
    Ok, so here goes

    Usual advice would be to build up easily accessible cash, in high interest current accounts, to cover 6 months expenditure. in case of redundancy etc. However, given your occupation, that's probably not on the horizon.

    Why do you say pension isn't an option? Do you mean you're happy with the current provision? If you're a 40% taxpayer, the tax relief on additional pension provision would be worth having.

    Next would be S&S ISA, which as ColdIron has said, is simply a wrapper for tax purposes. Inside it you should hold a mix of assets. If you don't want, or haven't time to do a lot of research, then a global fund is probably a reasonable place to start.
    Frequently recommended here are Vanguard Lifestrategy, Blackrock Consensus, and & L&G Multi Index. Have a read here for a basic introduction
    http://monevator.com/category/investing/passive-investing-investing/

    Yeh I see what your saying, the current one I have is with Scottish friendly and I pay in 30 a month. To be totally honest with you I have no idea what it gets invested in and don't even know if I can decide which areas to invest it in. I got a statement the other day (which I don't have on me now) which basically said that the money iv put in so far has doubled to this date, I think I need to re read the full documents when I get home and find out what it actually is.
    Originally posted by Chrism899
    Friendly Societies don't have many supporters here, because their charges are high and opaque.
    • ToeKnee
    • By ToeKnee 13th Oct 16, 8:44 AM
    • 1 Posts
    • 0 Thanks
    ToeKnee
    Pension
    Being in the Armed Forces you can add to your pension if you're in AFPS15.
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