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  • FIRST POST
    • The Bloody Baron
    • By The Bloody Baron 10th Jul 17, 3:30 AM
    • 4Posts
    • 1Thanks
    The Bloody Baron
    Asset advice (ISA/SIPP/Property)
    • #1
    • 10th Jul 17, 3:30 AM
    Asset advice (ISA/SIPP/Property) 10th Jul 17 at 3:30 AM
    Hello

    I am after advice, changes, recommendations and/or confirmation regarding my current assets and investments.
    I'm 27 years old and am a serving member of HM Forces. I have the following assets and investments:

    - Emergency cash fund which consists of several months pay.
    - Rental property with 18% equity.
    - Virgin Money stakeholder pension with a value of £15,000 which is drip fed £300 per month. (FTSE UK All-Share Index).
    - Stocks and shares ISA which I have only opened recently with a lump sum of £2000 invested into the Vanguard life strategy 100 and I intend to drip feed it £200 per month. I have no planned use for the money, purely a long term investment. (I aim to switch this to VLS 80 and then VLS 60 in later life).
    - Zero debt (excluding BTL repayment mortgage).
    - If I serve a full career, I will receive a military pension (which I do not contribute to), but like most things, it's not as good as it used to be, hence why I took it upon myself to start my own private pension.

    Currently my stocks and shares ISA is with Hargreaves Lansdown, but I aim to switch it directly to Vanguard for the cheaper fees. Furthermore, Vanguard have announced that they will provide SIPPS directly in 2018. When this happens I wish to move my stakeholder pension to the Vanguard target retirement fund 2055.

    Each month I have approximately £300-500 left over (depending on how leisurely I've been).

    Firstly, does everything stated above seem logical with regards to switching from my current stakeholder pension to a SIPP, and my choice of funds for both said SIPP and my stocks and shares ISA?

    Secondly, what is people's advice for the additional cash that I have at the end of each month? Should I use it to overpay my rental property mortgage, or should I invest it into my VLS 100 ISA fund? Or use it to boost both my Stakeholder/SIPP and stocks and shares ISA?

    I'm not averse to volatility and I understand that the market will go up and down and the key is to consistently drip feed my funds. My ISA and stakeholder/SIPP are for the long term.

    As mentioned above, any advice, changes and recommendations are greatly appreciated.

    Thank you,
    The Bloody Baron
Page 1
    • tacpot12
    • By tacpot12 10th Jul 17, 8:48 AM
    • 601 Posts
    • 526 Thanks
    tacpot12
    • #2
    • 10th Jul 17, 8:48 AM
    • #2
    • 10th Jul 17, 8:48 AM
    I would suggest you put any surplus cash into your ISA, and then your SIPP in any years you max out the ISA.

    Eventually I'd look to buy another property with cash from the ISA, say around the time the mortgage is paid off.

    Best of luck
    • AnotherJoe
    • By AnotherJoe 10th Jul 17, 9:51 AM
    • 7,038 Posts
    • 7,510 Thanks
    AnotherJoe
    • #3
    • 10th Jul 17, 9:51 AM
    • #3
    • 10th Jul 17, 9:51 AM
    I would not have my whole personal pension fully in the UKFTSE. much too concentrated (in multiple aspects ; geography, sectors, currency) and thus very high risk.

    I would change it to a global fund. There are many options for that.

    From what I read the Virgin Pension is very high cost so it might also be better switching to a different provider or at least checking that out.
    • The Bloody Baron
    • By The Bloody Baron 11th Jul 17, 4:00 AM
    • 4 Posts
    • 1 Thanks
    The Bloody Baron
    • #4
    • 11th Jul 17, 4:00 AM
    • #4
    • 11th Jul 17, 4:00 AM
    Thank you for your inputs. I'll look to invest any extra cash I have in my ISA, and I will transfer my Virgin stakeholder pension to a SIPP with Hargreaves Lansdown in a Vanguard target retirement fund as soon as possible.
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