Prudential Investment Bond Help

ras44

I am thinking of putting money into this with profits fund. From stuff I have read I understand that this is probably 1 out of 2 with profit funds which are actually still worth investing in?

I would be very grateful if someone can give me some advice regarding this, general info, how well it has performed, worth it - considering the current conditions etc etc

Thanks for your comments in advance.

dunstonh

From stuff I have read I understand that this is probably 1 out of 2 with profit funds which are actually still worth investing in?

NU and Pru are the only two i would consider nowadays.

I would be very grateful if someone can give me some advice regarding this

We cannot. It is a regulated product. Just look at the hassle Martin got for talking about a non-regulated area. Could you imagine what it would be like if it was a regulated product?

how well it has performed

Historically, they perform better when bought at market lows. There are three versions of the fund available and there is a guarantee option above the limited guarantees that exist as default.

juicyjude

Thanks for that info. I am considering investing in the pru-fund the growth and income fund but am still a bit wary. Just dont know what to do, the IFA suggested it, this is all a bit scarey and difficult for me to understand :eek:

dunstonh

What is it that you are wary about? If it is security then go with capital protection option. If its solvency then remember that these products have over 90% FSCS protection with no upper limit and Pru are one of the most financially secure insurers.

juicyjude

Once again, thank you so much dunstonh, you really are a great help.Its just that I find all this difficult to get my head round, investing is a new aspect in my life as I have never had enough money to invest before and it is very important to our future. All the media spin is intense at the moment with regard to the stock market etc. I am sure once I start my first traunche of fundsI will feel much better. I suppose its like riding a bike the first few times, just dont want to fall off and hurt myself!!! Thanks for your invaluable advice:T :T :T :T :T

dunstonh

All the media spin is intense at the moment with regard to the stock market etc

The media coverage is scaremongering to say the least. At the start of the millenium, the stockmarket took a downward path that dropped by more than the markets have dropped currently. There have been 8 financial crisis since 1956 which averages out to 1 every 7 years. The reasons are different every time and the impact, volatility and how long it goes on for varies but they are nothing new.

What is different this time is that we have a whole generation out there who havent seen a recession/downturn before and in the last stockmarket decline, werent really interested in it as they were too young. The older generation have seen many bad periods and have gone through far worse times than this. So, its easy for those under the age of 35 to be captured by the sensationalism that modern media so loves.

It is easier for investors who have seen this before. For those that havent then it can be unnerving.

juicyjude

You are probably so right. I am well over 35 (55 actually) but was never interested in the stock market before so never took any notice really. Now it is important to me so negative press is more stressful. Once again thanks:A :T