What to do with my savings?

eyesy

Hello all,

I have just over £13,000 invested in an ISA giving me 4.75% p/a. I would like to increase the return I'm getting on my savings and am considering transferring this to a maxi isa next tax year and investing in some low-ish risk shares. I don't have a mortgage and the only loans I have are very low interest i.e. student loans so don't make sense to pay them back early.

My question is - are there any other investment options which would give me a better return on my cash? And, what are the "best" maxi ISAs out there at the moment?

Any advice much appreciated!

ReportInvestor

You would have to do that in two stages as you can't transfer from a mini-cash ISA to a share ISA and the maximum you can put into an ISA in any tax year is £7K.

But you could encash £7K before April 5 and encash £6K after April 6 to get around this problem.

A UK equity income unit trust would be lower risk than, say, emerging market shares. But you can't have your cake and eat it. There are no "lowish-risk shares", so understand what you are doing.

I assume you are viewing this as a 5 year + investment in case there is a market fall? If you are saving up for a property purchase within five years I would say shares were probably not for you.

One way of reducing risk would be to spread out the transfer to equity based investments in stages over a year or so.

missile

Many of us have been badly burned with stock market linked investments. It depends on how much risk you want to take? My advice is do not be greedy and if you are likely to need the cash within 5 years then leave it where it is.