£5k to invest, quickest way to profit?

xxtokerxx

Hi all was just looking for some idea's.

I am 21 and managed to secure 5k in little under a year and was hoping to maximise it.

I do not own a house or a car, I work in sales and have a company car.

I have no other savings to speak of (Although I would estimate in another few months I could have that up to 6k) but really want to start turning my savings into investments/money making opportunities with a quick turn around.

Any idea's that could see me making money relatively quickly?

stephenni1971

xxtokerxx wrote: »

Any idea's that could see me making money relatively quickly?

I have a bag of magic beans you can have for £5,000




On a serious note, if there were quick turn around investments for making money don't you think everyone would be doing it?

You can put your money in the bank and earn low interest but your capital is safe ( up to £50,000 guarantee limit ) OR

You can invest in anything from shares, gilts, bonds, unit trusts, OEIC's, investment trusts, VCT's the list goes on. ALL of these bear some sort of risk on your capital, as a rough rule of thumb as the potential rate of return increases so does the risk involved.

From your post you have raised your money in a fairly short time - maybe an idea would be to keep doing what you are doing with your money ( ie: saving it instead of spending it ) and see where you and the markets are in a years time. If a client came to me with a total of £5k in capital and no other source of funds I would certainly not advise they were to invest it in anything other than the very lowest risk products such as ISA'a, deposit accounts etc.

xxtokerxx

Thanks, i'll take the magic beans please!

The reason for the thread as I wasn't sure if there was anything worthwhile investing in at the moment, the market is certainly an interesting place right now and whether people had advise on that sort of sum of money.

I presume from your post you think to hold on the cash at the moment, which to be honest I thought would be the common answer, I was just hoping that somebody out there had some suggestions for me,

opinions4u

Gut reaction for me would be to bang it in to cash ISAs (£3,600 now and the rest after 6th April) to maximise tax efficiency and to have some sort of emergency fund behind you.

Then it's a case of what you want to save monthly and what you want to save for.

There are lots of things to consider.

Pension? Redundancy/Illness insurances? Safe savings like regular savings accounts? Stocks and shares ISAs? Single shares (e.g. buy in to banks, cross your fingers and pray).

Given that you may wish to own a house in the not too distant future, I'd personally look at building up a cash deposit and protecting my lifestyle (income).

If you don't plan to buy a house in the next few years, get in with a reputable local IFA and see what they have to say.

English_Bob

Buy 500000 penny chews.
Steal 100000 paper bags.
Put 5 chews in each bag and sell them outside a school for 10p a bag.
Avoid angry teachers/parents/police.
Bingo, £10000.












Or the ISA's idea.

Doomcow

i'd suggest you start from this point on. keep about 3 months wages in cash savings with easy access incase of emergencies. ie, make this £5000 your "0 point" and bang it in an instant access cash ISA.

chopperharris

Fast money , fast loss.

put it in a shares isa , buy up rbs shares , forget about them for ten years....or if they become worthless then regret it.

thats what i did with a few thousand at 12p price , wont make a great impact on me it if its lost , but if it isnt I will be laughing like a mad man the rest of my life on cashing them in.

or maybe I will just be a mad man for being so stupid.The taxpayers money own the rest of the shares anyway , but hey at least it was my decision to spend my money not someone elses for me.

cyclonebri1

You are on your way to setting yourself up for a relatively dept free future. Some will agree with my ideas and some won't, let me explain.

You are saving because you can, not specifically to purchase anything at the moment, correct?
However one day you will neede a large cash some, say for a car, a house deposit or to furnish a house or carryout home improvements. If you have continued the way you are doing at present, you will have put a substantial enough cash buffer behind you that will mean you pay in cash and while you are using whatever it is you've bought, you are saving for it's eventuall replacement:T

It's old fashined but it's what everyone did before the consumer credit situation that has just collapsed around most. You are always infront and get the benefit of interest rather than having to pay it on loans etc.

I'm not trying to preach and I realise that not everyone can work their lives this way but you can from what you've stated, way to go imho:T :T