What the best & safest way to invest?

susi

Hi there
my parents are both in their 70's and want to invest around £25k. But they dont want to take any risks, which is the best way for them to invest this or should I say what will give them the best risk free returns

lipidicman

A savings account.

(However there are some risks associated with these. You could get run over on the way to the branch or electrocuted as you switch your PC on.)

Sorry to be flippant but if they dont want to take risks then they cannot invest the money. They must save it in a bank/BS

equitydealer

lipidicman wrote:

A savings account.

(However there are some risks associated with these. You could get run over on the way to the branch or electrocuted as you switch your PC on.)

Sorry to be flippant but if they dont want to take risks then they cannot invest the money. They must save it in a bank/BS

The only 100% safe savings account is with NS&I. Everything is backed by HM Treasury, so unless the Government goes bust you have no chance of losing your money.

There are various accounts available, some are tax free!

http://www.nsandi.co.uk/

Stock_Market_Guru

susi wrote:

Hi there
my parents are both in their 70's and want to invest around £25k. But they dont want to take any risks, which is the best way for them to invest this or should I say what will give them the best risk free returns

Investments all carry a degree of risk, but for your parents, since they are retired and living of residual income, the best option for them would be bonds.

Your local bank will have several different safe and secure bond type investments for them.

dunstonh

Your local bank will have several different safe and secure bond type investments for them.

Awful suggestion I'm afraid.

ReportInvestor

And what is your definition of a "bond" type investment - the most misused word in financial services?

susi

So basically what your sayng is to just put it into a bank or building society??? Are there any good "low risk" investments. Sorry to sound dim here, but I havent a clue with this sort of thing. They have them in Halifax shares at the moment but have hardly made anything in the last 6 years apparently so they were looking to move them on. They asked my advice (mmmm yes me) and I said I would ask on here. Thanks for your imput anyway!!!

dunstonh

Are there any good "low risk" investments.

Yes. Very many.

They have them in Halifax shares at the moment but have hardly made anything in the last 6 years apparently so they were looking to move them on.

We had a stockmarket crash right in the middle of that period. So, the values went up, then down and then back up again. Thats the nature of investing in a higher risk area.

cheerfulcat

Susi, if your parents don't want to see fluctuations in the value of their capital then cash ( deposit accounts and similar ) is really the only option - risk free always equals cash or near cash. It also means allowing the interest to compound otherwise capital is eroded by inflation.

ReportInvestor

Best way to invest?

Safest way to invest?

Surely these two ideas are highly unlikely bedfellows?

Squaring the circle would be far easier.