£300 a month in stocks/shares

Danamic

Yes, you can discuss peoples attitude towards risk but the timeframe of 3 years or under makes stockmarket based investments generally unsuitable.

happymoneysaver1 is correct. There are more suitable options available, such as regular saving accounts.

jamesd

accy wrote: »

The plan is to invest long term 3yrs+.

accy wrote: »

Looks like i'l have to invest for 10yrs then.

It's good to pay careful attention to what the customer is asking and their clarifications about time of investment.

dunstonh

With a regular only one month gets three years invested. Each monthly contribution after that gets 1 month less invested. So, the 13th contribution gets 2 years and the 25th contribution gets 1 year. The 35th contribution gets 1 month.

A single contribution "may" get away with 3 years if the person is experienced and knowledgeable and can afford the higher risk that a short timescale potentially gives.

It's good to pay careful attention to what the customer is asking and their clarifications about time of investment.

Later posts made by accy did extend the term but Bendix was being critical of posts made before that change that stated three years was not suitable. Over half the posts on this thread now focus on the comments made before that change.

bendix

Danamic wrote: »

Yes, you can discuss peoples attitude towards risk but the timeframe of 3 years or under makes stockmarket based investments generally unsuitable.

happymoneysaver1 is correct. There are more suitable options available, such as regular saving accounts.

Just as an aside, has there been any research done on sharemarket performance over three year stints? I mean, how many three year periods over the last few decades have been positive over negative?

I fully understand dunstonh's point about 3 years, and I know it's always seen as conventional wisdom that 5-10 years is the minimum, but that's a tough message to send now, given the record over the last ten years.

For me, I'm fine with a three year time frame. I sense, intuitively, that there are substantially more positive three year periods, than negative.

Could be wrong though, and happy to put up my hands and say 'mea culpa', if I am.

bendix

StevieJ wrote: »

Bendix causing trouble again :eek: he could create a row in a empty house

Come on, Stevieboy . . you'd miss me if I wasnt here

sabretoothtigger

the point with ten years and I remember this being said often, is that ten years means you never lost money on shares.

3 years means you better be good with the timing, 2000 to 2003 was awful. 2007 to 2010 also probably awful

2009 to 2012, you think thats going to be good? 2019 would seem to be more optimistic still


It should probably say upto 10 years because people need to keep an eye on things or they lose the money they've gained

bendix

sabretoothtigger wrote: »

the point with ten years and I remember this being said often, is that ten years means you never lost money on shares.

Well, the last ten years has proved that wrong.

dunstonh

Well, the last ten years has proved that wrong.

Yes. And the last three years as well

Up until the early 2000s you used to be able to say that the FTSE had never had a loss in any 5 year period. You cant say that about 5 or 10 years anymore.

bendix

dunstonh wrote: »

Yes. And the last three years as well

Up until the early 2000s you used to be able to say that the FTSE had never had a loss in any 5 year period. You cant say that about 5 or 10 years anymore.

What about you question on research dunstonh? Has it been done, do you know?

I suppose in the last 50 years, there has been around 48-50 rolling three year periods. What would you guestimate be on winning periods over losing? Six to 4 in favour, perhaps? More? Less?

StevieJ

bendix wrote: »

For me, I'm fine with a three year time frame. I sense, intuitively, that there are substantially more positive three year periods, than negative.

It depends where the market is or whether you are buying funds or individual shares, the I personally would be quite happy to invest with a maximum 3 years timeframe, in fact I have been using what I would consider cash funds to hold some shares on dips (current Shell and BP).