Can I ask your thoughts on the current climate..

Pobby

Have to admit i was feeling a bit miffed today. Business, pretty much like for everyone is down, wife was knackered from work. Oh to be able to earn something a bit decent from our savings.

I can`t recall a time when EVERYTHING was going belly up. Housing falling, huge drops a way back on the stock market and little savings interest to be earned.

In the last recession, yes I know we had a lot of inflation, but at least you could earn good interest. This all seems so stagnant.

mewbie_2

Pobby wrote: »

Have to admit i was feeling a bit miffed today. Business, pretty much like for everyone is down, wife was knackered from work. Oh to be able to earn something a bit decent from our savings.

I can`t recall a time when EVERYTHING was going belly up. Housing falling, huge drops a way back on the stock market and little savings interest to be earned.

In the last recession, yes I know we had a lot of inflation, but at least you could earn good interest. This all seems so stagnant.

Pobby, corporate bonds look good. I must stop harping on about them, but they have been rubbish for a few years with higher interest rates - now they seem set to make a good recovery - so capital plus interest. Better than cash - imo.

MicheH

What's this about parcelling debts up.. I'm eager to learn. Someone educate the thicko!

mewbie_2

MicheH wrote: »

What's this about parcelling debts up.. I'm eager to learn. Someone educate the thicko!

Simply put - companies included dodgy loans (sub prime) with prime loans (people who could pay them back) and sold them on to other companies (banks, etc.) Somehow these 'parcels' of loans were given AAA ratings, even though 90% of the contents were dangerous, risky, rubbish. The game resulted in huge profits for companies, but a larger and larger risk built up.

Then one day, as Piglet opened his front door in the 100 acre wood, the world went pop!

Pobby

I have some corporate bonds in my very mixed port folio Mewbs. I am about 30% equities, 50% cash and the 20% left are in guilts and corporate bonds. Too old to be faffing around , lol!!!! Don`t need it for another 5 years so time to get back on track.

mewbie_2

Pobby wrote: »

I have some corporate bonds in my very mixed port folio Mewbs. I am about 30% equities, 50% cash and the 20% left are in guilts and corporate bonds. Too old to be faffing around , lol!!!! Don`t need it for another 5 years so time to get back on track.

Of course you do. Didn't mean to be patronising, sorry about that. I thought if I post enough I might start a bubble in them. After all I managed to crash the Western economy just by endless bearish postings.

kabayiri

MicheH wrote: »

Too many making money out of debt then I guess, it'll never end - I feel mad and empowered to campaign about something but god knows what! I think i'll just look after me and mine, let the rest be fools but .. oh, I don't know

I'd love to think that this recession will help many of us to retune to the more important things in life, like health and family, community etc.

But then I still see lots of property !!!!!! telly on most channels. It does look like business as usual. No wonder we obsess about houses and money.

I had a call from the bank a few weeks back. Apparently they wanted to let us know there was a bit too much cash sloshing around in some low yielding accounts....err, as if I didnt know this.

It got me thinking. I believe in the idea of Credit Unions, supporting local businesses. But I'm still nervy about them...mainly because I dont understand them fully yet.

Anyway, I've decided. I shall stick some money in my local one; and forego the measly interest I get from my retail bank. But hopefully it will do some good.

It's not just money you can donate. You could donate time to some local charities. I've done it before and it is very rewarding.

Pobby

kabayiri wrote: »

I'd love to think that this recession will help many of us to retune to the more important things in life, like health and family, community etc.

But then I still see lots of property !!!!!! telly on most channels. It does look like business as usual. No wonder we obsess about houses and money.

I had a call from the bank a few weeks back. Apparently they wanted to let us know there was a bit too much cash sloshing around in some low yielding accounts....err, as if I didnt know this.

It got me thinking. I believe in the idea of Credit Unions, supporting local businesses. But I'm still nervy about them...mainly because I dont understand them fully yet.

Anyway, I've decided. I shall stick some money in my local one; and forego the measly interest I get from my retail bank. But hopefully it will do some good.

It's not just money you can donate. You could donate time to some local charities. I've done it before and it is very rewarding.

Nice post.

kabayiri

Thanks Pobby, but the thing is....I'm still nervous about credit unions...but I shouldnt be right?

Has anyone else saved money with these places? If you stick 10k/20K with them, would your money be reasonably safe? I've read the online stuff about them, but there's no replacement for personal experience.

treliac

chucky wrote: »

read this Rich Dad, Poor Dad. one of the best financial books you'll find
http://www.amazon.co.uk/Rich-Dad-Poor-Robert-Kiyosaki/dp/0751532711/ref=sr_1_1?ie=UTF8&qid=1250188605&sr=8-1

Looks interesting! The Ariel & Shya Kane books look good too.