Living off my savings and sharedealing

fg22

sabretoothtigger wrote: »

7% growth every year on average sounds pretty high.

Yes I think so too. The best estimate of the historical return for global equities is about 5.4% real (from 1900 - 2009). Even then no-one expects that this will be repeated as part of that return is from the re-rating of equities which can't be expected to happen again.

bobbyj_2

easy peasy. ;-))

Loughton_Monkey

Starting with your ISA, then it's got pros and cons. 1. Any gains are tax free (but you are thinking of taking income out. That's a bit silly if you have confidence in it and have loads of other investments). 2. Sadly, however, you will take a hit any time the shares/funds take a dive - as they do from time to time. ISA's are for the longer term.

Share trading outside the ISA means capital gains tax if you earn a decent amount. But personally I wouldn't do that. You would be far better to consider spread betting because (a) there's virtually nothing you can gain on direct share investing that you couldn't equally gain on spread betting, (b) Spread Betting allows you to 'short' and continue making money during a big dip, and (c) profits from spread betting are entirely tax free.

Why risk such a huge capital into BP? Another spill and their done for! Again, spread betting (or CFD) should give you equal exposure but using far less capital.
Ditch the Premium Bonds.

Accountant_Kerry

Why is it that whenever anyone talks about having a large sum of money the haters come out? Jealous anyone??

Rob_192

Loughton_Monkey wrote: »

Why risk such a huge capital into BP? Another spill and their done for!

The OP speculated on investing in BP prior to the spill! I wonder if he did go down this route?

darkpool

if you can get 30% a year on the stock market why not take the 30k out of the premium bonds and put it in the market? You invest it for the next 30 years and due to the magic of compound interest you get a nice next egg of 78million. Surely that has to be better than the small chance of winning a measly 1m?

sunil1234

why all the hating, there are people with over a million pounds, some nearer 2 million in isas and their predecessors:cool:

moneylover

BeardedMan wrote: »

My research mainly focuses around a weekly magazine that I subscribe to and bulliton boards but I am keen to investigate further and more enhanced tools. So I was wondering what investment strategy and tools you use ?

I am thinking of dipping a toe into investments as opposed to savings
Would be interested to hear which magazines and bulletin boards people find useful. Am planning, mainly, to invest in funds and maybe just a few shares that are good for dividends
Many thanks

sabretoothtigger

darkpool wrote: »

if you can get 30% a year on the stock market why not take the 30k out of the premium bonds and put it in the market? You invest it for the next 30 years and due to the magic of compound interest you get a nice next egg of 78million. Surely that has to be better than the small chance of winning a measly 1m?

30% a year does add up to 78m its true. Warren Buffet has been getting 20% compound for the last 50 years, its not impossible.

Jim Rogers made 4200% in ten years not just for himself but anyone who held his commodities trading fund during that time


On the other side even a badly performing stock market can rise giant amounts in price terms. 100% in 6 months sounds alot better then any alternative I know of
http://news.bbc.co.uk/1/hi/business/2542445.stm

The best estimate of the historical return for global equities is about 5.4% real (from 1900 - 2009).

ftse 1984 to date is about 3% per year not including dividends or inflation which was 100% in the last 25 years

bobbyj_2

aspiration wrote: »

Bobbyj - Whatever your reasons for posting, it has given paupers like me hope. Congrats. Could you please PM me some tips on the Stocks (any exchange) and what software you find useful? Thanks

Maybe search threads i've created for 'tips'? Got a bit fed up with this site after 'ramping comments' about CAD at 16p (now 21.5p).
Great success with BEM - 4p when i created that thread and now about 16p. XEL has doubled and a bit more. HER doubled in 2 days. Trumpet blowing perhaps but it has been an ace year for commodity players - mainly my game. 200% gain thus far since created this thread - quite funny as most scorned and predicted best i'd do would be around 5/6% per annum i recall...
CAD is now the share I'd be really putting big money into - I've links to someone very close to the co and whilst not insider info, certainly big things are coming on there.

ps Given up on thinking about a 'steady income' outside of the market, will just wait for rates to rise and buy a basket of bonds. Best of luck.