HELLO, iam new, bit 'o' advice please...
james3333
Posts: 752 Forumite
Hi guys,
very simple question....
if you had £130 per month to throw at investing, what would you do with it.
cheers.
very simple question....
if you had £130 per month to throw at investing, what would you do with it.
cheers.
0
Comments
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Do you have any savings?
If not then you can get 8.05% pa gross with Ipswich BS in a regular saver. (Or 10% if you bank with Barclays, HSBC or A&L.
Or you might choose a Cash Mini-ISA to avoid tax this year and in the future. Kent Reliance's Direct Mini-Cash ISA pays 5.21% and allows you to start with £130.
If you are investing, because you've already got savings, what are your goals and your time-scale and your attitude to risk?0 -
Hi,
This is an interesting post - I have around £50 to invest a month which I had thought I could put into a fund and they invest that money for you into various shares - these seem to start from £30 a month. Only thing is I have no idea where to start and which company is reliable - First Direct who I bank with offer this service, are they any good?
I had also considered choosing a few companies myself and buying their shares - which is the best way to go about this?
I plan to simply not touch that money for several years as I have other ISA, TESSA and normal savings in place.
Any advice much appreciated.MFW #185
Mortgage slowly being offset! £86,987 /58,742 virtual balance
Original mortgage free date 2037/ Now Nov 2034 and counting :T
YNAB lover0 -
Regular saving into the stock market helps to spread the risk and is a good way for investors to start while they learn on the way.
I wouldn't use a bank fund (they tend to have high charges and mediocre performance).
https://www.citywire.co.uk profiles successful funds [and their successful managers] and is a good place to start looking.
I like investment trusts (because of their low charges) but there is a little more risk involved in these than in unit trusts.
http://www.trustnet.com has details of the performance & make up of investment trusts (and other investment vehicles).
Foreign & Colonial Investment Trust - just for example, not a recommendation - is a generalised international fund (UK and overseas) that could form the basis of a future portfolio. Minimum monthly investment is £50 but at that level purchases cost only 0.2% (+ 0.5% stamp duty) and sales just 0.2%. Total annual costs, after purchase, are currently 0.5%.0 -
ReportInvestor wrote:Do you have any savings?
If not then you can get 8.05% pa gross with Ipswich BS in a regular saver. (Or 10% if you bank with Barclays, HSBC or A&L.
Or you might choose a Cash Mini-ISA to avoid tax this year and in the future. Kent Reliance's Direct Mini-Cash ISA pays 5.21% and allows you to start with £130.
If you are investing, because you've already got savings, what are your goals and your time-scale and your attitude to risk?
yeh, i have £60 per month going into a barclays 'e-savings' account for my savings and i bank with barclays...
i could just up the amount i put into the e-savings account, but i wanted to know if i could gain more interest anywhere else.
so, you would recomend a 'regular saver' with barclays would you, coz that would be really simple for me to do, i could even put the £60 per month into the regular saver, along with the £130???
what ya think?
also, iam thinking of 'opting out' of my company pension ( i know nothing about pensions!) which is about £150 per month, would it be advisable to 'opt out' and invest this cash somwhere better/safer?
the pension used to be a final salary pension ( whatever that is!!??) and now its changed to a pay scale pension ( i assume as my wage goes up with the company, the pension goes up by a relevant amount??)
only thing is, if i leave the company, the pension is FROZEN until i retire!0 -
10% pa risk free is a no brainer IMHO, although you would want to keep some emergency money on instant access.
Just do it .0 -
ReportInvestor wrote:10% pa risk free is a no brainer IMHO.
Just do it .
what so.... put the whole lot into a regular saver...
i.e stop my e-savings ( £60 per month) and put it into the regular saver along with the £130.
making a total of £190 going into the regular saver....
how do you work out the interest gained on that then, is it as simple as...
£190 x 12 months =£2280
+ 10%
= £2508
???????0 -
It's more like +5% & a bit as you don't get interest on the whole amount for the whole year, just the last 30 days.
But I'd still be tempted to put all your annual savings into the Barclays 10% Regular Saver up to its £250 pm maximum limit.
You amended your last post after my previous reply. If your company is making a contribution towards your pension (find out how much it is) , it might be unwise to pull out of your pension scheme. And if it's any sort of salary linked scheme it might be even more unwise.
You would need to find out what "frozen" means. If you left the company but your pension was still inflation linked, it might still be valuable.
See your HR people for more details before taking any action.0 -
ReportInvestor wrote:It's more like +5% & a bit as you don't get interest on the whole amount for the whole year, just the last 30 days.
But I'd still be tempted to put all your annual savings into the Barclays 10% Regular Saver up to its £250 pm maximum limit.
You amended your last post after my previous reply. If your company is making a contribution towards your pension (find out how much it is) , it might be unwise to pull out of your pension scheme. And if it's any sort of salary linked scheme it might be even more unwise.
You would need to find out what "frozen" means. If you left the company but your pension was still inflation linked, it might still be valuable.
See your HR people for more details before taking any action.
thanks for all your advise, youve been very helpful.
i will have a think about the e-savings/ regular saver dilema ( best make sure i wont miss the cash if its 'locked away' for the best interest rate.
i will find out about the pension scheme, i deffo know its salary linked ( as my wage increases, it changes the out come of the 'final amount'
the company used to put in £2 for every £1 i put in, but this has changed now and i think they just put £1 for every £1
cheers my friend.0 -
james3333 wrote:the company used to put in £2 for every £1 i put in, but this has changed now and i think they just put £1 for every £1
cheers my friend.
Your company still sounds like a reasonable employer. And that £1 is "free money".
The Barclays Regular Saver runs for 12 months only, which you could factor into your thinking on the other issue.0 -
ReportInvestor wrote:that £1 is "free money".
too true.
but if i leave the company, i cant get anything until iam 65, 70, 75.....80?
who knows how long, iam only 29 noiw!:o0
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