Natwest stocks and share account cost me £430 in a week! I'm on the verge of crying!

blinko

japam down 3% today, but i guess they will hit a point and look undervalued and everyone will pile in expecting a recovery

i was in japan a few years back and got burnt

i just dont see how they are going to get out of it

bendix

blinko wrote: »

i just dont see how they are going to get out of it

Get out of what?

Look at any economy around the world and I can highlight deep seated structural reasons why the economy is bad and you shouldn't invest there.

Japan has issues, for sure, but so does everywhere at every point in time.

It also has opportunities.

LongTermLurker

Most answers seem to be critical from the wrong angle - they criticise OP for bailing out early, but he says he bailed out thinking he would get all his money back.

I've just read the original post https://forums.moneysavingexpert.com/discussion/2647817 and note the following

Linton wrote: »

Originally Posted by jonj123
Also do Natwest or IFAs offer money back guarantee if I decide to take my money out after a month or 2 - i.e. get my initial investment back without being charged 3 or 5%?

If you are talking about investments in general no-one can honestly offer anything. Values can go up or down. For example over the past year my best investment went up 80%, my worst one dropped 30%.

There are no guarantees and no return of initial investment, prices are whatever they are at the time.

dunstonh wrote: »

You dont get money back guarantees on conventional investments. And you certainly shouldnt be using investments if you need money in 2 months time.

All seems good advice to me.

The key is that OP chose not to supply full details (i.e. he was already invested, not considering investment) because he didn't want to complicate things.... oh-um

jonj123

LongTermLurker wrote: »

Most answers seem to be critical from the wrong angle - they criticise OP for bailing out early, but he says he bailed out thinking he would get all his money back.

I've just read the original post https://forums.moneysavingexpert.com/discussion/2647817 and note the following


All seems good advice to me.

The key is that OP chose not to supply full details (i.e. he was already invested, not considering investment) because he didn't want to complicate things.... oh-um

Yes I suppose I made a mistake by not supplying full details as otherwise I would have probably received suggestions telling me not to take my money out just yet. Stupidity. I've learnt a lesson the hard way I guess.

LongTermLurker

jonj123 wrote: »

Yes I suppose I made a mistake by not supplying full details as otherwise I would have probably received suggestions telling me not to take my money out just yet. Stupidity. I've learnt a lesson the hard way I guess.

Stupidity's probably a strong word - naiivity is more like it in this case. We've all made assumptions at some point and lived to regret it

...now what happened to that Framlington Netnet fund I lost about 80-90% on? - I've made it back since though.

Tip - don't carry on the naiivity - I think your goal of achieving 15%pa over 3 years is a risky undertaking given that a) you don't like to lose money and b) if you lose money this time, you have less chance of buying a house than atm. Aim lower and know that you can at least afford a £50k deposit.

Reaper

Have you actually lost out by following the perceived advice to bail out?

By the sounds of it with Nat West you suffered a 5% initial charge.

If I have understood right by bailing out you got your 5% back and only lost 2% because the market had dropped. So surely if you immediately re-invest with a discount broker who refunds the initial fee then you are still 3% better off than you were on your first day with Nat West.

LongTermLurker

That's a good point Reaper - of that £25k, only £23750 was being invested, the rest was a fee. It does mean the loss was slightly higher than the previous assumption, but it's well below the £1250 that NW were creaming off.

jonj123

Reaper wrote: »

Have you actually lost out by following the perceived advice to bail out?

By the sounds of it with Nat West you suffered a 5% initial charge.

If I have understood right by bailing out you got your 5% back and only lost 2% because the market had dropped. So surely if you immediately re-invest with a discount broker who refunds the initial fee then you are still 3% better off than you were on your first day with Nat West.

That is correct. I got the initial 5% charge back since I cancelled within 30 days. I could reinvest the money with a discount broker but I still regret the fact the I invested with Natwest in the first place prior to seeking advice. I'm also unsure whether to use a discount broker or go look for an IFA as I am clearly inexperienced.

P.S. I really appreciate all the help that I have received on this forum so far. I think this forum is absolutely fantastic.

dunstonh

I'm also unsure whether to use a discount broker or go look for an IFA as I am clearly inexperienced.

I would expect an IFA to tell you that you shouldn't invest as your timescale is too short. You would be basically be an upheld complaint waiting to happen. Although you could be put through as an insistent client overruling the IFA. However, it still doesnt take away from the fact that you are an inexperienced investor with a short timescale saving for a house deposit (meaning the money could be needed less than the expected term). All that points towards staying in cash.

paulw19

bendix wrote: »

Get out of what?

Look at any economy around the world and I can highlight deep seated structural reasons why the economy is bad and you shouldn't invest there.

Japan has issues, for sure, but so does everywhere at every point in time.

It also has opportunities.

I seem to have opened up quite a discussion here! Japan's outlook is extremely poor right now, thats why I said I am making short term positions until we see around 7500 level to build a meaningful long position! Yen strength is going to hammer the value down and the government can't do anything about it!

However, the outlook globally is poor right now, and thats why I also said FTSE down to 4500. These are levels where I become a buyer again.