So when is the pre April Cash ISA rush gunna hit?

fatbob10

Any thoughts on when/if there will be a new set of cash ISA's coming out from the banks to entice those who havnt used their allowance this year? Usually there is some sort of rush of new rates coming out before the April deadline. I still have my full allowance and am waiting for something worthwhile to stick it in.

lisyloo

Have you considered not putting it in cash?

I'm getting about 10% return on my stocks & shares and 2.8% on cash.
If you are risk averse, could you split it or add something monthly?

Being all cash doesn't seem like a good move to me.

mr_fishbulb

lisyloo wrote: »

Being all cash doesn't seem like a good move to me.

It depends on your circumstances. If, for example, the OP is saving for a house deposit that they need to access in 2 years then cash would be the best way to go.

opinions4u

fatb!!!0 wrote: »

Any thoughts on when/if there will be a new set of cash ISA's coming out from the banks to entice those who havnt used their allowance this year? Usually there is some sort of rush of new rates coming out before the April deadline. I still have my full allowance and am waiting for something worthwhile to stick it in.

Well there are a fair few easy access rates above 2.7%. Halifax and the Spanish mob leading the way. I don't think there's any likelihood of rates going much higher.

http://www.moneysavingexpert.com/savings/best-cash-isa

bryanb

Put mine in the nationwide (loyalty) 4.5% 3yr fix. I'm sick of the hassle of trying to transfer every year.

Nine_Lives

Those that they churn out before April, do they typically carry the & their rates over INTO the new tax year?

lisyloo

It depends on your circumstances. If, for example, the OP is saving for a house deposit that they need to access in 2 years then cash would be the best way to go.

I agree with you mr_fishbulb.
But for those that can it's just a suggestion to consider as savings rates are now pretty much all below inflation which means your money is going down in real terms.

opinions4u

lisyloo wrote: »

But for those that can it's just a suggestion to consider as savings rates are now pretty much all below inflation which means your money is going down in real terms.

Of course a flat stock market with low dividend rates is also eroded in value by inflation. A falling market moreso.

You're right to consider options beyond cash. But investments are higher risk and inflation can also erode their value.

pqrdef

lisyloo wrote: »

Have you considered not putting it in cash?

I'm getting about 10% return on my stocks & shares and 2.8% on cash.

Hmm. It's because equities have done so well in the last two years that I've sold all my equity investments and I'm not thinking of buying any more for a while. My S&S ISAs are stuffed with idle cash and it's a puzzle to know what to do with it. May have to punt on a physical gold ETF, much though it irks. And it could be a good time to buy a Footsie short ETF. But the markets are stuffed with cheap cash, courtesy of QE and negative real interest rates, so it's a value desert out there.

The return you get on your shares is a function of how cheap they were when you bought them. Buy the Footsie at 4000 and you get 50% more shares for your buck than if you buy at 6000, so your dividends are 50% fatter henceforth, with the capital gain on top. But I can't buy at 2008 prices, my time machine isn't working.

lisyloo

Of course a flat stock market with low dividend rates is also eroded in value by inflation. A falling market moreso.

You're right to consider options beyond cash. But investments are higher risk and inflation can also erode their value.

Absolutely there are risks.
But there are risks in not taking enough risk IYKWIM.
Long term a balanced portfolio is the best way to balance out the various risks (unless of course saving for something specific).

The return you get on your shares is a function of how cheap they were when you bought them.

That's one of the factors, but another factor is your view on future performance.
My personal view is that equities have a positive outlook but of course I may be wrong or right.
All I can do is to seek to balance the risks in a balanced portfolio.
It's certainly the best performing part of my portfolio right now although I accept that there is some capital risk.

kingmonkey

This thread has gone off topic.

From vague memory the ISA season starts around March