10.2k Into an ISA, stocks or cash?

stringer_bell

I did a 10200 into a stocks and shares ISA with barclays earlier this year, but in April I would like to do this on my own. My plan is to put 10200 into an ISA every year, and to keep topping it up. I have a high salary so its unlikely I would need to withdraw this. I'm a higher rate taxpayer

Do you guys think I should do a cash or stocks and shares ISA every year, or should I split it?

anyone recommend any good providers for this?

alanq

The ISA limit for 2011-12 will be £10,680. A maximum of half of that can be in a cash ISA.

shrewsaver

If you can afford the risk of putting the whole ISA allowance into a S&S ISA then it is up to you but I would always look at putting half into a cash isa and then half into a S&S ISA.

Although you can only put £5,340 into a cash ISA - from April 2011 - and remainder up to £10,680 into an S&S ISA, you could say put £3,000 into a cash ISA and £7,680 into the S&S ISA to use up the remainder of the allowance as long as you don't put more than £5,340 into the cash ISA.

Linton

I believe you should have perhaps 6 months living expenses in readily accessible cash as an emergency fund. Once you have that, and assuming you have no known need to call on your savings within the next say 5 years all further savings should go into an S&S ISA based on unit trusts/OIECs.

Suggest you sketch out a target portfolio plan specifying what % of your total funds should be invested in which sector. You can then use the annual S&S ISA allowance to build up towards your plan over a period of a few years.

stringer_bell

Linton wrote: »

I believe you should have perhaps 6 months living expenses in readily accessible cash as an emergency fund. Once you have that, and assuming you have no known need to call on your savings within the next say 5 years all further savings should go into an S&S ISA based on unit trusts/OIECs.

Suggest you sketch out a target portfolio plan specifying what % of your total funds should be invested in which sector. You can then use the annual S&S ISA allowance to build up towards your plan over a period of a few years.

Yes, I will have more than enough funds for emergency, My ISA is my first port of call when it comes to investing. Any idea's of good places online to buy one? I don't want to use the bank

Mikeyorks

stringer_bell wrote: »

Do you guys think I should do a cash or stocks and shares ISA every year, or should I split it??

You need to keep a balance between cash and investments. If you're going for a S&S ISA then go anywhere but a Bank.

Hargreaves Lansdowne, or similar, are good for S&S ISAs. You may want to look at the Barclays ISA and see how it's doing ..... and transfer it as the initial building block if you've made less than 10% over the last year? Assuming, of course, it's not tied in.

Linton

stringer_bell wrote: »

Yes, I will have more than enough funds for emergency, My ISA is my first port of call when it comes to investing. Any idea's of good places online to buy one? I don't want to use the bank

I have a Fidelity S&S ISA for funds and an iii ISA I use for shares. Both offer excellent online service.

Other people swear by Hargreaves & Lansdowne.

Mikeyorks

stringer_bell wrote: »

Any idea's of good places online to buy one?

You don't buy 'one'. That's what worries me about what you've bought at Barclays!

As ISA is just a tax free packet you put things in. Cash / stocks / shares .... usually. If you're going to DIY then you would normally buy Funds to go in the packet. Have a look at HL ...... over 2000 Funds to choose from :-

http://www.h-l.co.uk/

gt94sss2

Mikeyorks wrote: »

Hargreaves Lansdowne, or similar, are good for S&S ISAs.

Hargreaves Lansdowne are good if you want to hold funds.

They are expensive if you want to hold individual shares in an ISA - in which cases you may want to try a provider like III or HSBC InvestDirect (if a HSBC customer).

Regards
Sunil

stringer_bell

Mikeyorks wrote: »

You need to keep a balance between cash and investments. If you're going for a S&S ISA then go anywhere but a Bank.

Hargreaves Lansdowne, or similar, are good for S&S ISAs. You may want to look at the Barclays ISA and see how it's doing ..... and transfer it as the initial building block if you've made less than 10% over the last year? Assuming, of course, it's not tied in.

I did the Barclays ISA 2 months ago, it was barclays wealth defined returns plan annual kick out, Would it worth checking it already?

Mikeyorks

stringer_bell wrote: »

Would it worth checking it already?

No ...... that's why I said if you're not 'tied in'. With that sort of product you usually are. It may have a tradeable value ..... but unlikely to be as much as you paid for it at this early stage.

Out of interest ...... which Index ..... and what is the yearly percentage?