What will you be doing with your 2011 ISA allowance

relaxtwotribes

Yes, Lokolo, that's right. When you have sufficient in shares to withstand any storm, then all you should do is put any surplus into shares.
What annoys me is when people with too much cash in interest-bearing accounts do not invest in shares because they are ignorant of them. But I understand that there is a movement to teach financial management in schools. Let's hope it majors on stocks and shares - that is where the route to wealth lies.

masonic

relaxtwotribes wrote: »

Yes, Lokolo, that's right. When you have sufficient in sharescash to withstand any storm, then all you should do is put any surplus into shares.
What annoys me is when people with too much cash in interest-bearing accounts do not invest in shares because they are ignorant of them. But I understand that there is a movement to teach financial management in schools. Let's hope it majors on stocks and shares - that is where the route to wealth lies.

I think you've got shares on the brain , so I corrected the quote above for you. I think we are in agreement though. A good emergency fund, plus money to cover any big planned future expenditure is essential before considering investing in S&S, but once you have those, remaining completely in cash is a missed opportunity. Personally, I've been investing in S&S for 5 years.

Thrugelmir

ericonabike wrote: »

Have been into shares for almost a year now and have learnt as I've gone along. Scary to start with, but unless you are either incredibly unlucky or go for particulalry obscure companies, it's hard to see your investment becoming worthless.

Very easy to profit in a rising market. Wait till markets become more volatile. Or your stock selections turn out wrong.

Barros

cashbackproblems wrote: »

5%??/ Dont you mean more like 2/3%!

People who dont have the intelligence to research and buy shares and take abit of risk use cash isa's

That is very harsh and an unfair comment to make.

relaxtwotribes

masonic wrote: »

I think you've got shares on the brain , so I corrected the quote above for you.

No, masonic. I meant what I said. Please read it again.
rtt.

masonic

relaxtwotribes wrote: »

No, masonic. I meant what I said. Please read it again.
rtt.

<sigh> Ok...

relaxtwotribes wrote: »

When you have sufficient in shares to withstand any storm, then all you should do is put any surplus into shares.

So you think you should build up an emergency fund in shares, and then buy some more shares.

Words fail me.

cashbackproblems

Barros wrote: »

That is very harsh and an unfair comment to make.

Its true though. Sure if you need the cash within 1yr keep it as cash, but if people realised even a safe ftse 100 share can pay 6/7% in dividends they would put it in that even if only for a few yrs. People dont understand how to buy and sell shares and what the numbers mean, even i dont comprehensively but i like to gamble and its paying off this yr.

cashbackproblems

And shares can be sold whenever you need the cash and very low costs on iii for example so its not locked in, within a week ur shares cud = cash

Eco_Miser

cashbackproblems wrote: »

And shares can be sold whenever you need the cash and very low costs on iii for example so its not locked in, within a week ur shares cud = cash

But shares can go down as well as up, so if you need your money a week after your shares have halved in value, tough luck.

cashbackproblems wrote: »

i like to gamble and its paying off this yr.

But next year it may not. It's a gamble that some people will prefer not to take.

chucknorris

Savings_Dave wrote: »

Already have £5,340 allocated for more funds via my Stocks and Shares ISA as it is only 7.5% of my portfolio - I'm looking at four new funds so I can increase to 16%. Also another £5,340 is allocated for my Halifax Reward Cash ISA, however with Lloyds Vantage paying 3.14% net I don't see the point of putting it in the ISA (although future compounding in the ISA would be better?)

I'm only putting up with miserly cash isa rates to get the 'cash isa status' so when we get back to normal times my cash isa total savings will not be lower, as it would be if I put it all mi isa allowance into a stocks and shares isa.