£1000 in an account to forget - i.e. long term

EclipsedMind

K_P83 wrote: »

Rather than what is my question, i'll tell you my aim.

What i want to do is stick £1000 somewhere (note: i never used the word "account" now, but somewhere). I want to put it somewhere for a long while (lets say indefinitely).
I don't have a problem with moving it around from place to place, but basically i don't want (need would perhaps be a better word) to touch it (draw on it), for a long long time (indefinitely).

I want this money to make as much money over however long it is making me money for, be it savings which i understand to a reasonable degree, or investments which i don't really understand a great deal.

As i say, i'm not expecting retirement money. What do you advise i do with it?

Stick it in your pension. You will get tax relief on it so will be up on the deal from the outset. Ofc you won't get it back until you retire but it will grow.

EM

opinions4u

I'd stick it in a low charge stocks and share ISA ... or my pension.

Nine_Lives

Pension - there's another thing i really should be sorting out. I'm 28 now & have never paid in to one Largely because for the most part i was very ignorant & thought it was for "old folk". When i realised it wasn't, i didn't really understand enough about it to pay into one, which is how things remained.

Totton

£1,000 to forget and hold - go for an Investment Trust with some spice, look at a Smaller Co's fund or if really brave go for country specific such as Russia.

HTH,
Mickey

thor

There are 2 choices:

1. Put it in a savings account or bond. You could end up losing out due to inflation but there is no reason you could also beat inflation as there have been periods where saving rates were greater than the increasing cost of living.

2. Put your money in a shares based investment. This is a straight gamble where you could have huge gains or lose the lot(unless you find a capital protected scheme which would limit your gains)

I could never contemplate leaving money somewhere for years and not having to think about it. There is simply too much uncertainty and I would need to prepared for the future.

Nine_Lives

thor wrote: »

I could never contemplate leaving money somewhere for years and not having to think about it.

I didn't really mean that in a literal sense, hence the 'forget about' (OBVIOUSLY NOT LITERALLY)' remark.

People seem to have missed the ' ' around the forget about and also the obviously not literally point though.

diable

Spend it on a holiday.........

Doshwaster

The problem with putting it into a cash savings account and then "forgetting about it" is that while an account may have an attractive savings rate now it could well drop away to virtually nothing in a year or two's time.

I'd stick in into a S&S ISA where dividends are reinvested. Maybe check on it every 6 months or so but otherwise try not to get stressed if the price goes down.

gadgetmind

Totton wrote: »

£1,000 to forget and hold - go for an Investment Trust with some spice, look at a Smaller Co's fund or if really brave go for country specific such as Russia.

I was going to suggest and IT or two, but with only £1000, the dealing costs and stamp duty would eat into it on day 1.

For someone who's clearly prepared to take some risk and play the long game, but would be upset to lose the lot, how about capital preservation OEICs such as Ruffer Total Return, Ruffer European and Troy Trojan? £1000 into a HL (or other) ISA might not split three ways into those, so maybe forget Total Return.

I'm not usually a fan of the annual fees with OEICs, but I think Ruffer and Troy might arguably be worth it.