Safest investment or savings account during financial melt-down?

Timingthemarket

I would not buy Gold now. Need a larger correction first.

Linton

I am doing nothing. Investments are for the long term. In the long term what will be the effect if the PIGS default? IMHO very little, just a swirl compared with the tidal effects of major global economic changes.

If you move into cash now how will you know when to get back into investments? Will you do it at a profit or will you be caught out by a temporary bounce? Will the overall profit pay for the fees?

If we really are approaching meltdown what will your savings be worth? Will the FSCS scheme really cover a complete global meltdown?


If you sell an S&S ISA'd investments and move the money to a Cash ISA or outside you will not be able to regain the S&S ISA status. Some brokers provide what is called a cash park within an S&S ISA. This will pay no (or virtually no) interest and can be used for short term cash holdings.

If your broker doesnt have a cash park I guess your best bet is gilts, but if you really are talking about a global meltdown how safe are they? Similarly of course a Gold ETF.

MoneySaverLog

ChrisS wrote: »

I recently sold my shares ISAs reckoning that we are heading for a significant downturn as the pigs default.

If you really believe that why not Sell Short?

oldwally

Linton wrote: »

I am doing nothing. Investments are for the long term. In the long term what will be the effect if the PIGS default? IMHO very little, just a swirl compared with the tidal effects of major global economic changes.

If you move into cash now how will you know when to get back into investments? Will you do it at a profit or will you be caught out by a temporary bounce? Will the overall profit pay for the fees?

If we really are approaching meltdown what will your savings be worth? Will the FSCS scheme really cover a complete global meltdown?


If you sell an S&S ISA'd investments and move the money to a Cash ISA or outside you will not be able to regain the S&S ISA status. Some brokers provide what is called a cash park within an S&S ISA. This will pay no (or virtually no) interest and can be used for short term cash holdings.

If your broker doesnt have a cash park I guess your best bet is gilts, but if you really are talking about a global meltdown how safe are they? Similarly of course a Gold ETF.

Ofcourse,if the Brown stuff really hits the fan,how "secure" are Gold ETFs? IF we heading for that situation,ie forget PIGS but if the US defaulted etc etc,then what we really need is,real gold,a shotgun,ammo and ofcourse a large supply of Tinned Food..................
.....Sorry done on old/slow PC,so GRIN didnt come out............

MoneySaverLog

oldwally wrote: »

Ofcourse,if the Brown stuff really hits the fan,how "secure" are Gold ETFs? IF we heading for that situation,ie forget PIGS but if the US defaulted etc etc,then what we really need is,real gold,a shotgun,ammo and ofcourse a large supply of Tinned Food..................
.....Sorry done on old/slow PC,so GRIN didnt come out............

Or make a forture short selling everything...

Like these guys.... http://www.shortsellsecret.com/

As the markets crash :rotfl:

atush

Most people can't 'time' the market.

So staying invested during and after a crash has usually seen investors get back what they lost. And those who drip feed investment in during any market downturn do even better. If you sell, you better keep your eyes glued to the markets or you will miss buying opportunities.

Buying is something I did in the days after the markets opened after 9/11.

Timingthemarket

atush wrote: »

Most people can't 'time' the market.

So staying invested during and after a crash has usually seen investors get back what they lost. And those who drip feed investment in during any market downturn do even better. If you sell, you better keep your eyes glued to the markets or you will miss buying opportunities.

Buying is something I did in the days after the markets opened after 9/11.

Yes because there has been a bull market for many decades. But it seems to be different now. Not enough oil to fuel growth etc. Another clue is that since the low after 1929 there are 2 moves up that are equal in %. 1930´s to 1972 and 1974 to 2007.

Timingthemarket

Interestingly in time as well depending on from what lows in the sideways area in the 60´s and 70´s one measures. Around 12000-12200 days.

Here´s a pic
i53.tinypic.com/2w5rts4.jpg

atush

I was in the crash of 87 and got everything back and more.

For the last decade, there has been more bear than bull. And I made gains in both. Being a contrarian can be a very good thing rather than following the lemmings over the cliff.

Oil is finite. Something else will fund growth in future.