FTSE: How low will it go?

dunstonh

Actually no. And my IFA has negotiated reduced charges anyway which has in effect wiped out the protection charge.. I have to option to switch to 70% or 50% protection. That will put more into equities and less into fixed interest.

If you are getting the charges at 0.2%-0.3% p.a. then that is very good. However, I suspect you are not.

As I understand it there are no direct competitors for the MetLife Bond just at present. So I think you may be a bit off-beam. Sorry.

Investec Multi Asset Protector is one of the most popular. Skandia Shield is a lower cost more recent version. Zurich Protected Profits has been around a very long time.

Those are available unwrapped or in investment bond and a couple can be used in ISA. And all can be held on platforms if you want quick trading ability.

My IFA has chosen both my investments on the basis of my circumstances... including the possible need to pull money out to invest in property some time within the next 2-5 years. It is only a possibility but I have to have that flexibility

The point was why use the Sterling platform? Its a small platform that nowadays offers nothing that cannot be shown to be better with other platforms. You tend to find it comes up in three areas. 1) if the Zurich protected profits fund is to be accessed. 2) if you want the death protection or 3) commission bias as they are the only one that indemnifies trail commission and pay it up front.

IronWolf

If I was you I would make staggered investments, so you can take advantage of any future crashes, but if these are the lows then you also get the advantage. Something like 20% a month, over a 5 month period.

chrismac1

I support what IronWolf has said, and have done very well out of following this policy in the past - for initially safe investments Vodafone, Glaxo, Tesco and Diageo will still be around churning out cash in 5 years time unless the whole western economy collapses in which case your dividend income will be well down your list of concerns!

Meantime though, the S&P 500 made important lows around 1174 in October, November and December 2010. Currently - 1523 UK time - it is at 1162. Yet again a half-hearted rally up to 1182 on the open has been met with sustained selling. Be patient, wait until more settled markets return - probably 5% or more cheaper. Then start buying selectively beginning not with racy go-go stuff (that's for when the next bull market is under way!) but with rock solid consumer staples which have sound business models throwing off cash, and ideally exposure to the Far East, India and Brazil who can all to some extent have a chuckle at the mess most of the G30 are in.

blinko

5080 as we speak

cinderfella

Got back from the dentist at lunchtime. The price was right so I bought in. As for the bottom, nobody knows but there are a lot of options to save the day like 'Eurobonds', even though they don't exist yet.
I only deal in one equity share and that goes against all the rules. Just don't ask me what it is. Everything else including my sex life I am an open book.;)

:beer::j:beer:

unitedwestand

Diving in to anything with £275,000 of cash deposits, might not be the best idea.

Its more about time in the market, than timing the market.

Spread investments & spread risk through a balanced portfolio.

Drip feed deposits over time in an effort to average out the highs & lows.

Avoid investing in anything you don't understand.

Invest in quality & try strike a balance between charges & any potential returns.. or losses.

Personally, I would keep out the markets altogether, they’re just too volatile. Developers can’t build/ sell properties for any cheaper than they are. I’d be looking to channel money in to property again, renting for a return in the short term & selling on for profit in the future. I think you would see a better return for less risk.

sabretoothtigger

Currency is the weakest link not companies making oil or whatever. Sure it could go down but half of FTSE companies sell to foreigners who dont have to pay off Euro or UK or USA debt so why should they be poorer too. It can only go so far imo, in 2008 we bounced alot


This chart is trying to show FTSE already lost most of its gains in an international currency. Maybe I can draw the FTSE up in Australian dollars or somewhere they dont have tons of debt, I bet it looks low


^^^^^^^^ ^^^ March 2009 and we nearly back there

Drip feed deposits over time in an effort to average out the highs & lows.

I did that with an asia pacific fund in 2008 and it worked out well

Totton

My best guess is - I don't know how low it will go. I am putting a set amount of my income into the market each month irrespective of highs and lows. Personaly I would expect we will hit a bottom over the 3-month period you are looking at, therefore I would stick it all in now. As for a prediction, well I reckon we'll either bounce of 5000 or hit 3750 but I'm thinking 6000 by December.