We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
SIPP Opened - Investing for income?
Comments
-
My answer is both growth and re-invested income (dividends and fixed interest). Income generating investments tend to be more stable than high growth ones. So the proportions of growth and income could depend on your acceptance of the occasional large fall.
I read the question differently, but perhaps incorrectly.
It was either -
1) Do I want Income or Accumulation versions of funds?
2) Do I want to look for growth assets or income generating assets?
3) Do I want funds with "growth" or "income" in the name?
I took it as being (3) and didn't really comment as I don't think I hold funds with either of these words in the name!What I believe is less likely to be successful is to "buy a few shares" particularly if you are doing this on the basis of recommendations in the press and on internet forums.
Agreed 100% for the reasons you give, but also as it will almost certainly not give a great territory spread.I am not a financial adviser and neither do I play one on television. I might occasionally give bad advice but at least it's free.
Like all religions, the Faith of the Invisible Pink Unicorns is based upon both logic and faith. We have faith that they are pink; we logically know that they are invisible because we can't see them.0 -
My answer is both growth and re-invested income (dividends and fixed interest). Income generating investments tend to be more stable than high growth ones. So the proportions of growth and income could depend on your acceptance of the occasional large fall.
So a suggestion is to notionally, if not physically, run separate portfolios. One focussed on maximum growth and the other income. The maximum gowth portfolio is likely to be invested in funds to minimise the risks arising from individual companies failing. The other portfolio could reasonably IMHO contain both individual shares, bonds, and funds.
What I believe is less likely to be successful is to "buy a few shares" particularly if you are doing this on the basis of recommendations in the press and on internet forums. When you buy an investment you should buy it for a specific purpose, and if it fails to achieve that purpose consider selling it.
Hi,
I initially bought the shares as I'm aiming towards a high risk portfolio, and I want a low risk stable part
the shares I bought are vodafone, glaxo, tesco, unilever, cad
I will purchase shares in around 10 companies, all with the same amount in, and then buy 8-10 funds, all with same amount. The funds will be the higher risk part of this portfolio
I'm going to try reading some books on investing before I buy the funds0 -
stringer_bell wrote: »The funds will be the higher risk part of this portfolio
What makes you think that?I am not a financial adviser and neither do I play one on television. I might occasionally give bad advice but at least it's free.
Like all religions, the Faith of the Invisible Pink Unicorns is based upon both logic and faith. We have faith that they are pink; we logically know that they are invisible because we can't see them.0 -
gadgetmind wrote: »What makes you think that?
I will be picking high risk funds eg aberdeen emerging markets etc
I will of course drip feed the money over the next 5 or so months, as I have a whole years allowance0 -
stringer_bell wrote: »I will be picking high risk funds eg aberdeen emerging markets etc
You'll probably find that such a fund has less volatility than a small portfolio of FTSE shares.
BTW, some of the EM funds "soft close" from time-to-time, and this can limit your ability to invest OR they may not discount the up-front fee!I am not a financial adviser and neither do I play one on television. I might occasionally give bad advice but at least it's free.
Like all religions, the Faith of the Invisible Pink Unicorns is based upon both logic and faith. We have faith that they are pink; we logically know that they are invisible because we can't see them.0 -
gadgetmind wrote: »You'll probably find that such a fund has less volatility than a small portfolio of FTSE shares.
BTW, some of the EM funds "soft close" from time-to-time, and this can limit your ability to invest OR they may not discount the up-front fee!
Yes your right, my shares are down today, 2 percent.. yet my S&S ISA which is all funds, is up 4.5pc in just a few months
In my SIPP, I'm buying in blocks of £1000. I may consider buying in blocks of £2000 though
Bit off topic. I'm going to switch to a LTD company in April too, and have my company contribute directly0 -
stringer_bell wrote: »Yes your right, my shares are down today, 2 percent.. yet my S&S ISA which is all funds, is up 4.5pc in just a few months
1) comparing such different asset classes over a short time frame tells you little, 2) stop looking!
Bit off topic. I'm going to switch to a LTD company in April too, and have my company contribute directly
That sounds sensible.I am not a financial adviser and neither do I play one on television. I might occasionally give bad advice but at least it's free.
Like all religions, the Faith of the Invisible Pink Unicorns is based upon both logic and faith. We have faith that they are pink; we logically know that they are invisible because we can't see them.0 -
gadgetmind wrote: »1) comparing such different asset classes over a short time frame tells you little, 2) stop looking!
That sounds sensible.
I check them everyday, I just can't help myself. Always curious to see how they are doing. I still have a bit of this years ISA allowance to put in also. I'm in this for the long haul though. I think now is the best time to buy0 -
stringer_bell wrote: »I check them everyday, I just can't help myself. Always curious to see how they are doing.
IKWYM, and there is nothing wrong with this as long as you won't panic if prices drop HARD and FAST and do something silly like flog at the bottom or stop contributing.I think now is the best time to buy
I'm inclined to agree, but no-one ever knows for sure.I am not a financial adviser and neither do I play one on television. I might occasionally give bad advice but at least it's free.
Like all religions, the Faith of the Invisible Pink Unicorns is based upon both logic and faith. We have faith that they are pink; we logically know that they are invisible because we can't see them.0 -
gadgetmind wrote: »stringer_bell wrote: »I check them everyday, I just can't help myself. Always curious to see how they are doing.
IKWYM, and there is nothing wrong with this as long as you won't panic if prices drop HARD and FAST and do something silly like flog at the bottom or stop contributing.
I'm inclined to agree, but no-one ever knows for sure.
No I won't panic sell, I'm in this for long haul. I have cash savings I can live on. I thought about investing outside of pension/ISA, but it looks like a royal pain to keep track of in regards for tax0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 352.3K Banking & Borrowing
- 253.6K Reduce Debt & Boost Income
- 454.3K Spending & Discounts
- 245.3K Work, Benefits & Business
- 601K Mortgages, Homes & Bills
- 177.5K Life & Family
- 259.1K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 37.7K Read-Only Boards